As said before, Aviva India's innovation is to disburse the sum assured at regular intervals upon the death of the life assured. That's, 10% as lump sum amount immediately after the demise and 6% per annum over the next 15 years. For instance, if the sum assured is . 1 crore, the nominee will get . 10 lakh upon the policyholder's death. For the next 15 years, the insurer will disburse . 6 lakh every year. Since the amount is in the nature of death benefit, the beneficiaries don't have to pay any taxes. "There are two primary objectives when one thinks of buying a term plan —

(a) to pay off debts in case of death and

(b) to have a large enough corpus for the family to generate a regular income.

While pure term plans address both the needs, the basic condition is that your family is able to manage the money received and generate a regular income out of the same," says Rishi Piparaiya, director, marketing and bancassurance at Aviva India. According to him, the new product will facilitate regular flow of income for the family, "without any risk of a lump sum being spent or taken away by someone". Another key difference is the premium. The new product is cheaper than the regular online term plan. A 30-year-old woman buying a . 1-crore cover for 20 years will have to pay an annual premium of . 6,812 (plus taxes) under the insurer's regular online term plan. In case of the new i-life Secure plan, she will have to pay only . 4,972.

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These Application Forms can be used for buying regular mutual funds also

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