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How The NAV Of ULIP Policy Is Calculated?

Bajaj Allianz Ulip plans offer flexibility of market linked returns on investments & life insurance cover for you & your family. Ulip offers you best Tax Benefits.<br>https://www.bajajallianz.com/Corp/ulip-plans/ulip.jsp

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How The NAV Of ULIP Policy Is Calculated?

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  1. How the NAV of ULIP policy is calculated? ULIP plans are investing your money into the equity market. It is the same like the mutual funds, but ULIPs are providing the life cover and also linked to the insurance policy.

  2. What is Net Asset Value (NAV) of a policy? NAV of a ULIP plan is nothing but the book value. How NAV of ULIP is calculated? NAV or ‘Net Asset Value’ is the value of the asset held by the insurance company after deducting the various charges like Admin Charges, Mortality Charges, Fund Management Fees etc.NAV of a ULIP scheme also varies on a day-to-day basis. NAV of a particular ULIP scheme can be calculated using the formula mentioned below –

  3. Just image this scenario that you have a relative who has just died and you know that he has a life insurance policy which names you as the beneficiary but there is a problem. You cannot find the insurance policy and you do not have a clue which insurance company sold the policy to your relative. This might sound frightening but till happens more often that we want to believe.Many people find life insurance policies after death of a relative but it is always in the future. They are plagued with just one question -- are they are entitled to receive the death benefit? Net Asset Value (NAV)* = “(Market Value of Investments held by the fund + Value of Any Current Assets) – (Value of Current Liabilities & Provisions) / Number of units existing at valuation date (before creation / redemption of any units)”

  4. Benefits Of ULIP NAV Unit Linked Plans offer unique opportunity to combine protection with investments. Some special features of Unit Linked Life Insurance Policies (ULIPs) are: Provides flexibility in investments ULIPs offer a complete selection of high, medium and low risk investment options under the same policy. You can choose an appropriate policy according to your risk taking appetite, coupled with the opportunity to switch between fund options without any additional expense for specified number of switches. ULIPs provide the flexibility to choose the sum assured and investment ratio in the annual targeted premium. It also offers the flexibility of one time increase in investment portfolio, through top-ups to avail investment opportunity offered by external environment or own income flows.

  5. Transparency: The charge structure, value of investment and expected IRR based on 6% and 10% rate of returns, for the complete tenure of the policy are shared with you before you buy a product. Similarly, the annual account statement, quarterly investment portfolio and daily NAV reporting, ensures that you are aware of the status of your investment portfolio at all times. Most companies publish latest NAVs on their respective websites on a daily basis. Liquidity: To cope with unforeseen circumstances, ULIPs offer the benefit of partial withdrawal; wherein after 5 years you can withdraw funds from our Unit Linked account, retaining only the stipulated minimum amount.

  6. Disciplined and regular savings: ULIPs help you inculcate a regular saving habit. Also, the average unit costs tend to be lower than one time investment. Multiple benefits bundled in one product: ULIP is an outstanding solution for risk cover, long term investments with the benefit of various investment opportunities, coupled with tax benefits. Spread of risk: ULIPS are ideal for those investors who wish to avail the benefit of market linked growth without actually participating in the stock market, with the added benefit of risk-cover.

  7. ULIP NAV is dependent on the value of the fund. As the value of fund changes according to market conditions, the NAV value changes. Hence at the end of every working day, the fund managers re-calculate the NAV and post the updated value on their company website to give customers a glimpse on the performance of their funds in market. Thus, you can conveniently track the Ulip NAV of your fund.

  8. Follow us on https://www.facebook.com/bajajallianzlifeinsuranceltd https://www.linkedin.com/company/bajaj-allianz-life-insurance-co-ltd- http:///plus.google.com+bajajallianz/posts https://twitter.com/bajajallianzLIC https://www.youtube.com/user/jiyobefikar https://instagram.com/bajajallianzlifeinsurance

  9. Visit to know more on ULIP NAV: https://www.bajajallianz.com/Corp/ulip-plans/ulip.jsp Thank You….!

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