ULIP-Single or Regular Premium

In India,ULIP insurance policies are on the top in themore. But, under single premium product nobody will
popularity chart because it offers more benefits thanask you to pay more as a matter of commitment.
traditional life insurance plans. There are manyIn the initial years of ULIP, single premium product
benefits are available such as higher returns onoffer better returns than regular premium product.
investment, partial withdrawal, flexibility to choose lifeBut, it's balance power shifts down latter. But this is
cover, wider fund options, top up facility, freenot in effect, the product is sold very aggressively
switches, tax benefits, etc.due to IRDA norms. Regular premium ULIP products
If you are looking for long term investment andare also good in various factors such as affordability,
better returns, ULIP is a right option to achieve yourtax benefit and large return.
goal. But, you may find difficulties while purchasingThere are also ULIP charges to consider than single
the ULIP, because there are single and regularand regular premium. It is also important to take a
premium option. You have to choose the right optionoverview of different charges are under ULIP plans.
for you.It includes premium allocation charge, risk cover
In single premium ULIP, you need to pay a singlecharges, policy administration charges, fund
payment and you will enjoy the benefits throughoutmanagement charges, service tax charge,
the policy term. In case of regular premium, you needmiscellaneous charge, etc.
to pay premium on regular basis, it can be paid byAt the end, ULIP is a good mixture of life cover and
annual, half annual, quarterly and monthly mode.investment. But don't buy it for investment purpose
In terms of investment, both products offers similaronly, there are another good options available for the
options like equity, debt and liquid. Under regularinvestment.
premium option you may ask for commitment to pay