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What Our Plans Cover
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Death benefit
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Maturity benefit
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Fund switching between the availab...
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Partial withdrawal after the lock-...
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Top-up premiums
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Optional riders at additional cost
Who Can Consider This Plan?
- Entry age typically 18 to 65, with cover ceasing between 60 and 85
- Demonstrable income — the sum assured must be justified by earnings
- Full disclosure of health, smoking, alcohol use and family medical history
- Medical examination, usually required above a threshold age or sum assured
- Indian resident or NRI, subject to the insurer's country rules
What May Not Be Covered?
- Any guarantee of return — the fund value carries full market risk
- Suicide within the first twelve months
- Withdrawal during the lock-in period, commonly five years
- Charges, which are deducted before returns and are not refunded
- Death from concealed material facts
Always check the policy wording before you commit.
Why Choose Wealth & Covers?
- Expert advice to choose the right plan
- Plans from leading insurance companies
- Hassle-free process and documentation
- End-to-end support, including claim assistance
- Dedicated relationship manager
Our Insurance Partners
- Star Health Insurance
- Care Health Insurance
- Niva Bupa Health Insurance
- HDFC ERGO
- ICICI Lombard
- Bajaj Allianz
We represent multiple providers to help you find the most suitable option at the best price.
- Expert Guidance Personalised advice from experienced insurance professionals.
- End-to-End Support From choosing the right plan to claim assistance, we are with you always.
- Claims Assistance Hassle-free claim support to ensure you get what you deserve.
- Transparent Process Clear information, easy documentation and a hassle-free experience.
Overview
A combined term and wealth plan puts life cover and a market-linked investment inside a single policy. Part of each premium buys protection, part is invested in funds you select, and the policy pays either the sum assured on death or the fund value at maturity.
The appeal is administrative: one payment, one document, one decision. The cost is transparency. Once protection and investment share a contract, it becomes hard to see what each is costing you, and mortality charges, fund management fees, policy administration charges and allocation charges all sit between your premium and your returns.
Our position is straightforward. For most people, a pure term plan plus a separate mutual fund investment gives more cover, more control, lower cost and complete visibility. This product is worth considering where the bundle solves a real problem — usually discipline or estate structuring — rather than because it appears simpler.
Who should consider it
Buyers who value a single instrument over an optimised one and will not maintain two separate arrangements. Buyers using insurance deliberately for estate planning, where the structure of the contract matters as much as its return.
It is not the right answer for a first-time buyer trying to solve protection. Solve protection with pure term first, at the cover level you actually need, and treat investment as a separate decision made on its own merits.
Benefits
- Life cover and investment under one contract and one payment
- Fund choice across equity, debt and balanced options
- Switching between funds within the policy, usually without immediate tax
- Partial withdrawal after the lock-in, on most contracts
- Section 80C on premium, with Section 10(10D) on proceeds subject to conditions
- Useful in estate planning where the contract structure itself is the point
What is covered, and what is not
Read the right-hand column first. It is the one that decides whether a claim is paid.
Typically covered
- Death benefit — the higher of the sum assured or the fund value, per the contract
- Maturity benefit — the fund value at the end of the term
- Fund switching between the available options
- Partial withdrawal after the lock-in period
- Top-up premiums, where the contract allows them
- Optional riders at additional cost
Typically not covered
- Any guarantee of return — the fund value carries full market risk
- Suicide within the first twelve months
- Withdrawal during the lock-in period, commonly five years
- Charges, which are deducted before returns and are not refunded
- Death from concealed material facts
- Fund performance, which is neither promised nor underwritten by the insurer
Inclusions and exclusions vary between providers and between plans from the same provider. The wording in your own policy document is what governs — we will walk you through it before you buy.
How it works with us
- 1 We work out the cover, before the plan Income, liabilities, dependants and the years they need supporting. The sum assured is the decision; the brand is a detail.
- 2 Underwriting reality check Health, occupation, smoking and family history decide who will accept you and at what price. Better to know now than after a rejection.
- 3 Two or three quotes with the claim record attached Premium matters, but so does the insurer's claim settlement history and how it treats early claims.
- 4 Proposal, medicals and financial underwriting Medicals are arranged at home. For larger cover the insurer will also want income proof — we prepare that file properly.
- 5 Policy issued, and your family knows where it is A term plan nobody can find is a term plan that does not pay. We make sure the nominee has the details.
Important considerations
The things a brochure tends to leave out. Read these before you decide.
- Ask for the benefit illustration and locate every charge before you commit. If the charges are not obvious to you in the document, that is itself information.
- Compare honestly against the alternative: the same premium split between a pure term plan and a monthly investment. Compare total cover and projected corpus, not just the corpus.
- The five-year lock-in is real. This is not money you can reach in an emergency, which affects how much of your savings should sit here.
- The sum assured on these plans is usually far lower than pure term at the same premium. If protection is the goal, this is the wrong instrument for it.
- Where the plan genuinely suits you — usually for estate planning — buy it for that reason, sized deliberately, rather than as a general-purpose savings vehicle.
Documents required
- Completed proposal form with full health and lifestyle disclosure
- Identity proof — Aadhaar, passport or PAN
- Address proof
- PAN card, mandatory for life insurance
- Income proof — salary slips, Form 16 or filed returns
- Bank statements, for larger sums assured
- Medical reports, arranged by the insurer
- Recent passport-size photograph
Frequently Asked Questions
Is this better than buying term and investing separately?
For most buyers, no. Separating the two gives you more cover per rupee, full visibility of costs, a much wider investment universe and the freedom to change either half independently. The combined product wins mainly on convenience, and convenience is worth paying for only when you know what it costs.
What charges apply?
Typically mortality charges for the cover, fund management charges on the invested portion, policy administration charges and, on some contracts, premium allocation charges. They are disclosed in the benefit illustration. Read it before signing rather than afterwards.
Can I withdraw money if I need it?
Not during the lock-in, which is commonly five years. After that, partial withdrawals are usually permitted within limits. Treat this as long-term money, because contractually that is what it is.
What happens on death — do I get the cover or the fund?
That depends on the contract. Most pay the higher of the sum assured and the fund value; some pay both. It is a defining term of the product and worth confirming explicitly in your own document.
Why do you recommend it less often than a pure term plan?
Because for the same premium a pure term plan buys several times the protection, and a direct investment gives cheaper and more flexible access to the same markets. We recommend this where the bundle solves a genuine problem for the buyer, not as a default.
Want a shortlist instead of a catalogue?
Tell us the situation and an advisor comes back with two or three options that actually fit — and names what each one gives up.