Section 4 in Insurance Regulatory and Development Authority of India (Unit Linked Insurance Products) Regulations, 2019
4. Unit Linked Insurance Products.
(a)Unit Linked insurance products shall be offered only under non-par individual products and non-par group products.(b)These are the products where the benefits are partially or wholly dependent on the performance of the underlying assets under each of the segregated fund offered and shall be operated as follows:(i)The premiums shall be allocated to such segregated funds, otherwise called as unit funds, as per its net asset value and the benefits shall be determined based on the performance of the underlying assets of such segregated funds.(ii)The insurers shall levy charges subject to the stipulations in these Regulations.(iii)The products shall comply with the maximum reduction in yield requirements as referred to in Regulation 29 of these Regulations.(c)A Unit Linked policy shall offer one of the following death benefits:(i)The sum assured as agreed in the policy plus the balance in the unit fund;(ii)The sum assured as agreed in the policy or the balance in the unit fund whichever is higher.In both the cases, the sum assured shall be at a minimum consistent with the provision stipulated in Regulation 5 herein.(d)The maturity benefit shall be at least equal to the balance in the unit fund available in the policyholders' account on the date of maturity.(e)The classification of products shall be as per the IRDAI (Actuarial Report and Abstract for Life Insurance Business) Regulations, 2016, as applicable.(f)The product filing documents shall clearly mention the following classification:(i)Life/Pension/Health.(ii)Individual/group.Chapter-III Benefits Payable on Death, Benefits payable under Health cover and Guarantees
