ULIP - UNIT LINKED INSURANCE PLANS

ULIP (Unit Linked Insurance Plans) is a new concept mainly designed to overcome the shortcomings of traditional policies. ULIPs are no doubt feature rich plans but expense rich as well. Feature rich because these have many flexible features which were not there in traditional policies. ULIP is a costly product as far as it expenses are concerned.

You must understand one fact that unlike traditional policies, entire investment risk of ULIP is borne by the policy holder. ULIP returns are not guaranteed rather these are market linked. Under this fact, we must understand the various fund options of ULIP from their risk return perspective in order to choose correct fund options. Thereafter it is essential to understand its various flexible features and the art to use them to our benefits. This way only we can derive maximum out of our ULIP investments otherwise we may end up getting very little. Making ULIP work for us is in our hands.

Please go through page nos 333 to 344 of the book “Right Attitude to High Altitude” to understand its various features and also to learn how to utilize them to our benefit.