- ULIP Returns in 5 Years
- Best ULIP Plans
- Reason to Invest in ULIP
ULIP Returns in 5 Years
Unit-linked insurance plans or ULIPs are a type of life insurance policy. It offers comprehensive benefits of insurance and investment. These plans are gaining high popularity nowadays as they offer huge upside potential depending upon market performance.
Mutual funds offer direct investment in the equity market. These plans also offer direct investment in the Indian stock market holding plenty of companies from all large, mid and small caps.
What are ULIP Returns in 5 Years?
Unit-linked insurance plans or ULIP are the types of insurance plans. They have a specific fund from multiple sectors to receive investment from the investor’s point of view. But how much does ULIP return in 5 years? Generally, ULIP offers returns between 12 to 15% per annum. However, the return can go high and low from this range. It all over depends on the market performance.
Here are a list of the best ULIP returns in 5 years:
| ULIP Name | Fund name | AUM | Returns | ||
| 5 years | 10 years | RSI | |||
| Tata AIA Capital Guarantee solution | Midcap momentum index fund | 204 crore | 38.7% | 26.8% | - |
| Aditya Birla Capital Guarantee solution | Nifty Alpha 50 Index Fund | 12 crore | 32.9% | 26.5% | - |
| PNB Metlife capital Guarantee life solution | Mid-cap fund | 465 crore | 32.8% | - | 24.4% |
| HDFC Capital Guarantee solution | Discovery fund | 6938 crore | 32.5% | - | 26.2% |
| ICICI Prudential Capital Guarantee solution | Mid Cap 150 Momentum 50 Fund | 413 crore | 38.7% | 26.8% | - |
How Does a 5 Years ULIP Work?
Let us understand how a 5-year ULIP works:
Plan selection
The first stage of working on ULIP is selecting the right plan. You can review all the plans thoroughly and choose the specific plan that suits your budget.Making payment
Once you have chosen the right plan, the next step is payment. You can select any payment mode, such as credit card, debit card, net banking, etc.Allocation of premium
Once you are done with your payment, it’s time to allocate of premium. As it offers the dual benefits of investment and insurance. You have to choose, how much percentage of your premium has to go to each segment.Funds selection
As ULIP offers, multiple funds in a single plan. You can choose among that suits you the best. Each fund has specific companies from large, mid and small caps. You can select your investment goals.Fill proposal form
This is the last and most important step of ULIP. In this step, you need to fill in all your personal and nominee information.
Why Should You Invest in Top ULIP Plans?
The following are the reasons why should you invest in ULIP Plans:
- It offers a good return on your investment in a short tenure.
- It offers flexible premium payment terms.
- Some plans offer unlimited switched within funds.
- It offers insurance coverage along with investment.
- It offers tax benefits as per sections 80C, 80D & 1010D.
How to Purchase the ULIP Plan From the Insurer?
Following are the steps, one should take to purchase ULIP:
Step 1 - Visit the official website of the insurer.
Step 2 - Click on the investment plan button.
Step 3 - Click on the ULIP Plans section.
Step 4 - Compare all the plans as per your needs.
Step 5 - Select a plan, and fill in the mandatory information.
Step 6 - Make payment, and download the premium receipt.
Final Words
Unit-linked insurance plans or ULIPs are great investment alternatives, as they offer dual benefits of insurance and investment in the same policy. However, if we talk about 5-year returns on ULIP, they offer exceptional good returns between 12-15%, compared to any banking instrument such as FD, RD etc.
In case, you wanna know more about ULIP returns in 5 years and wanna to know more about other ULIP Plans. You may contact PolicyX.com. Our certified insurance advisors work 24/7 to resolve every possible query for you.
ULIP Returns in 5 Years : FAQs
1. How much did ULIP return in the past five years?
Unit-linked insurance plan or ULIP offers good returns between 12-15%.
2. Did ULIP offer tax benefits?
Yes, ULIP Offers tax benefits in section 80C, 1010D of the Income Tax Act 1961.
3. Which financial tools ULIP Prefers to invest in?
Unit-linked insurance plans or ULIPs prefer the Indian equity or debt market to invest.
4. Did ULIP offer a guaranteed return on investment?
No, As ULIP have the funds that prefer investment in the Indian stock market. So the return is based on market performance.
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Written By: Varun Saxena
I am a passionate content writer with over three years of experience in the insurance domain. An avid learner, I always tries stays ahead of the industry's trends, ensuring my writing remains fresh and includes the latest insurance shifts. Through my work, I strive to engage with targeted insurance readers.
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