gyan kosh brochure

8/6/2019 Gyan Kosh Brochure

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Tata AIG Life Insurance Company Ltd. (Reg.110),Registered & Corporate Office : Delphi - B Wing, 2

Hiranandani Business Park, Powai, Mumbai 400 076

Visit us at www.tata-aig-life.com or call toll-free on 1800-11-9966[For MTNL/BSNL subscribers]

nd Floor, Orchard Avenue,

Insurance is the subject matter of the solicitation.



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• Provide a dual benefit i.e. pay death benefit to thenominee in case of death of insured and policy benefitswill continue

• Waive all future regular premiums in case of death ortotal permanent disability of the insured

Options to choose any one of the following waiver ofpremium (WoP) benefits

3• Family Guard - Get 100% of the future premiums paidinto your policy as if the policy is on monthly mode,(OR)

4• Family Advantage - Get 50% of future premiums paidinto your policy as if the policy is on monthly mode and50% as cash payouts to the policyholder/nominee thatacts as a supplementary income to the family'.

1In addition, the Security Net option provides your familywith a readjustment income of 1% of Basic Sum Assured

for 100 months or till end of policy term, whichever is5earlier, on death or total permanent disability

6Guaranteed Maturity Addition paid on maturity

Choice of 7 investment funds and 2 portfolio strategies

3 riders for 'added protection’

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Eligibility Criterion

Entry Age 18 years to 50 years

Maximum Maturity Age 65 years

Policy Term 15 to 25 years

Premium Paying Term Same as policy term1

Minimum Premium Security Net Option ` 30,000 p.a. for Annual Mode ` 36,000 p.a. for Other Modes

2Safety Net Option ` 20,000 p.a. for Annual Mode ` 24,000 p.a. for Other Modes

Minimum Sum Assured • for Insured's Age < 45 years :Higher of (10*AnnualisedPremium or 0.5*Policy Term*Annualised Premium)

• for Insured Age>= 45 years :Higher of ( 7* AnnualisedPremium or 0.25*Policy Term*Annualised Premium)

Maximum Sum Assured Policy Term* Annualised Premium

IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENTPORTFOLIO IS BORNE BY THE POLICYHOLDER

Knowledge is treasure. One of our most importantresponsibilities as a parent is to empower our childrenwith the best possible education that will give them ahead-start in life. Our dreams for our children don't justinclude education; they extend to other milestones in theirlives like marriage or even setting up a business. Oneneeds an investment avenue that takes care of theireducational expenses and other financial responsibilitiestowards our loved ones. One also needs a plan thatensures that in the unfortunate event of the death ordisability of life insured, the journey of the loved onestowards success and happiness is not hampered by any

financial constraints.

Presenting, Tata AIG Life Insurance Gyan Kosh, a non-participating unit linked endowment insurance plan within-built benefits that ensures your savings for your childand all your near and dear ones continue to be protectedeven in case of unfortunate events. This plan has twooptions to choose from: Security Net - in which futurepremiums are waived and a readjustment income, in the

form of Family Income Benefit is provided to your familyand Safety Net - in which future premiums are waived.These benefits are applicable in case of unfortunatedemise as well as total permanent disability of the lifeassured.

Invest in Tata AIG Life Insurance Gyan Kosh today andcement your near and dear one's journey to success.

Key features

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Two protection options to choose from1• Security Net : with inbuilt Waiver of Premium and

Family Income Benefit2• Safety Net : with inbuilt Waiver of Premium Benefit

In both the options, we will

Tata AIG Life Insurance Gyan KoshA treasure chest that ensures fulfillment of your dreams



$This chart provides an overview of the benefits offered.Please read the sections Death Benefit, Disability Benefit andMaturity Benefit below, carefully for further details# 1 2Please refer to point (a) under Security Net and Safety Netbelow for details.$$Total Fund Value is equal to the value of the RegularPremium Fund and the value of the Top-Up Fund (if any)valued at applicable unit price.

The benefit options available - Security Net / Safety Net and further Family Guard / Family Advantage are to be chosen atpolicy inception and cannot be changed during the policy term.

In case of your unfortunate demise while the policy is in force, basis the option you have chosen, we will:

a) Pay to the nominee the Higher of (Basic Sum Assured or105% of the Total Regular Premiums paid). In addition,we will pay higher of (Approved Top-Up Sum Assured(s)or 105% of the Total Top-Up Premiums paid), if applicable

b) Depending on the Waiver of Premium (WoP) selected-3Family Guard: we will continue your policy benefits bypaying 100% of the future Regular Premiums in to yourpolicy as if, the policy is on monthly mode up to the policyterm.OR4Family Advantage: We continue your policy benefits bypaying 50% of the future Regular Premiums in to yourpolicy as if the policy is on monthly mode. The remaining50% are paid to the nominee as cash payouts, as if thepolicy is on monthly mode up to the policy term5c) Additionally, under the Family Income Benefit, we willpay 1% of the Basic Sum Assured to the nominee everymonth for the next 100 months or till the end of policyterm, whichever is earlier.

d) During the period while the regular premiums are waivedunder this benefit, all policy charges (except for Mortalitycharge, Waiver of Premium charge and Family IncomeBenefit Charge) will be deducted as due

e) All Rider Coverage mentioned under 'Attachable Riders'(if chosen) will terminate.

f) On completion of the policy term, Maturity Benefit will bepaid to the nominee.

g) No changes in investment related options such as fundswitching, premium redirection, partial withdrawal,complete withdrawal, etc. under or in relation to thepolicy will be permitted after the death of the Insured.

Death Benefit

1Security Net - Inbuilt Waiver of Premium Benefit (WoP)

+ Family Income Benefit (FIB)

Plus

1% of the Basic Sum Assured paid every month for thenext 100 months or till the end of policy Term, whichever

5is earlier

Plus$$Total Fund Value paid to the policyholder/nominee

on Maturity

OnTotal Permanent Disability

OnDeath

#Sum Assured Paid

Plus

All Future Premiums Waived and Policy Benefits ContinueOptions available:

3• Family Guard - 100% of future regular premiums paid into

the policy OR 4• Family Advantage - 50% of future regular premiums paidinto the policy & 50% paid to the policyholder/ nominee

OR

Plus$$Total Fund Value paid to the policyholder/ nominee on

Maturity

$Protection Benefit Options available

OnTotal Permanent Disability

OnDeath

#Sum Assured PaidPlus All Future Premiums Waived and Policy Benefits ContinueOptions available:

3• Family Guard - 100% of future regular premiums paid intothe policy OR

4• Family Advantage - 50% of future regular premiums paidinto the policy & 50% paid to the policy holder /nominee

I. What are the Benefits available under this plan?

This non-participating unit linked endowment insuranceplan offers the following benefits:

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1Security Net

(Inbuilt Waiver of Premium and Family Income Benefit)

2Safety Net(Inbuilt Waiver of Premium Benefit)



c) During the period while the Regular Premiums arewaived under this benefit, all policy charges (includingMortality charge but excluding Waiver of Premiumcharge and Family Income Benefit Charge) will bededucted as due

d) All Rider Coverage mentioned under 'Attachable Riders'(if chosen) will terminate. However, the riders can be

reinstated if the Waiver of Premium benefit/ FamilyIncome Benefit is stopped. (i.e. only after the Insureddoes not remain such disabled.)

e) In case of survival till the end of the policy term, MaturityBenefit will be paid to you. In case of your unfortunatedemise before the policy term, the death benefitprovisions would apply.

f) Apart from fund switching, premium redirection, partialwithdrawals and complete withdrawal, no changesunder or in relation to the policy will be permitted duringthe period that Regular Premiums are waived.

a) Depending on the Waiver of Premium (WoP) Benefitselected-3Family Guard: We continue your policy benefits bypaying 100% of the future Regular Premiums into yourpolicy as if the policy is on monthly mode.

OR4Family Advantage: We continue your policy benefits bypaying 50% of the future Regular Premiums into yourpolicy as if the policy is on monthly mode. The remaining50% are paid to you as if the policy is on monthly modeup to the policy term.

b) During the period while the Regular Premiums arewaived under this benefit, all policy charges (includingMortality charge but excluding Waiver of Premiumcharge) will be deducted as due

c) All Rider Coverage mentioned under 'Attachable Riders'(if chosen) will terminate. However, the riders can bereinstated if the Waiver of Premium benefit/ FamilyIncome benefit is stopped. (i.e. only after the Insureddoes not remain such disabled.)

d) In case of survival till the end of the policy term, MaturityBenefit will be paid to you. In case of your unfortunatedemise before the policy term, the death benefitprovisions would apply.

e) Apart from fund switching, premium redirection, partialwithdrawals and complete withdrawal, no changesunder or in relation to the policy will be permitted duringthe period that Regular Premiums are waived.

On survival to the end of the policy term, you will receive theTotal Fund Value, which is equal to the value of the Regular

2Safety Net - Inbuilt Waiver of Premium (WoP)

Maturity Benefit

2Safety Net - Inbuilt Waiver of Premium Benefit (WoP)

Disability Benefit

1Security Net - Inbuilt Waiver of Premium Benefit (WoP)+ Family Income Benefit (FIB)

a) Pay to the nominee the Higher of (Basic Sum Assured or105% of the Total Regular Premiums paid). In addition, wewill pay higher of (Approved Top-Up Sum Assured(s) or105% of the Total Top-Up Premiums paid), if applicable.

b) Depending on the Waiver of Premium Benefit (WoP)selected-3Family Guard: we will continue your policy benefits bypaying 100% of the future Regular Premiums in to yourpolicy as if the policy is on monthly mode.

OR4Family Advantage: We continue your policy benefits bypaying 50% of the future Regular Premiums in to yourpolicy as if the policy is on monthly mode. The remaining50% are paid to the nominee as if the policy is on monthlymode up to the policy term.

c) During the period while the Regular Premiums arewaived under this benefit, all policy charges (except forMortality charge, Waiver of Premium charge) will bededucted as due

d) All Rider Coverage mentioned under 'Attachable Riders'(if chosen) will terminate.

e) On completion of the policy term, Maturity Benefit will bepaid to the nominee.

f) No changes in investment related options such as fundswitching, premium redirection, partial withdrawal,complete withdrawal etc under or in relation to the policywill be permitted after the death of the Insured.

In case of your total permanent disability while the policy is in force, basis the option you have chosen we will pay:

a) Depending on the Waiver of Premium Benefit (WoP)selected-3Family Guard: We continue your policy benefits bypaying 100% of the future Regular Premiums into yourpolicy as if the policy is on monthly mode up to the policyterm.

OR4Family Advantage: We continue your policy benefits bypaying 50% of the future Regular Premiums into yourpolicy as if the policy is on monthly mode. The remaining50% are paid to you as cash payouts, as if the policy is onmonthly mode up to the policy term5b) Additionally, under the Family Income Benefit, we willpay 1% of the Basic Sum Assured to the policyholderevery month for the next 100 months or till the end ofpolicy term, whichever is earlier.

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$Policy Term PremiumMultipleChosen

Basic SumAssured

Non Guaranteed Benefits

Security Net

Benefit Higher Rate Illustration (10%)

Annual RegularPremium ( ` )

Maturity#Benefit ( ` )

**Net Yield@ 10%

Maturity#Benefit ( ` )

15 1,00,000 10 10,00,000 28,58,863 8.38% 20,26,429

25 1,00,000 12.5 12,50,000 76,41,301 8.60% 40,75,16915 1,00,000 10 10,00,000 29,05,022 8.38% 20,59,663

25 1,00,000 12.5 12,50,000 79,13,958 8.60% 42,43,742

GuaranteedBenefits

Lower RateIllustration (6%)

Safety Net

# Some benefits are guaranteed and some benefits arevariable (Non-guaranteed) with returns based on the futureperformance of your Insurer carrying on life insurancebusiness.Computation of Maturity Benefit excludes service tax. Forbenefit values, net of service tax, please refer to the SalesIllustration.$Premium paying term is same as policy term.**Computation of the net yield excludes mortality charges,inbuilt benefit charges and service tax on charges asapplicable.

Service tax is applicable as per governing laws and the sameshall be borne by the policyholder. Tata AIG Life InsuranceCompany Limited reserves the right to recover from thePolicyholder, any levies and duties (including service tax), asimposed by the government from time to time.

^II. What Flexibilities does my Policy have ?

Flexibility of Partial Withdrawals:

This is a regular pay policy and it is in your best interest tostay invested for the entire term. This will enable you to notonly follow a disciplined savings approach, but also, enjoy allthe special benefits offered under the innovative product.However, for contingency needs during the term of thepolicy, you may avail of the partial withdrawal option.

In case you need money for any emergency or otherwise,this plan offers you an option to withdraw from your fund.

The withdrawals from regular premium fund are allowedafter five anniversaries from the date of issuance of yourpolicy, provided policy is in force. Minimum partialwithdrawal is ` 5,000 subject to Total Fund Value post suchwithdrawals is not less than an amount equivalent to oneyear's Annualised Regular Premium.

Partial Withdrawals should be made first from the Top-UpPremium Fund and then from the Regular Premium Fund, ifamount in the Top-Up Premium Fund is insufficient.Maximum of four (4) partial withdrawals are allowed in a

policy year. There are no charges on partial withdrawals.

Partial withdrawal from the Top-Up Premium Fund can beallowed only after 5 policy years from the date of acceptanceof each such Top-Up Premium. Partial withdrawal will not beallowed post Insured's death. Partial Withdrawals are allowed

in case of Total Permanent Disability of the Insured. TheCompany may alter the partial withdrawal rules, on priorapproval from the Insurance Regulatory and DevelopmentAuthority.

You have the flexibility to pay additional premium as "Top-UpPremium" at any time , provided the policy is in force, except

Flexibility to Increase/ Decrease the Sum Assured

Premium Fund and the value of the Top-Up Fund (if any)valued at applicable unit price, plus Guaranteed Maturity

6Addition (if applicable).

Guaranteed Maturity Addition will be paid as a % of theRegular Premium Fund Value as on the date of maturity as perthe table below:

6Guaranteed Maturity Addition

15 to 19 years 1.50%20 years and above 3.00%

Policy Term Guaranteed Maturity Addition

Guaranteed Maturity Addition will be paid subject to all duepremiums paid and Waiver of Premium / Family IncomeBenefit not being triggered anytime during the policy term.Guaranteed Maturity addition will not be payable on thedeath of the Insured or total permanent disability or lapse or

complete withdrawal of the policy or on the Top-Up FundValue under the policy (if applicable).

The table below gives the Maturity Benefit for a HealthyPerson aged 35 years• Fund Allocation: 50% in Large Cap Equity Fund and 50%

in Whole Life Mid Cap Equity Fund• Annualised Regular Premium: ` 1,00,000• Mode of payment: Annual

#Your Benefit Illustration

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during the last five years of the policy term. You can Top-Upyour policy up to four times in a policy year. The minimumTop-Up amount is ` 5,000/-. Acceptance of Top-Up Premiumis subject to prevailing underwriting rules. Top-Up Premiumswill not be allowed during disability benefit period and postthe death of the Insured. Every Top-Up Premium will have aLock-in period of five years from the date of acceptance ofsuch Top-Up premiums.

You shall be given an additional Sum Assured for every Top-Up Premium paid. You can choose a multiple equal to 1.25/2.5/ 5/ 10 times Single Top-Up Premium if you are below 45years age and 1.1/2.5/5/ 10 times Single Top-Up Premium ifyour age is 45 and above, subject to underwriting.

Top-Up premiums are subject to charges as described under"What are my Premium and Policy Charges?".

You also have an option to increase or decrease the BasicSum Assured and Top-Up Sum Assured by way of changingthe premium multiple and Top-Up premium multiplerespectively, subject to underwriting and the minimum basicSum Assured/Top-Up Sum Assured allowed under thisproduct as per ULIP guidelines respectively.

Increase/decrease in Basic Premium is not allowed.

Change in Sum Assured / Top-Up Sum Assured is notallowed during disability benefit period.

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You may choose to pay your premiums Annually, Semi-annually, Quarterly or even Monthly as per yourconvenience.7Monthly Premium = 0.0833 of Annual Regular Premium,Quarterly Premium = 0.25 of Annual Regular Premium,Semi-annual Premium = 0.50 of Annual Regular Premiumsubject to minimum premium conditions for each mode

This Rider provides for an additional benefit amount up to theBasic Sum Assured purchased, subject to underwritingrules, in case of death due to an accident.

This coverage includes an accidental death benefit up to theBasic Sum Assured purchased subject to underwriting rules,and a schedule of benefit percentages of the Basic SumAssured, payable in case of accidental dismemberment orsevere burns. A double indemnity is payable for certainaccidental deaths as described in the policy document.

Please note that you can either opt for Tata AIG LifeAccidental Death Benefit rider or Tata AIG Life AccidentalDeath and Dismemberment (Long Scale) rider.

Flexibility of Premium Mode

8Flexibility of Additional Coverage

Tata AIG Life Accidental Death Benefit (ADB) Rider (UIN:110C003V01)

Tata AIG Life Accidental Death and Dismemberment (LongScale) (ADDL) Rider (UIN: 110C004V01)

Tata AIG Life Critical Illness (Lump sum Benefit) Rider(UIN: 110C012V01)

Settlement Option

III. Where is my money invested?

In case you are diagnosed with a critical illness, or needsurgery, this benefit provides you with a lump sum amount.The benefit covers cancer, stroke, heart attack, coronarybypass graft surgery, kidney failure and major organtransplants. For this benefit to be payable, the insured needs

to survive for a period of at least 30 days post the operation/diagnosis of critical illness. There is a waiting period of 180days from the date of issue of the rider, after which the covergets activated. While this benefit ceases after you make oneclaim, your basic policy will be kept in force, provided youcontinue to pay the basic premiums.

In case of death or total permanent disability of the lifeinsured, all the attachable riders as listed above will beterminated without any value8Riders are not mandatory and are available for a nominalextra cost. For more details on the benefits, nature ofillnesses covered, premiums and exclusions under theseriders, please contact our Insurance advisor or visit ournearest branch office.

Provided policyholder is alive on the maturity date, he/shehas an option to receive the maturity amount either in lumpsum or in installments over a period of time. This period,termed as Settlement Period, may be extended up to a

maximum of five years from the date of maturity. The frequency and amount of the installments will be chosen byyou at the time of maturity while exercising this option. Thevalue of such periodical payments will depend on theperformance of the funds selected for investment. Switchingand partial withdrawals (other than the aforesaid periodicalpayments) are not available during the Settlement Period. Atany time during the settlement period, you have the option towithdraw the Total Fund Value.

During Settlement Period, no life cover or other insurancecover will be provided. In the unfortunate event of death, theTotal Fund Value at the time of death will be returned to thenominee. During this period, Fund Management Chargesand Policy Administration Charge will be deducted as shownunder "What are my Premium and Policy Charges?"

During this Settlement Period, the inherent investment riskwill be borne by the policyholder.^ Conditions apply. Please contact our Insurance Advisor orvisit our nearest branch office for further details

This product offers you the flexibility to invest in a mannerthat suits your investment risk profile and individual needs.a) You can choose from the 7 investment fund options

ORb) Choose any of the PORTFOLIO STRATEGIES from below

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Name ofthe Fund

Fund Objective FundAllocation

LargeCapEquityFund

The primary investmentobjective of the Fund isto generate long - termcapital appreciation

from a portfolio that isinvested pre-dominantlyin large cap equity andequity linked securities.

Equities andEquity linkedInstruments -80 to 100%;Cash / MoneyMarketInstrumentsupto 20%

RiskProfile

High

WholeLife Mid-CapEquity

Fund

The primary investmentobjective of the Fund is togenerate long - termcapital appreciation from

a portfolio that is investedpre-dominantly in MidCap Equity and Mid CapEquity linked securities.

Equities andEquity linkedInstruments- 60to 100%;

Cash/ MoneyMarketInstrumentsupto 40%

High

SuperSelectEquityFund

The primary investmentobjective of the Fund isto provide incomedistribution over aperiod of medium to

long term while at alltimes emphasizing theimportance of capitalappreciation. The fundwill invest significantamount in equity andequity linkedinstruments specificallyexcluding companiespredominantly dealing inGambling, Lotteries/Contests, AnimalProduce, Liquor,Tobacco, Entertainment(Films, TV etc) Hotels,Sugar, Leather, Banksand FinancialInstitutions.

Equity andEquity Linkedinstruments -60 to 100%;Debt and Cash/

Money MarketInstruments- 0- 40%

High

The company may add/remove additional investment linked funds from time to time subject to prior approval from theIRDA.

Under exceptional circumstances investment in Cash /Money Market Instruments in all above funds may go up to100%.

Exceptional circumstances may includea) Global financial or credit crisis,b) War like situation,c) Political uncertaintyd) Events like Political/ Communal disturbance which

affects Indian economy and in turn impacts severely onFixed Income/ Equity market.

i) Systematic Money Allocation & Regular Transfer(SMART)

ii) Automatic Asset Allocation (AAA)

You can choose from a variety of funds.

Your Regular Premium and Top-Up Premium (if any), net ofpremium allocation charges is invested in one or more

investment funds as per your required asset allocation. Youhave the option to choose any or all of the 7 Funds or such funds as are available at the time of allocation, based on yourpreferred asset allocation.

Name ofthe Fund

Fund Objective FundAllocation

RiskProfile

WholeLifeIncomeFund

The primary investmentobjective of the Fund isto generate income byinvesting in a range ofdebt and money marketinstruments of variousmaturities with a view tomaximize the optimalbalance between yield,safety and liquidity.

DebtInstruments- 60to 100%; Cash

/ Money MarketInstruments-upto 40%

Low

WholeLifeShort-TermFixedIncomeFund

The primary investmentobjective of the Fund isto generate stablereturns by investing in

fixed income securitieshaving shorter maturityperiods. Under normalcircumstances, theaverage maturity of theFund may be in therange of 1-3 years.

DebtInstruments ofduration lessthan 3 years-60 to 100%;Cash / MoneyMarketInstruments-upto 40%

Low

WholeLifeAggressiveGrowthFund

The primary investmentobjective of the Fund isto provide higher returnsin long term by investingprimarily in Equitiesalong with debt/ moneymarket instruments.

Equities andEquity linkedInstruments -50-80%; DebtInstruments-20-50%; Cash /Money MarketInstruments-upto 50%

Mediumto High

WholeLifeStableGrowthFund

The primary investmentobjective of the Fund isto provide stable returnsby balancing theinvestment in Equitiesand debt/ money marketinstruments.

Equities andEquity linkedInstruments -30-50%; DebtInstruments 50-70%; Cash /Money MarketInstruments-upto 70%

Low toMedium

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These funds have different risk profiles based on differenttypes of investments that are offered under these funds . The

9returns are expected to vary according to the risk profile .9Returns are subject to market conditions.

b) Choose any of the PORTFOLIO STRATEGIES frombelow:

i) Systematic Money Allocation & Regular Transfer(SMART) Investment:

It is a systematic transfer plan that allows a customer to enterthe volatile equity market in a structured manner under theRegular Premium Fund.

Through SMART, one can initially park their entire annualallocable premium along with any existing units in any one

fund (chosen out of the funds of Tata AIG Life Insurance GyanKosh). This fund is called the "Accumulation Fund".Thereafter a defined portion out of the Accumulation Fundwill get transferred to another fund (chosen out of the fundsof Tata AIG Life Insurance Gyan Kosh) other than theaccumulation fund on a monthly basis. This fund is called the"Target Fund"

The "Accumulation Fund" and "Target Fund" are notsegregated funds offered under this product but are thenames used to reflect the investment strategy under the"SMART".

Thus, while the stock market remains volatile and

unpredictable, SMART Investment offers a systematic way ofrupee cost averaging. However, all investments through thisoption are still subject to investment risks, which shallcontinue to be borne by you.

SMART can be availed at the option of the policyholder,exercisable at policy Inception or on any policyanniversary. Request to commence, change or restartSMART should be received 30 days in advance of thepolicy anniversary. The request, if acceptable by theCompany shall take effect on the following policyanniversary.

SMART option is available only to the policies with theAnnual Mode of payment

The automatic fund switches in the SMART option isavailable out of the 24 free switches

The policyholder will have the option to stop the SMARTat any point of time by a written request and it shall takeeffect from the next policy monthly anniversary that

follows our receipt.Manual fund switching for the funds (Accumulation andTarget) on which SMART is active is not allowed. Manual

fund switching is however allowed on other available funds at applicable charges. For Top-Up premiums,manual switching option will be available at applicablecharges. Conditions regarding switch fee, minimum

The following are the notable features of SMART:-ä

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switch and minimum fund after switch etc. for normalswitching option shall be as applicable during theSMART

Any amount remaining in regular premium funds, otherthan the Accumulation Fund and the Target Fund, wouldcontinue to remain invested in those funds

SMART Option will not be available during

discontinuance of PremiumSMART Option is free of charge.

SMART Option will not be available for Top-Up Premium

SMART Option will not be available when AutomaticAsset Allocation is chosen

A portion of total units available in the "AccumulationFund" shall be switched automatically into the "TargetFund" in the following way:

Monthly SMART

Policy Month 1 1/12 of the units available at thebeginning of Policy Month 1

Policy Month 2 1/11 of the units available at thebeginning of Policy Month 2

Policy Month 6 1/ 7 of the units available at the beginningof Policy Month 6

Policy Month 11 1/2 of the units available at the beginningof Policy Month 11

Policy Month 12 Balance units available at the beginningof Policy Month 12

We may refuse request for SMART, or cease offering SMARTby giving 30 days of written notice subject to prior approvalof Insurance Regulatory and Development Authority

Generally, with the increase in age, our risk appetitedecreases. Automatic Asset Allocation is a unique featurethat takes care of your portfolio and changes its allocation asper your age in such a way that you reap maximum returnswith adjustment to risk exposure of your portfolio.You can opt for this option anytime which will automaticallydistribute your investment into two funds with different riskprofile and fund objectives. Large Cap Equity Fund andWhole Life Income Fund are the two funds in which yourinvestment will be distributed depending on your age. Agewise table is given below:Your funds will be allocated in the following manner:

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ii) Automatic Asset Allocation (AAA)

Fund Allocation details at policy inception and duringpolicy term

18 - 25 85% 15%26 - 30 80% 20%31 - 35 75% 25%

^Age Band Large Cap Equity Whole Life IncomeFund Fund

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anniversary of your policy following your birthday andnot on your actual birthday.

8) Automatic Asset Allocation Option will not be availablewhen SMART is chosen.

9) The policyholder will have the option to stop the AAA atany point of time by a written request and it shall takeeffect from the next policy monthly anniversary that

follows our receipt.We may refuse request for Automatic Asset Allocation orcease offering Automatic Asset Allocation by giving 30 daysof written notice subject to prior approval of InsuranceRegulatory and Development Authority.

The NAV per unit or Unit Price will be calculated as:

Unit Price / Net Asset Value per unit = (Market/Fair Value of

the investments held by the Unit Fund+ Expenses incurred inthe purchase of the assets + Value of Current Assets+Accrued income net of fund management charges -Current Liabilities and Provisions) / Total No. Of Units existingin the Unit Fund as on the valuation date

However, when the Company is required to sell assets toredeem the units, the NAV per unit/ Unit Price will becalculated as

Unit Price / Net Asset Value per unit = (Market/Fair Value ofthe investments held by the Unit Fund - Expenses incurred inthe sale of the assets + Value of Current Assets + Accruedincome net of fund management charges - Current Liabilitiesand Provisions) / Total No. Of Units existing in the Unit Fundas on the valuation date.

The Net Asset value (NAV) per Unit/Unit price will bedetermined and published daily in various financialnewspapers and will also be available on www.tata-aig-life.com, the official website of Tata AIG Life. All you have todo is multiply the number of Units you have with thepublished Unit Price to arrive at the value of yourinvestments.

Premiums received, after deducting the payable RegularPremium Allocation Charge/ Top-Up Premium AllocationCharge will be used to purchase Units at the Unit Priceaccording to your instruction of Premium Allocation. Unitspurchased by Regular Premium and Top-Up Premium, net ofpayable charges, will be deposited into the Regular PremiumAccount and Top-Up Account respectively.

Where notice is required (Partial Withdrawal, CompleteWithdrawal or death of the Insured), Units being debited shallbe valued by reference to their Unit Price as specified in thesection "Which NAV is applicable?"

In case of proposals or Top-Up Premiums whereunderwriting or any other approval of the Company is

IV. How is the NAV calculated?

Credit/Debit Of Units

Which NAV is applicable?

On approaching maturity age, to ensure capital protection sothat short term market volatility at the time of maturity doesnot impact the investments, we will systematically transferyour investments from Large Cap Equity Fund to Whole LifeIncome Fund in 10 installments during the last 10 quarters ofthe policy term.

The fund allocation might get changed due to market ups &downs. Every policy quarterly anniversary, the investmentsin the two funds will be rebalanced based on the current ageas on the quarterly policy anniversary and the fund allocationpercentage for that age band.

The Automatic Asset Allocation can be chosen for bothRegular Premium and Top-Up Premium accounts. A separateservice request would be required by Company, ifpolicyholder wishes to apply for Automatic Asset Allocationon Top-Up Premium account.

1) Automatic Asset Allocation can be availed at the optionof the policyholder, exercisable at policy inception onany policy anniversary. Request to start the AutomaticAsset Allocation should be received 30 days in advanceof the policy anniversary. You can discontinue this optionany time during the term of the plan.

2) Any amount remaining in Regular Premium funds &Top-Up Premiums funds (if any), other than the Large CapEquity Fund and Whole Life Income Fund, wouldcontinue to remain invested in those funds.

3) Manual fund switching for Regular Premium funds &Top-Up Premiums funds (if any) on which AAA is active isnot allowed.

4) Manual fund switching is allowed on other available funds at applicable charges. Conditions regarding switch fee, minimum switch, and minimum fund after switchetc. for normal switching option shall be as applicable

under this plan.5) The automatic fund switches in the AAA option isavailable in addition to the 24 free switches.

6) Automatic Asset Allocation is free of any charge.

7) For all age-dependant features, the revision topolicyholder's age will be effected on the annual

Other rules for Automatic Asset Allocation:

36 - 40 70% 30%41 - 45 65% 35%46 - 50 60% 40%51 - 55 55% 45%56 - 60 50% 50%61 - 65 45% 55%

^ The Age band refers to the age at last birthday

^Age Band Large Cap Equity Whole Life IncomeFund Fund

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Fund Management Charges are subject to revision byCompany with prior approval of the Insurance Regulatoryand Development Authority but shall not exceed 1.35% perannum of the Fund Value.

10Mortality Charge

The Mortality Charge of the Basic Policy will be deducted bycancelling Units at the Unit Price, from the Regular PremiumFund Value of the Policy on each Policy Month Anniversary.In case of the Top-Up Sum Assured, the same will bededucted from the Top-Up Fund Value. If the RegularPremium Fund Value is insufficient, then mortality charge willbe deducted from the Top-Up Fund Value, if any, and vice-versa.

Mortality charge is the amount of insurance cover for themonth multiplied by the applicable Mortality Charges for themonth, based on the age of the Life Assured. Insurance coveris as defined below:

Insurance cover in each month for Regular Premium Accountis Maximum of Basic Sum Assured or 1.05 times totalpremium paid

Insurance Cover in each month for Top-Up Account isMaximum of Top-Up Sum Assured or 1.05 times total Top-Uppremium paid

# Premium Year is determined by the number of complete 12-months period for which Regular Premium has actually beenpaid, excluding any period of discontinuance of premiums.

The Annualised Regular Premium of the policy is arrived atas below:-

1 to 3 3% 2%

4 to 10 2%

11 to 15 1%

16 onwards 0%

#Premium Year / 20,000 to 30,000Annualised 29,999 and above

Premium Band

Top-Up Premium Allocation Charge: 1.5% of single Top-Uppremium

A Monthly Policy Administration Charge will be deducted bycancelling Units at the Unit Price from the Fund Value of thepolicy and this charge will be increased by 5% p.a.compounded annually subject to a maximum of ` 6000 perannum. This increase will be effective from the next policyanniversary. Tabulated below is the Monthly PolicyAdministration charge for the 1st policy year.

Policy Administration Charge

20,000 - 29,999 70

30,000 - 49,999 100

50,000 & above 150

Annualised Monthly PolicyPremium Band ( ` ) Administration Charge ( ` )

Fund Management Charge (FMC)A Fund Management Charge will be charged for each fund oneach valuation date at 1/365 of the following annual rates andwill be applied on the total values of the investment funds asgiven below

Whole Life Mid-Cap Equity Fund 1.20%Large Cap Equity Fund 1.20%Super Select Equity Fund 1.20%

Whole Life Aggressive Growth Fund 1.10%Whole Life Stable Growth Fund 1.00%Whole Life Income Fund 0.80%Whole Life Short Term Fixed Income Fund 0.65%

Funds Charge per annum

25 1.140

35 1.435

45 3.274

55 9.022

Sample Age Mortality Charges per ` 1000 Sum Assured

as on the date of discontinuance shall be credited to the'Discontinued Policy Fund' as maintained by theCompany. The proceeds of the 'Discontinued PolicyFund', after addition of interest computed at minimuminterest rate of 3.5% p.a. compound, shall be paid to thepolicyholder only after completion of the Lock-in period.

• After the Lock-in Period; the Total Fund Value as on thedate of discontinuance shall be paid to the policyholder.

Lock-in period means the period of 5 consecutive years fromthe date of commencement of the policy, during which periodthe proceeds of the discontinued policies cannot be paid bythe insurer, except in the case of death or upon the happeningof any other contingency covered under the policy.

The Regular Premiums will be payable for the entire policy

term as desired by you. The net Regular Premiums afterdeduction of charges are invested in funds as per your choice.

#VIII. What are my Premium and Policy Charges ?

Premium Allocation Charge

If monthly paid Monthly Regular Premium / 0.0833If quarterly paid Quarterly Regular Premium / 0.25

If semi-annually paid Semi-annual Regular Premium / 0.5

If annually paid Annual Regular Premium / 1

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Backdating

Policy Loan

Tax Benefits

Nomination and Assignment

Exclusions

Backdating is not allowed in Tata AIG Life InsuranceGyan Kosh

Policy Loan is not allowed in Tata AIG Life InsuranceGyan Kosh

Premiums paid under this plan are eligible for tax benefits11under section 80C of the Income Tax Act, 1961 . Moreover,

life insurance proceeds enjoy tax benefits as per section10(10D) of the said Act.11 Tax benefits are available as per Income Tax Act, 1961, andare subject to modifications made thereto from time to time.Tata AIG Life does not assume the responsibility on taximplication mentioned anywhere in this document. Pleaseconsult your own tax consultant to know the tax benefitavailable to you.

While this policy is in force, the policyholder may changeownership of this policy and/or the Nominee/Appointee by

filing a written notice to the company. Such change is validonly if recorded by the company during the lifetime of theInsured and endorsed on this policy.

The beneficiary/nominee will not have any rights such assurrender, partial/complete withdrawal, switches, andpremium redirections except to receive the benefits(maturity and death) available under the contract.

If the Insured, whether sane or insane, commits suicidewithin one year from the Issue Date or Commencement Date

of the policy, our liability shall be limited to the Total FundValue, valued at the applicable Unit Price.

The inbuilt benefits (Waiver of premium and Family IncomeBenefit) shall not cover any Total Permanent Disabilitycaused directly or indirectly, wholly or partly, by or arising outof any of the following occurrences:

a) Assault or attempt to murder or murder;

b) Riot and civil commotion, industrial action or terroristactivity;

c) War, declared or undeclared, or revolution;

d) Service in the armed forces in time of declared orundeclared war or while under orders for warlikeoperations or restoration of public order;

e) Self destruction or attempted self-destruction or self-

inflicted injuries while sane or insane; f) Entering, exiting, operating, servicing, or being

transported by any aerial device or conveyance exceptwhen the Insured is on a commercial passenger airlineon a regular scheduled passenger trip over itsestablished passenger route;

g) Any congenital defect which has manifested or wasdiagnosed before the Insured attains 17 years of age.

h) In our opinion the insured was suffering from Acquired

Immuno-Deficiency Syndrome (AIDS) or infection byany Human Immuno-Deficiency Virus (HIV). For thepurpose of this Policy:-

i. The definition of AIDS shall be that used by the WorldHealth Organization in 1987, or any subsequentrevision by the World Health Organization of thatdefinition.

ii. Infection shall be deemed to have occurred whereblood or other relevant test(s) indicate in the opinionof the Company either the presence of any HumanImmunodeficiency Virus or Antibodies to such aVirus.

i) Deliberate act(s) of the Policyholder, Nominee or Insured;

j) Violation or attempted violation of the law or resistanceto arrest;

k) Exclusions under the General Provisions of the BasicPolicy.

No benefit will be provided for Total Permanent Disabilityresulting from a physical or mental condition which existedbefore the Issue Date or Commencement Date of the policywhich was not disclosed in the Application or healthstatement. For exclusions on the rider benefits, please referto the respective supplementary contract.

1. No person shall allow or offer to allow, either directly or

Inbuilt Benefit Exclusions

Insurance Act, 1938, Section 41 (Prohibition of Rebates)

IX. Other Plan Features

Free Look Period

Grace Period

If the policyholder is not satisfied with the Terms & Conditionsof the policy, he/she has the right to cancel the policy bygiving written notice to the Company and receive thepremiums invested into the funds at Unit Price as at the dateof cancellation along with the charges paid after deducting a)

for proportionate Risk and Rider Premium (if any) for theperiod on cover and b) Stamp duty and medical examinationcosts which have been incurred for issuing the Policy. Suchnotice must be signed by policyholder and received directlyby the Company within 15 days after the policyholderreceives the Policy Document.

If you are unable to pay your Regular Premium on time,starting from the regular premium pay-to-date, a graceperiod of 30 days will be offered for policies on Annual, Semi-Annual or Quarterly Modes. For policies on monthly modethe grace period would be 15 days. During this period yourpolicy is considered to be in force with the risk cover as perthe terms & conditions of the policy.

24 25



indirectly, as an inducement to any person to take out orrenew or continue an insurance in respect of any kind ofrisk relating to lives or property in India, any rebate of thewhole or part of the commission payable or any rebate ofthe premium shown on the policy, nor shall any persontaking out or renewing or continuing a policy accept anyrebate, except such rebate as may be allowed inaccordance with the published prospectuses or tables of

the insurer.2. If any person fails to comply with sub regulation (1)

above, he shall be liable to payment of a fine which mayextend to rupees five hundred.

No policy of life insurance effected before thecommencement of this Act shall after the expiry of two years

from the date of commencement of this Act and no policy oflife insurance effected after the coming into force of this Act

shall, after the expiry of two years from the date on which itwas effected be called in question by an insurer on theground that statement made in the proposal or in any reportof a medical officer, or referee, or friend of the insured, or inany other document leading to the issue of the policy, wasinaccurate or false, unless the insurer shows that suchstatement was on a material matter or suppressed factswhich it was material to disclose and that it was fraudulent lymade by the policyholder and that the policyholder knew atthe time of making it that the statement was false or that itsuppressed facts which it was material to disclose

Provided that nothing in this section shall prevent the insurer from calling for proof of age at any time if he is entitled to doso, and no policy shall be deemed to be called in questionmerely because the terms of the policy are adjusted onsubsequent proof that the age of the life insured wasincorrectly stated in the proposal.

Tata AIG Life Insurance Company Limited (Tata AIG Life) is a joint venture company, formed by Tata Sons and AIA GroupLimited (AIA). Tata AIG Life combines Tata's pre-eminentleadership position in India and AIA's presence as the largest,independent listed pan-Asia life insurance group in the worldspanning 15 markets in Asia Pacific. Tata Sons holds amajority stake (74%) in the company and AIA holds 26%through an AIA Group company. Tata AIG Life InsuranceCompany Limited was licensed to operate in India onFebruary 12, 2001 and started operations on April 1, 2001.

DISCLAIMER:

Investments are subject to market risk.Unit Linked Life Insurance products are different from thetraditional insurance products and are subject to the risk

factors of fluctuations in investment returns andpossibility of increase in charges. Please know theassociated risks and the applicable charges, from yourinsurance agent or the intermediary of the Company.

Insurance Act, 1938, Section 45

Tata AIG Life - A New Look At Life

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The various funds offered under this contract are thenames of the funds and do not in any way indicate thequality of these plans, their future prospects and returns.

The performance of the managed portfolios and funds isnot guaranteed and the value may increase or decreasein accordance with the future experience of the managedportfolios and funds. Past performance is not indicativeof future performance.

The Premium paid in the Unit Linked Life InsurancePolicies are subject to investment risks associated withcapital markets and the NAVs of the units may go up ordown based on the performance of fund and factorsinfluencing the capital market and the insured isresponsible for his/her decisions.

Buying a life insurance policy is a long-termcommitment. An early termination of the policy usuallyinvolves high costs and the surrender value payable maybe less than the total premiums paid.The brochure is not a contract of insurance. Thisbrochure should be read along with sales Illustration.The precise terms and conditions of this plan arespecified in the policy contract.

Tata AIG Life Insurance Company Ltd. is only the name ofthe Insurance Company and Tata AIG Life InsuranceGyan Kosh is only the name of the Unit Linked LifeInsurance Contract and does not in any way indicate the

quality of the contract, its future prospects or returns.This product is underwritten by Tata AIG Life InsuranceCompany Ltd.

Insurance is the subject matter of the solicitation.

For complete details please contact our Insurance advisor orvisit Tata AIG Life's nearest branch office or call our toll freenumber 1-800-11-9966 (facility available from MTNL andBSNL lines) and 1-860-266-9966 (facility available from allmobile and landlines wherein local charges would apply) or

write to us at [email protected] us at: www.tata-aig-life.com or SMS 'LIFE' to 58888.

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