Investing in Fixed Deposit (FD) over a long period helps you build a large corpus. But if someone faces a need for funds before the maturity of the policy, what can they do? This is where you can take advantage of a money-back policy. As the name suggests, a money-back policy gives money back in the form of regular payouts during the course of the policy. predefined by the insurance company. At maturity, the life insured may get a lump sum amount. A money-back policy helps in solving the problem of liquidity.

Features of Money-Back Policy

How Does A Money-Back Policy Work?

Let us understand the working of a non-participating money-back policy using the example of Generali Central Money Back Super Plan .

Ravi, a 30 year old healthy man has purchased the Generali Central Money Back Super Plan - Option 1. He has opted Silver Category with an

What Ravi Gets?

It is assumed that Ravi's unfortunate death occurs at the end of the 2nd policy year. The benefit payable under Option 1 to Ravi's nominee(s) will be:

Advantages of Money-Back Policy

Let us go through the in-general advantages of money-back plans:

Conclusion

The benefit of a Money-Back Policy is that it provides liquidity in the form of regular payouts throughout the policy’s tenure. Maturity benefit is paid at the maturity of the plan. It provides life cover and the Death Benefit is paid in full to the nominee in case of demise of the policyholder irrespective of the survival benefits already received.

The number of survival benefits and the intervals varies from policy to policy as many options are available. You can visit Generali Central Life Insurance to check out the various