Reviewing a ULIP: HDFC Crest

Learn about how to understand a ULIP from Deepak Shenoy as he reviews HDFC Crest, a Unit Linked Insurance Policy.

1.      Understanding premiums and tenures

2.      The Guaranteed NAV, how it works and why it's not as good as it sounds

3.      A comparison with a Term Plan+MF combination - which is way better!

4.      Even performance of the ULIP has been sub-optimal compared to a mutual fund from HDFC (the promoter!)

5.      Costs and how they hurt your returns

(10 min)

Conversations: Manish Jain on What's Good About ULIPs

A 25 minute conversation with Manish Jain on Unit Linked Insurance Plans. In a twist, Deepak Shenoy from MarketVision speaks with Manish about what's good about them.

  • Who are ULIPs suitable for?
  • How do the new ULIP changes make the products better?
  • What kind of misselling goes on and should be avoided
  • And of course, who shouldn't be buying them.

(25 min)

ULIPs: No More "Cover Continuance"

It turns out(*) that the new guidelines for ULIPs in 2010 have claimed another victim: Cover Continuance.

The concept, prior to September 2010: if you bought a ULIP and stopped paying premiums after say 5 years, you could choose to continue to have

  • Insurance cover continued
  • in which case, Mortality charges and policy admin charges would get deducted from fund value.

Now, with the new regulations this is no longer allowed. If you stop paying premiums, you have to take back your money. Subramoney also mentions this in his blog.