Anticipated Endowment Assurance

What is Anticipated Endowment Assurance (Sumangal) | AEA | 1 Best Money Back Insurance Policy

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Blog Introduction

Hello Friends, Welcome to my Blog Investinfy.com the best financial blogs where you will be able to read about the end to end information on many investment schemes and financial topics. In this Blog post we will be focusing on Anticipated Endowment Assurance (Sumangal).

Generally when we want to invest money on any investment scheme , we always asks our friends and relatives that where we can invest ? and they suggests the investment schemes which they like most. Then we invest as per their suggestions, that is good as we consider them as our well wisher , But here I want to mention one thing, if we know end to end information of each investment schemes at least it will help us to understand if that investment scheme is good for us or not.

Hence it is better to have a complete idea about each investment scheme where we invest. Therefor this blog will help you to know end to end information of many Indian investment schemes available right Infront of you.

In this blog post I will be explaining my analysis on Anticipated Endowment Assurance (Sumangal). This will be a complete guide on Anticipated Endowment Assurance (Sumangal). Please read till end of the blog post to know the complete information about this Anticipated Endowment Assurance (Sumangal). Lets get started.

Before you read this Blog Post Please read the what is PLI to understand the basics of Postal Life Insurance.

What Is Anticipated Endowment Assurance (Sumangal)?

Anticipated Endowment Assurance is a postal life insurance policy. It is also known as Sumangal. It is an investment cum life insurance policy.

It is also money back insurance policy where you will get the benefits at periodic intervals. This policy is suitable for those who need benefits and returns at periodic intervals. In case of death during the policy term, the entire sum assured amount and any bonus accumulated till the day of death will be paid to nominees or legal heirs.

How Does Anticipated Endowment Assurance Policy Work?

  • Decide the Sum Assured amount and purchase the policy at a Post Office.
  • Choose the policy term. Only two terms are available. They are 15 years and 20 years.
  • The monthly premium amount will be decided based on your age, sum assured amount and the policy term.
  • You need to pay the premium amount every month until the end of the policy term.
  • The bonus amount will be accumulated every year as per the bonus rate during the policy term.
  • If you choose 15 years term, then you will receive periodic benefits at the end of 6th year, 9th year, 12th year and 15th year.
  • If you choose 20 years term, then you will receive periodic benefits at the end of 8th year, 12th year, 16th year and 20th year.
  • If die during the policy term, then nominees or legal heirs will receive the entire sum assured amount and any bonus accumulated till the day of death.

Age Of Entry

The minimum and maximum age to purchase this policy is given below. The entry age depends upon the term you choose.

15 Years Policy: Minimum Age: 19 years . Maximum Age: 45 years.

20 Years Policy: Minimum Age: 19 years , Maximum Age: 40 years.

Policy Term

This policy offers only two terms. They are 15 years and 20 years.

Sum Assured Amount

Minimum amount – Rs. 20,000. Maximum amount – Rs. 50 Lakhs

Bonus Rate

The current bonus rate is Rs. 48 per Rs. 1,000 Sum Assured per year. The bonus rate is not fixed and it changes from time to time as announced by the Government.

Money Back Benefit Details

The money back benefit details will depend upon the term you choose.

15 Years Term: This policy will run for 15 years. In this policy, you will get your money back as per the following schedule.

  • 20% of the Sum Assured amount at the end of 6th year.
  • 20% of the Sum Assured amount at the end of 9th year.
  • 20% of the Sum Assured amount at the end of 12th year.
  • 40% of the Sum Assured amount and the accumulated bonus at the end of 15th year.

20 Years Term: This policy will run for 20 years. In this policy, you will get your money back as per the following schedule.

  • 20% of the Sum Assured amount at the end of 8th year.
  • 20% of the Sum Assured amount at the end of 12th year.
  • 20% of the Sum Assured amount at the end of 16th year.
  • 40% of the Sum Assured amount and the accumulated bonus at the end of 20th year.

Death Benefits

In case of death during the policy term, nominees or legal heirs will receive the entire sum assured amount and any bonus amount accumulated till the day of death.

Any returns received, as a part of the periodic money back schedule, will not be taken into consideration to calculate the final payment in case of unexpected death.

Medical Test

You have to undergo the medical examination to prove that you are healthy. Only then, you will become eligible for this policy.

Loan Facility

Loan facility is available in this policy. You can apply for a loan after completion of 3 years. But, you will not get any bonus if you pledge your policy for a loan before completion of 5 years.

The proportionate bonus on the reduced sum assured amount is accumulated if the policy is assigned for a loan after 5 years.

Surrender Policy

You can surrender the policy after completion of 3 years. But, you will not get any bonus if you surrender your policy before completion of 5 years.

The proportionate bonus on the reduced sum assured amount is paid if the policy is surrendered after 5 years.

FAQ About Anticipated Endowment Assurance

Where Can I open this Anticipated Endowment Assurance (Sumangal) Insurance Policy

You can open your account and start investing in this EAnticipated Endowment Assurance (Sumangal) insurance policy only in the Post office. So please visit your Nearest Post Office to open the account and know more about this policy.

I am a NRI Can I invest in this Anticipated Endowment Assurance (Sumangal) Insurance Policy ?

No. NRI cant invest in this policy. Please read PLI Introduction Blog post to know more about who are eligible to open this account.

My Age is 45 can I open the account in this Anticipated Endowment Assurance (Sumangal) Insurance Policy?

Yes you can. You can purchase this insurance 15 Years Policy: Minimum Age: 19 years . Maximum Age: 45 years. 20 Years Policy: Minimum Age: 19 years , Maximum Age: 40 years.

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