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[Cites 0, Cited by 0] [Section 27] [Entire Act]

Union of India - Subsection

Section 27(2) in Insurance Regulatory and Development Authority of India (Unit Linked Insurance Products) Regulations, 2019

(2)For Single premium policies:
Where the policy is discontinued during thepolicy year Maximum Discontinuance Charges for thepolicies having Single Premium up to Rs. 3,00,000/- Maximum Discontinuance Charges for thepolicies having Single Premium above Rs. 3,00,000/-
1 Lower of 2% *(SP or FV) subject to a maximum of Rs.3000/- Lower of 1% *(SP or FV) subject to a maximum of Rs.6000/-
2 Lower of 1.5% *(SP or FV) subject to a maximum of Rs. 2000/- Lower of 0.70% *(SP or FV) subject to a maximum of Rs. 5000/-
3 Lower of 1% *(SP or FV) subject to a maximum of Rs.1500/- Lower of 0.50%* (SP or FV) subject to a maximum of Rs. 4000/-
4 Lower of 0.5% *(SP or FV) subject to a maximum of Rs. 1000/- Lower of 0.35% *(SP or FV) subject to a maximum of Rs. 2000/-
5 and onwards Nil Nil
AP- Annualized Premium
SP-Single Premium
FV- Fund Value
(f)Switching Charge: This is a charge levied on switching of monies from one segregated fund to another available within the product. The charge per each switch, if any, shall be levied at the time of executing the switch. The maximum Switching Charge shall be declared by the Authority from time to time. The current cap per switch is Rs.500.
(g)Mortality or Morbidity Charge: This is the cost of life or health insurance cover. It is exclusive of any expense loadings levied by cancellation of units. This charge, if any, shall be levied at the beginning of each policy month from the fund.
(i)The method of computation shall be explicitly stated in the policy document. The mortality or morbidity charge table shall form part of the policy document.
(ii)Mortality charge table shall be guaranteed during the contract period and morbidity charges may be reviewed during the term of the policy, as per the IRDAI (Health Insurance) Regulations, 2016 or any other circular or guidelines which may be issued by the Authority from time to time.
(iii)The mortality or morbidity charge for the mortality or morbidity risk covered shall: