Bajaj Allianz Life Insurance Company Ltd., one of India’s leading private life insurer announced a one-time Special Bonus for all its policyholders who have participating policies in force as on 31st March 2018. The one-time Special Bonus is over and above the Compounded Reversionary Bonus declared for respective participating plans. This move will benefit over 13 lakhspolicyholders who have stayed invested and reposed their faith in the company.
The one-time Special Bonus has been declared only for the FY 2017-18 at 1% of the base Sum Assured that is payable at the time of claim. Along with the one-time Special Bonus, Bajaj Allianz Life Insurance Company has also declaredthe yearly Compounded Reversionary Bonus. TheCompounded Reversionary Bonus is computed on the Sum Assured and all accumulated bonuses.
Commenting on the one-time special bonus for its policyholders, Tarun Chugh, Managing Director and Chief Executive Officer, Bajaj Allianz Life Insurance Company Ltd. said, “Our Company has realized capital gains and we have decided to share this with our in-force policyholders. The one-time Special Bonus declared over and above the annual bonus allows our customers to enjoy the benefits of staying invested with us and achieving their life goals”.
Impact of the Bonus
To understand the impact of the bonus, let’s assume that a customer bought a participating policy Bajaj Allianz Elite Assure last year for a base Sum Assured of Rs. 20,00,000 for a 20 year policy term. This financial year, a Compounded Reversionary Bonus of 4.5% has been declared, which amounts to Rs. 90,000. In addition to this, a one-time Special Bonus of 1% of base Sum Assured is also declared. This amounts to aone-time special amount of Rs. 20,000 for the customer.