ULIP is the abbreviation of Unit Linked Investment Plan, which is essentially a financial instrument that involves an overlap between investment and insurance. The premiums paid under ULIP tends to be divided into two core financial asset areas, namely one being the life cover for the policyholder while the other can take the form of any investment fund that the policyholder has chosen from wealth creation. Owing to its potential for wealth creation and security, ULIP is a preferred and valuable long term investment option for major moves such as child birth and education, home purchase, retirement and so on. The ULIP calculator is a specially designed tool present on the Bharti AXA website that allows you to choose the perfect ULIP based on a comparison of the premium costs and returns of various plans.

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Why Use ULIP Calculator

The popularity of ULIP comes from the fact that it is a hybrid financial instrument that combines the safety and security of an insurance plan with the possibility of maximizing returns that is inherent in an investment plan. However, increased popularity and preference has resulted in an explosion of the number, type and diverse offerings of ULIPs in the vast digital ocean. Hence, choosing the right plan according to your personal needs and demands tends to become confusing due to the sheer number of options available online. This is where the ULIP calculator comes into play, allowing you to calculate both the premium amount and aligning the same to the returns that you are looking to obtain from your plan. In other words, the ULIP calculator provides the chance to obtain foresight into a specific plan based on your long term or short term goals.

How to use ULIP Calculator

The first step in using the ULIP calculator involves finding it on the Bharti AXA website and thereby, providing specific details regarding the plan so as to compute the reliability and validity of the plan as per your requirements. Some of the common details that need to be input into the ULIP calculator include the rate of returns expected from the investment, the amount that one is looking to avail from the investment plan, the frequency with which payments of premium is to be undertaken, and the type or form of funds being invested. Once these details are provided and placed within the required spaces in the ULIP calculator, you will be given a holistic overview of the returns that you can expect from a plan of your choosing.

ULIP Calculator – Step by Step Process

When it comes to using the ULIP return calculator, it is important to note that there is a specific set of steps that you need to follow in order to obtain actionable insights. Here is the process that you need to follow in order to maximize the utility of the ULIP calculator.

  • Hop onto the Bharti AXA Life website and type in “ULIP Calculator” in the search bar.
  • Once you find yourself on the ULIP Calculator page, you will notice several spaces in which specific details needed to be input. Some of the basic details needed in this case include specifics like phone number, age, gender, email address and a validation of whether or not you have a smoking habit.
  • The next set of information that is required for calculating the returns of a chosen ULIP are investment centric aspects such as the amount of capital that you are planning to invest and the returns you are expecting. The key here is to keep expectations within the spectrum of realistic affordability as per your means and future plans.

Note: In most cases, the minimum amount that one can invest in ULIP is INR 1500 on a monthly basis.

  • The next step involves clarifying the frequency of premium payments that you are comfortable with once the investment period begins. There are numerous options in this case, varying from monthly to quarterly and extending to half-yearly and annually. This frequency is to be maintained throughout the policy tenure. Make sure you choose a frequency of premium payments that is perfectly suited as per your cash inflow.
  • Once you have defined the premium payment frequency, the next step is to define the tenure period for which you would like to invest in the plan. This particular step involves assessing your long term or short term plans in accordance with when you need to cash out on the returns obtained from the plan. Major events and transitions in life can be aligned with the tenure period of a ULIP so as to ensure a smooth and financial hassle-free future.
  • Once tenure, frequency of payments and other foundational parameters have been defined, you can choose the type of funds that you want to invest in as a part of the ULIP. There are numerous options available to potential policyholders, including equity of diverse proportions, fixed income, and debt mixtures among other choices. When choosing the investment fund that fits perfectly with your long and short term financial plans, it is essential to consider market conditions as well as your own personal financial purpose and appetite for risk. During this step, we also recommend that you connect with investment experts at Bharti AXA or any other established enterprise so as to ensure that your returns are maximized.
  • Once these details have been input into the calculator as per the spaces defined for each, you can proceed to click the “Calculate” button given at the end of interface. Once you do so, you will obtain the postulated returns as per your intended financial investment strategy. You can do this with several ULIPs and compare the inherent degree to which each aligns with your personal objectives and future goals.

Features of ULIP Calculator

The ULIP plan calculator is a digital tool that allows you to take charge of your financial decisions in a flexible, customizable and personalized manner. Here are some of the features that make the ULIP calculator a worthy and powerful tool for the modern investor.

  • ULIP calculators offer a transparent medium through which one may calculate returns on the investment plan of their choice. The ULIP calculator is specifically geared to provide the maximum insight into returns based on present market conditions and other parameters.
  • The interface of the ULIP calculator is designed to ensure maximum flexibility when it comes to deciding upon the plan of your choice. It allows you to consider a wide array of parameters while also enabling customizable comparison of various plans.
  • One of the major functions of the ULIP calculator is that of a financial planning tool that is free, accurate and comprehensive, providing you valuable financial insights in just a few clicks.
  • The ULIP calculator is designed to help you make rational financial choices based on fundamental and real-time parameters that will affect your investment in deep-seated ways. You can compare several ULIPs and find the one that offers the perfect return rate based on your expectations.
  • The core reason behind the existence of the ULIP calculator is to offer customers complete control over the financial decision making process when it comes to investment and security. All parameters that are needed as inputs for the ULIP calculator can be customized and validated by your personal objectives and experiences.

Benefits of ULIP Calculator

ULIPs are often considered to be financial instruments that have a high degree of inherent complexity as compared to other insurance plans and investment fund structures. Hence, having a tool like the ULIP calculator is a fundamental boon for those who are looking to achieve the perfect balance between risk and high returns.

  • Compare, estimate and contrast the returns of various types of ULIPs on one single digital spot, saving on time, effort and loads of research
  • Harness the wisdom of the ULIP calculator and make financial decisions that are derived from data generated from rational and informed sources
  • Being a free tool, the ULIP calculator is an affordable, simple, intuitive, and efficient means of making fundamental financial decisions
  • The ULIP calculator allows you to take financial decisions that are aligned with your age, income, future plans as well as major events in your life

ULIP Calculator FAQ's

ULIPs are valuable investment options as they combine the high returns of investment plans with the security and financial stability of insurance plans. They are recommended for individuals who would like to plan their financial journey based on major events that are going to take place in the near or long term future.
Both ULIP and SIP are linked to market conditions and hence, have a certain degree of risk associated with either. ULIPs offer the added advantage of life cover insurance over basic investment funds. At the same time, SIPs tend to be riskier investments as compared to ULIPs due to the dearth of financial stability that is evident in ULIP due to its hybrid life cover integration.
There are various ways to calculate the returns on ULIP, including the “point-to-point returns” technique which utilizes only the current NAV (Net Asset Value) of the chosen plan, as well as the CAGR technique or Compounded Annual Growth Rate technique. However, the simplest and most efficient means to calculate returns on ULIP is through the use of ULIP calculator.
Owing to the stability that is offered by the life cover aspect of a ULIP, investment time can be flexible when it comes to this particular investment. In other words, you can choose to invest in ULIP when the market is either down or up. However, long term investment is the perfect method when it comes to utilizing ULIP as a financial instrument that can grant you high returns.
The maturity amount generated through ULIP is tax free as per the clauses of Section 10D of the Income Tax Act of 1961. Moreover, the premiums paid within the tenure period of ULIPs can be deducted from the allocated permissible limit of 1.5 lakh INR, which has been specified under Section 80C of the Income Tax Act of 1961. You can read about the details of tax exemption within ULIPs here.

Disclaimers:

*Tax benefits are as per the Income Tax Act, 1961, and are subject to any amendments made thereto from time to time’

The article is meant to be general and informative in nature and should not be construed as solicitation material. Please read the related product brochures for exclusions, terms and conditions, warranties, etc. carefully before concluding a sale


Consult with your financial advisor before making any decisions on insurance purchase.

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