0
unit linked products (ULIP) are actually a mix of Mutual Fund (MF) and Life Insurance. Its good if you want to reduce hassel of keeping track of both in your portfolio, however remember financial institutes who bring ULIPs actually charge more fees, especially in first few years of investment, than they do in individual insurance products and MFs. Therefore if you can spare some time for your investment, it is best to buy 'good-old' insurance products. And invest further in MFs to gain max benefits.
Wiki User
∙ 16y ago
Add your answer:
Earn +20 pts
What are unit linked and traditional linked policy?
ULIPS are basically Unit linked plans .e in these plans you get the benefit of insurance as well as investing in Equity and bonds or debt... whereas in case of TLIPS these are traditional linked plans wherein you get the benefit of endowment plans with that of ULIPS as well...!!
Are insurance companies part of capital market?
Yes, The insurance companies are parting their money in stock/bond market,collected under Unit linked insurance policies and are therefore part of the capital market, no doubt about it.
What are non unit level overhead activities?
One example of non unit level overhead cost is the cost of business consulting. Another example is paying the CEO. These costs can't be linked to a direct product.
What is the full form of ULIP and AML in life insurance?
UKIP: ULIP stands for Unit Linked Insurance Plan. It is a life insurance plan that combines life insurance with investment options. ULIPs allow policyholders to choose how their premiums are invested, and they can earn returns on their investments over time. AML: AML stands for Anti-Money Laundering. It is a set of regulations that financial institutions are required to follow to prevent money laundering. Money laundering is the process of concealing the origin of illegally obtained money. AML regulations help to ensure that financial institutions are not used to launder money.
What are the different policy terms in India?
There are basically 3 types of life insurance policies in India :- 1) Endowment. 2) Term Assurance. 3) Unit Linked. In Endowment or conventional policies, you are to pay premium for a specific period and get lumpsum on maturity.The deaith benefits are also included here. In Term Assurance Policies, payments are made to the nominee only in case of any eventuality of the policy holder, with no maturity benefit therein. In Unit Linked policies, moneys are utilized in stock markets and the payments are linked with market volatilities.The Private Insurance Cos. basically do business on these policies.
What are unit linked and traditional linked policy?
ULIPS are basically Unit linked plans .e in these plans you get the benefit of insurance as well as investing in Equity and bonds or debt... whereas in case of TLIPS these are traditional linked plans wherein you get the benefit of endowment plans with that of ULIPS as well...!!
What is fullform of ULIP?
Unit-linked insurance plan.
What does a unit mean in life insurance?
A unit in unit linked insurance policy (ULIP) means a factor by which your financial interest in the policy can be quantified. Each unit has its specified price which flutuaates or fownturns as per market behavior.
Is ULIP a combination of insurance and mutual fund?
ULIP stands for UNIT LINKED INSURANCE PLAN. They are a combination of Insurance and Investment plan. You could start with a small investment. ULIPs give you the benefit of investment and an insurance policy together. They are good avenues to invest in. ULIPs are Unit Linked Insurance Plans which are meant to give you safe and high returns. Yes- From a layman perspectiveULIPS can be considered a combination of Insurance and Mutual Funds
What is a 'unit link' in life insurance?
A unit link is a term used in life insurance to describe a type of fund where each contribution is linked to an individual unit within the fund. This could be stocks or other assets and is most commonly used in the UK.
What are the types of life insurance policies in India?
Some types of policies are: # Pure term life insurance # Endownment # Whole life # Money back # Unit Linked Insurance Policies # etc...
Are insurance companies part of capital market?
Yes, The insurance companies are parting their money in stock/bond market,collected under Unit linked insurance policies and are therefore part of the capital market, no doubt about it.
Can you have more than 1 life insurance policy?
There is no bar in having more than one life insurance policy. The policies may varie from endowment, whole life or unit linked insurance policy as per your choice and requirement.
What are the differences between activity-based absorption costing system and traditional absorption costing system?
An activity-based absorption costing system defines the cost by how many activities a product unit uses. A traditional absorption costing system defines the cost by how much money went into making the product unit.
What are non unit level overhead activities?
One example of non unit level overhead cost is the cost of business consulting. Another example is paying the CEO. These costs can't be linked to a direct product.
What is the difference between ulip and lic?
ULIP stands for Unit Linked Insurance Plan. It is an investment option that provides investment and insurance to investors. LIC stands for Life Insurance Corporation of India. LIC is an institution that provides/sells Insurance and ULIPs to citizens of India They are both totally different.
What is the meaning of life insurance endowment?
An endowment policy is a type of life insurance that pays a lump sum either at a fixed date or on the death of the policy holder. Typically such policies are unit linked or with profit. This means that the policies are linked to the stock market and move up and down in value with it. Endowment policies can be traded in before their expiry in a process called surrendering the policy.
