ICICI Pru Guaranteed Wealth Protector

You can enjoy the opportunity to get potentially better returns and grow your money by investing in a mix of equity and debt. This combination helps you beat inflation while protecting your investments.

How does a mix of equity and debt beat inflation?

Inflation is the rate at which the price of goods and services increases over a period of time. For example, the average price of petrol has increased from ₹ 100 in 2005 to ₹ 243 in 2017 as a result of inflation over the same period*.

On the other hand, savings rate is the rate at which your savings grow. To gain from your investments, your savings rate should be higher than the inflation rate.

In order to get better returns in the long run, it is advisable to have exposure to equity. Although equity markets are subjected to short term market volatility, the impact of this short term volatility on long term investments made to equity funds in ULIPs is negligible.

Below is an example of how investing in a mix of equity and debt can help in building your savings, while protecting your investment over the long run.

If 60% of your money was invested in the equity market and 40% in debt market^## in the last 10 years, your investment would have grown by around 12% on an annualised basis. This growth would have helped you stay ahead of the inflation rate of about 6%^# in the same period.

*As per the IOCL Petrol Prices in Delhi
^#Source: Bloomberg - WPI inflation average of 10 years (from March 2005 to March 2015)
^##Equity market: BSE 100; Debt market: CRISIL Composite Bond Index (from March 2005 to March 2015)

To reward you for being a loyal customer, the company further adds to your savings with Loyalty Additions, which helps your wealth grow.

What are Loyalty Additions?

Each Loyalty Addition is equivalent to 0.25% of the average Fund Value*. Loyalty Additions will be added as extra units at the end of every policy year, 6th policy year onwards.

*Average of the Fund Values on the last business day of the last eight policy quaters.

The company also adds a Wealth Booster to your savings. This helps you grow your money without having to make any additional investments.

What is the value of Wealth Boosters that I will get?

At the end of the tenth policy year, Wealth Booster addition will be equal to 3.25% of the Fund Value average* for the Five Pay option and 1.5% for the One Pay option.

Is this a guaranteed feature of the product?

Yes, the allocation of Wealth Booster units is guaranteed.

*Fund Value is the total value of the money that is invested in a fund of your choice.

This plan offers you Life Growth Fund (SFIN: ULIF 134 19/09/13 LGF 105) and Life Secure Fund (SFIN: ULIF 135 19/09/13 LSF 105) to choose from. For further details on these funds, please refer to the product brochure.

ICICI Pru Guaranteed Wealth Protector provides you and your family all-round protection. In case an unfortunate event occurs during the policy term, your family receives a lump sum amount. This amount ensures that even in your absence, your loved ones can live the life you have planned for them.

How much money will my loved ones receive in my absence?

Your family will receive an amount that is the higher of:

• A fixed amount, also called the Sum Assured

• Minimum Life Cover equal to 105% of the total premiums paid

• Fund Value that is the total value of the money that is invested in a fund of your choice⁺

With this plan, you can reduce your taxable income by investing up to

₹ 1.5 lakh under Section 80C. This will help you save tax. What’s more, even shifting your money from equity to debt or debt to equity is completely tax-free*. The money you get on maturity is also tax-free*.

*Tax benefits under the policy are subject to conditions u/s 80C, 10(10D) and other provisions of the Income Tax Act, 1961. Applicable taxes will be charged extra as per prevailing rates. Tax laws are subject to amendments from time to time.