Aviva Life Child Plans

Aviva India is the outcome of a joint venture between Dabur Invest Corp., one of India's oldest and the most respected business houses and Aviva Plc., a UK based insurance group. Their combined synergy is more than 31 million customers across 16 countries. They provide insurance solutions to every citizen of the country so that they can live a carefree and happy life.

Along with a dedicated workforce and world-class insurance products, Aviva life brings various Child Plans to ensure that every child gets the right education and substantial financial support during important milestones of their life even in the absence of their parents.

Child Plans takes care of a child's financial needs not only during the lifetime of the parents but also after their demise. As a beneficiary or a nominee, the child receives a sum assured or a maturity amount either by way of a lump sum amount or through flexible or regular payouts.

The main purpose of a Child Insurance Plan is to secure a child's future financially. A Child Plan is not only useful for insurance purposes but is also a great tool for investment. As far as possible, investment in child policies should be early enough to receive higher returns in the long run and provide for the finances for the child's needs as and when they arise.

Salient Features and Core Benefits of Aviva Life Child Plans

The following are the common features and benefits of Aviva Life Child Plans –

  • Child Plans with low premiums are economical enough to cater to everyone
  • Death benefits are meant for the family
  • Tax benefits on premium payments and death benefits are applicable as per the income tax laws
  • Child Plans help for building a corpus for a child's educations. A child education consists of not only school and college but even higher education expenses along with extracurricular activity expenses. Therefore, this corpus for a child's education by way of a Child Plan can be very helpful for the bright and fruitful future of the child
  • Child Plans are very helpful as they allow partial withdrawal of money during the term of the plan for any medical treatment of the child. These withdrawals are useful to pay the medical bills in case the child falls sick, is hospitalised due to an ailment or a minor accident or a serious medical condition. It acts as good support to reduce the financial burden occurred by medical expenditure. Such payouts are also an add-on for a person's health insurance plan
  • Child Plans act as a support to the child in the event of the death of a parent or parents. The death of the parents can cause severe trauma to the child, leaving their future hanging. The insurance company thereby offers a premium waiver in case if the policyholder or parent passes away during the tenure of the child education policy. This premium waiver benefit comes along with the best child education plan wherein the child receives a lump sum amount which is promised at the time of the purchase of the plan and does not have to pay the balance premium. This rider also enables the policy to continue to break free and the rest of the financial burden of the remaining premium is borne by the insurance company
  • Child Plans also act as income provider for the child as they receive regular income which is equal to 1% of the sum assured if their parents are not alive to pay the premium
  • Child Plans also act as collateral for loans towards higher education. A Child Plan can be extremely useful in case if the policyholder intends to apply for a loan for the child's higher education or international education. These Child Plans can be used as collateral for another child-related borrowing too.

List of Child Plans offered by Aviva Life Insurance

It is essential to understand a Child Plan before investing in them. The Child Plans are those plans wherein the parent is the policyholder, and the beneficiary or the nominee is the child. In case if the policyholder dies during the tenure of the plan then the policy will continue and the nominee or the beneficiary will not have to pay any further premiums. At the time of maturity, the sum assured and other benefits as decided at the time of the purchase of the policy will be receivable by the child.

Some of the Child Plans from Aviva Life are as follows -

  • Aviva Young Scholar Advantage Plan
  • Aviva Young Scholar SecurePlan
  • Aviva Dhan Nirmaan
  • Aviva Dhan Samruddhi
  • Aviva Life Bond Advantage
  • Aviva Live Smart
  • Aviva Wealth Builder
  • Aviva I-Growth
  • Aviva New Family Income Builder
  • Aviva Dhan Vriddhi Plus

Aviva Life Child Plans Details

Aviva Life Insurance offers the following child insurance plans –

  • Aviva Young Scholar Advantage Plan

    This plan is a unit-linked child insurance plan that protects the child's financial future and also provides a market-linked return towards capital appreciation. The following are the salient features and benefits of the plan –

    • The plan offers an option to pay the premium either for the entire duration of the plan under the regular pay option or for the time of 5 years under the limited pay option for the payment of premium.
    • The policyholder can either self-invest the premium net of the applicable charges or invest it under the systematic transfer plan or automatic allocation of the asset option
    • Under the systematic transfer plan, there is an initial Investment of premium in the debt fund. Then slowly, there will be a redistribution of it towards the equity fund. Transfer of funds stops during the last two years of the policy after which there is a switch of funds from the equity fund to the debt fund for the protection often from a volatile market
    • Using the automatic asset allocation option, there is an initial investment of the net premium in the ratio of equity and debt funds with a higher inclination towards the equity funds. However, after a certain time, there is a slow allocation of funds from equity to the debt fund by decreasing the exposure to equity
    • The policyholder has a choice of investment in seven funds in case if they want to invest for themselves: Balance Fund II, Enhancer Fund II, Bond Fund II, Infrastructure Fund, Growth Fund II, PSU Fund and Protector Fund II.
    • The fund value is payable upon maturity of the policy
    • There are loyalty additions that accrue at the end of the 15th year of the policy and thereafter twice every 5 years. These loyalty additions are expressed as a percentage of the available value of the fund
    • In case of demise of the policyholder during the term of the plan, the nominee immediately receives the higher of the basic sum assured including any of the top-ups of sum assured or 105% of all the premiums paid until the date of death. Moreover, the insurer credits all the future premiums and the total premiums to the fund value, which keeps on growing for the remaining term of the policy. Upon maturity, the nominee receives this applicable fund value
    • The plan comes with an inbuilt accidental death benefit feature wherein the nominee or the beneficiary will receive an additional accidental sum assured which is equal to the base sum assured subject to Rs. 50 Lakh maximum, in case of accidental death of the policyholder
    • The plan permits four partial withdrawals every year with a minimum amount of Rs. 5000
    • The plan permits up to twelve switches annually for changing between the funds and redirection of the premium facility to redirect the future premiums into any other fund

    Eligibility Details for Aviva Young Scholar Advantage Plan

    Criteria

    Minimum

    Maximum

    Parents Age of Entry

    21 Years

    Regular Pay - 45 Years

    Limited Pay - 40 Years

    Childs Age of Entry

    Zero Years

    17 Years

    Age of Maturity

    -

    60 Years

    Term of Policy

    10 Years

    25 Years

    Amount of Premium

    Regular Pay – Rs. 25,000

    Limited Pay – Rs. One Lakh

    No Limit

    Sum Assured

    It is higher of 10 Times the Annual Premium or 0.5 Times Annual Premium

    No Limit

    Term of Premium Payment

    Equal policy term or 5 Years

     

    The Frequency Premium Payment

    Annually, Half Yearly or Monthly

     

  • Aviva Young Scholar Secure Plan

    This is a traditional child insurance plan to protect the future of the child, even in the absence of the parents. The following are the salient features and benefits of the plan –

    • All the premiums that are payable under the plan are for a limited term only depending upon the age of the child
    • The plan comes with four variants which depend upon the amount of the premium payable and the benefits which are applicable depending upon the type of plan chosen, for example, for the premium Rs 25,000 the variant applicable is silver; for Rs 50,000 the variant is gold; for Rs. 1 Lakh the variant is diamond, and for all levels above this the variant is platinum
    • The variable payouts are payable under the plan for taking care of the child's expenses
    • There is a guaranteed annual payout known as a Tuition Fee Support which depends upon the choice of the premium variant that is payable every year on the completion of the premium paying term and till the child reaches the age of 17 years
    • There is a lump sum amount given towards the College Admission Fund on the child reaching the age of 18 years
    • Another lump sum amount which is known as the Higher Education Reserve is payable when the child attains the age of 21 years
    • The Tuition Fees Support and the College Admission Fund is a fixed amount, which depends on the premium amount and the choice of the kind of plan. However, the Higher Education Reserve calculation as the maturity sum assured is based on the net of the Tuition Support Fee, and College Admission Fund already paid
    • In case of the death of the policyholder during the term of the policy, the beneficiary or the nominee receives the death sum assured higher than 10 times the annual premium or maturity sum assured or 5% of all the premiums paid till the date of death. Furthermore, all the above-mentioned benefits will keep on accruing as and when they arise
    • This plan has an option to avail Aviva Term Plus Rider for enhancing the protection.

    Eligibility Details for Aviva Young Scholar Secure Plan

    Criteria

    Minimum

    Maximum

    Parents Age of Entry

    21 Years

    50 years

    Childs Age of Entry

    Zero Years

    12 years

    Age of Maturity

    -

    71 years

    Term of Policy

    21 - the entry age of the child

    Amount of Premium

    Silver – Rs 25,000

    Gold – Rs 50,000

    Diamond – Rs 1 Lakh

    Platinum – Rs 2, 4, 6, 8 or 10 Lakh

    Term of Premium Payment

    Child aged 0 to 8 years - 13 minus the child's age of entry

    Child aged 8 years and above - 5 years  

    The Frequency Premium Payment

    Annually, Half Yearly or Monthly

  • Aviva Dhan Nirmaan

    This is a guaranteed regular stream of income providing plan. It provides a regular income at the end of the premium paying term with a bonus at the end of the term of the policy. One can also choose from the four terms of policy and the maximum sum assured per life is Rs. 1 Crore

  • Aviva Dhan Samruddhi

    This is a traditional life insurance plan helping to meet short term as well as long term requirements through guaranteed cashback every five years in addition to the guaranteed maturity benefit. The plan also offers guaranteed yearly additions of up to 9% of the annual premium

  • Aviva Life Bond Advantage

    This is a medium to a long term plan which offers the option to switch between seven different options of the funds for the growth of wealth. The plan also provides an additional life cover and a partial withdrawal of money after five years

  • Aviva Live Smart

    This plan is unit-linked insurance, which offers the flexibility to choose of seven funds to make personal investments. These funds have varying degrees of equity and debt exposure targeting long term growth. In case of any sudden need, there is a facility to withdraw money after five years without paying any penalty

  • Aviva Wealth Builder

    As the name suggests the plan offers an option of three policy terms and guarantees to double the amount of money that is payable by way of premiums at the time of maturity of the policy. The maximum premium is Rs. 1 Crore per life

  • Aviva i-Growth

    This plan offers a choice of three policy terms and three funds along with a total administrative charge which is as low as 1%. The plan also allows partial withdrawal of money after five years for meeting unexpected expenses

  • Aviva New Family Income Builder

    This plan is a savings plus protection plan with regular returns by way of payouts for twelve years. The maximum yearly premium per life is Rs. 1 Crore, while the sum assured, is 24 times the yearly premium

  • Aviva DhanVriddhi Plus

    This plan offers a unique attraction of 100% return on the premiums payable at the time of the maturity of the policy by way of a guaranteed benefit. If there are any accumulated bonuses, then one also gets those in order to meet the long term needs. Also, there are three payment term options to choose from and the premium payable has to be payable on a yearly basis.

Exclusions in Aviva Life Child Plan

Here are some of the exclusions, which mean those instances when the beneficiary does not receive the sum assured under Aviva life Child Plan –

  • If the policyholder commits suicide within a single year of the purchase of the policy, then such a death would be out of coverage, and there will be a refund of the premiums paid till the date of the death
  • If the policyholder commits suicide within a year of the revival of a lapsed plan, then such a death would be out of coverage. However, in such a case, 80% of the premiums paid or the surrender value of the policy whichever is higher will be available for payment under the plan
  • In case if the policyholder dies due to an overdose of drug or alcohol, then the nominee does not receive any death benefit
  • In case if the policyholder has taken part in any adventurous or risky sports like rock climbing, skydiving, racing, etc. that may lead to death, then the insurance provider will not entertain any claims
  • In case if the policyholder dies due to participation in any criminal or illegal act or activities or any act of war, then the same will not be given coverage by the insurance company

Claim Settlement Process for Aviva Life Child Plan

Below given is the procedure for claim settlement and Aviva Life Child Plans which has to be followed by the policyholder –

  • The nominee must intimate the company about the unfortunate event either online or through Email, by calling the toll free number of the company, writing a letter to the company or visiting the nearest branch of the company
  • The nominee or the beneficiary has to fill up the claim form completely with all the relevant details and submitted to the company either online or offline
  • The nominee or the beneficiary must submit the form with all the supporting and relevant documents with due attestation and certification wherever needed
  • Upon submission of the form with relevant documents, the insurance company undertakes an investigation of the claim
  • If the insurer finds everything in proper order, then there is a claim settlement as per the terms and conditions of the policy.

Documents required for the Claim Settlement Process of Aviva Life Child Plans

The nominee or the beneficiary must submit the following documents while filing for a claim settlement process for Child Plans –

  • Original Policy Document
  • Completely & Countersigned filled Claim Form
  • Nominee ID proof establishing a relationship with Life Insured
  • Copy of death certificate issued by the local authority
  • Address Proof of the Nominee
  • Medical Records (admission notes, discharge summary, test reports etc.)
  • Last Medical Attendance Report (LMA)
  • Post Mortem Report, if it was carried out
  • FIR / Police Report if the case is filed with Police
  • Panchnama / Inquest Report if the case is filed with Police
  • Saving Bank Account Number
  • Newspaper cuttings
  • The contact number of the Claimant
  • Existence Certificate
  • PAN card of the payee

Tax Benefits for Aviva Life Child Plans

Tax deduction on premiums payable as well as tax exemption on the sum assured is available under section 80C and 10 (10D) of the Income Tax Act 1961 for Aviva Life Child Plans.

How to Buy Aviva life Child Plan?

The buying procedure for Aviva life Child Plan is quite a simple, quick and easy process. There are two modes of buying the plans. One can buy either online or make an offline purchase of the plans. Let us go through the details of both the modes of purchase

Online Purchase of Plans –

Some specific plans are available only online. A customer who wishes to buy Aviva life Child Plan should log in to the company's official website and select the required plan. A customer then needs to provide all the details and make a selection of the coverage. There will be a calculation of the premium on the basis of the information given by the customer. The customer will have to pay the premium amount online, and thereby the policy document will be issued. The policyholder can either download the policy document or receive it through Email on their registered email ID.

Offline Purchase of Plans –

There are certain plans that are not available online for purchase. The customer can purchase such plans offline through intermediaries like agents, banks or brokers. The customer can visit any of the nearest branches of the company or schedule an appointment with the agent of the company. The interested customer has to fill up a proposal form and attach the relevant documents. Then the customer needs to pay the premium in advance. Thereafter, they need to submit everything and wait for the acceptance of the proposal by the company. Upon acceptance of the proposal, there will be an issue with the policy.  

How to Renew Aviva life Child Plan?

Aviva Life Child Plans are renewable online with a simple procedure to stop the policyholder need to be a registered user on the Aviva e-portal and can log in using the login ID or customer ID along with the password. The following steps will lead towards the renewal of Aviva life Child Plan –

  • Upon login, an option on display will be Policy purchase' and 'Policy due for renewal'. Select the 'Policy due for renewal payment
  • Then go on to select 'Pay renewal premium now'
  • Select the options offered for payment from NEFT or debit or credit card or net banking or cash or cheque or demand draft or online payment modes
  • Now go for authentication of payment and printing of the receipt

Documents Required for buying Aviva life Child Plan

The following is the list of documents that are essential to buy Aviva life Child Plan –

  • Age Proof - It may consist of either a birth certificate or a tenth or twelfth standard mark sheet and a passport of the child
  • Identity proof – One requires an Aadhar card, PAN card, passport or voter ID
  • Income proof - One requires showing a salary slip or any document from the employer regarding the income of the buyer of the insurance or a bank statement for the past 3 months as proof of income
  • Residence proof - One requires a telephone bill, electricity bill, passport, driving license or ration card of the customer of the insurance
  • Proposal form - the customer should submit a duly filled proposal form for buying the Aviva life Child Plan.

Aviva Life Child Plans - FAQs