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Tata AIA Eases Savings with Premium Offset
19 Jan
Summary
- New plan offsets six premiums within a 12-year term.
- A 'Power of 6' variant offers up to 6% internal rate of return.
- Premiums qualify for tax deductions under Section 80C.
Tata AIA Life Insurance has launched significant enhancements to its Fortune Guarantee Supreme savings plan, introducing a unique Premium Offset feature. This mechanism aims to alleviate the financial strain of long-term savings by allowing policyholders to pay premiums for only half the term, with the insurer covering the rest. This customer-centric approach is designed to make disciplined saving more sustainable.
The enhanced plan now includes a 'Power of 6' variant, which offers guaranteed returns with an internal rate of return (IRR) of up to 6 percent, subject to policy conditions. This option is particularly suited for individuals seeking predictable income for retirement or other substantial financial objectives, providing a secure avenue for wealth accumulation.
This non-linked, non-participating life insurance savings plan provides guaranteed benefits and life cover throughout the policy term. Further financial advantages include tax deductions for premiums under Section 80C and tax exemption for maturity and death benefits under Section 10(10D) of the Income Tax Act. The company reported strong performance with ₹31,484 crore total premium income in FY25.
