ING Market Shield Brochure

8/4/2019 ING Market Shield Brochure

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Enjoy your investment when it goes up...


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...feel secure when it goes down.


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Enjoy better returns withequity participation

Protect your investmentsfrom market downside

Anytime guarantee* for all

benefits and not just at maturity

Multiple options to customise

the plan to your need

Presenting one of its kind insurance plans that not only

provides life cover but also balances risk and reward in a

transparent manner, and provides you an opportunity

to enjoy growth while retaining protection - ING Market

Shield Plan - a Unit linked Life Insurance Plan that ensures

you never miss an opportunity to maximize your gains and

at the same time, limits your losses.

The key and unique benefits of this plan are:

* 80% of the Highest Daily NAV


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As seen in the graph above, ING Market Shield - aUnit Linked Insurance plan dynamically allocates theinvestment in risky assets (equity) and safe assets(money market investments) to provide you withgrowth when markets are stable and protects theachieved growth from when markets are volatile.


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Why invest in ING Market Shield, a Unit Linked

Insurance Plan?

1. Optimizing upside potential due to Equity Participation

This plan provides you with the growth potential that comes from

investing in Equity markets. ING Life on every day basis will monitor

the equity market development and increase allocation to the equity

market (up to a maximum of 60%) when times are good and will

reduce (up to 0%) allocation to equities when markets are volatile.

This active daily asset allocation ensures that your gains are maximised

and at the same time protecting such gains from eroding.

2. Anytime Guarantee - Protection that is available to you at all

times and not just at maturity

Not only will this plan invest in equity and bring you the gains from

the markets, it will also ensure that gains that are made are locked-

in with a minimum 80% assurance. Every time the NAV of the

Guaranteed NAV Fund hits a new high, 80% of that NAV per unit

is guaranteed (referred as Guaranteed NAV or G-NAV). From thereon, irrespective of the volatility in the market you are assured of the

G-NAV per unit at all times and not just at maturity. ING will reset

this G-NAV on a daily basis and once the G-NAV is set it can go up

and never go down.

The below graph explains that in a rising market when the Daily NAV is higher the customer gets the maturity benefits at the Daily NAV.

For example, if the Daily NAV on maturity is at 38 and the G-NAV is 30.4, you are still assured of receiving the maturity benefits at the Daily NAV

of 38. ING manages the Guaranteed NAV fund through a dynamic asset allocation process which ensures that your guarantee is available to

you at all times and all benefits paid to you are at higher of the prevailing NAV (referred to as Daily NAV) or the last Guaranteed NAV.


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3. Protects your savings from the uncertainties of the market

ING Market Shield - a Unit Linked Insurance Plan weathers all market

conditions. As long as the markets are going up you will continue

to participate in that growth, but in case the markets fall and the

Daily NAV goes below your last Guaranteed NAV, you do not need

to worry as you are still assured of the value based on the last

Guaranteed NAV.

4. Limited Premium Payment Term

We understand that you need to make a careful commitment when

you are planning your investments and therefore this plan comes

with a variety of Premium Paying Terms. You can choose to make

premium contributions for just 5 years or 10 years while your plan

continues for the full duration as selected by you. Alternatively, you

can choose to make premium payments throughout the policy termby choosing a regular pay option. We urge you to make a careful

decision, as once you make a commitment it is important to keep it,

else you may not reap the desired objective of buying this plan.

The above graph explains that in a falling market if the Daily NAV is lower than the Guaranteed NAV, the customer gets the maturity benefits

at the Guaranteed NAV.

For example the Daily NAV is at its highest at 42 and if on the date of maturity the Daily NAV falls to 30, you are still assured of receiving the

maturity benefits at the G-NAV of 33.60 which is 80% of the highest NAV of the Fund.


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Enjoy better returns with equity participation;

Secure your investments throughout the term and not juston maturity.


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Other Key Benefits:

1. Death Benefit

In case of unfortunate demise of the Life Assured during the

policy term, the nominee shall receive higher of the Sum Assured

or 105% of the premiums paid, including Top-up premiums (if any),

(reduced by partial withdrawals if any made during the 2 years

immediately preceding the date of death) or Special Fund Value and

the policy shall stand terminated.

Even in this the case of death, the nominee will get the benefit of

guarantee as the Special Fund Value will be calculated based on the

higher of the Daily NAV or the G-NAV.

Note: The Sum Assured is the Basic Sum Assured and the Additional

Sum Assured on Top-up premium (if any).

2. Maturity Benefit

On the Maturity Date you will receive the Special Fund Value as a

lumpsum.

The Special Fund Value would be calculated based on the higher ofthe Daily NAV or the G-NAV.

3. Option to add Top-ups

At any point of time if you wish to increase your contribution, you

can pay Top-up premiums to invest in the same policy, subject to the

following conditions:

The minimum Top-up amount is ` 5,000 and the maximum is

`8 lacs.

Every Top-up premium shall have an Additional Sum Assuredwhich will be 1.25 times of the Top-up premium paid. This

Additional Sum Assured on Top-up will be in addition to the Basic

Sum Assured.

Top-ups will not be allowed during the last 5 years of the policy

term.

No Top-up premiums will be accepted where regular premiums

are due, even during the grace period.

Top-up premium cannot be withdrawn in a period of five years

from the date of receipt of the respective Top-up premium.

The maximum amount of Top-up premiums allowable shall be

subject to applicable underwriting guidelines.

The applicable G-NAV on Top-up Premium shall be the G-NAV

declared from the date following the date of receipt of Top-up

premium(s).

4. Liquidity in the form of Partial Withdrawal Benefit

In case of any interim financial goal or emergencies you are offered

the liquidity to withdraw from your fund at any point of time after

completion of 5 Policy Years. The Partial Withdrawals are subject to

the following conditions:

Partial Withdrawal is available for a minimum amount of

` 5,000 and a maximum amount equal to 25% of balance in

the Special Fund Value, subject to Special Fund Value after each

such withdrawal not being less than 1.5 times the one full years

annual regular/limited premium.


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Unlimited number of partial withdrawals can be availed duringthe policy term.

The policyholder will be allowed to make any Partial Withdrawals

from the Top-up contributions only after completion of 5 years

from the date of remittance/realization of Top-up contribution.

Partial Withdrawals are calculated by cancellation of appropriate

number of units on the higher of the Daily NAV or the G-NAV.

Partial withdrawal Benefits are not allowed during the minority

of the Life Assured.

The Partial Withdrawals made during the 24 months preceding

the date of death, shall be reduced from the Death Benefit

payable under the policy.

5. Surrender Benefit

The importance of availability of cash in some emergencies cannot

be denied, therefore, we provide you with a facility to surrender the

policy during the policy term. In case the policy is surrendered during

the initial 5 years from the Policy Commencement, the Surrender

Benefits shall be payable to the policyholder only after completion of

5 full policy years. On surrender after 5 years, the Special Fund Value

is paid immediately and the policy is terminated. The Surrender Value

would be calculated on the higher of the Daily NAV or the G-NAV. For

details please refer to Clause 7 of the Terms and Conditions on policy

discontinuance provisions mentioned herein.

How does the Plan Work?

1. Choose the premium amount that you wish to invest in the plan

every year which shall determine the Sum Assured under the policy.

2. Decide the Premium Paying Term of your policy.

3. Your premium after deduction of the Premium Allocation Charge

will be invested in the Guaranteed NAV Fund at the applicable

Daily NAV.

4. Mortality and Policy Administration Charges will be deducted on

a monthly basis by cancellation of units.

5. In the unfortunate event of death of the Life Assured during the

term of the policy, the nominee shall receive the Death Benefit.

6. At maturity, the Special Fund Value will be paid to the policyholder

as a lumpsum.

Note: The objective of a life insurance is long-term financial security.

In case you fail to pay your due premiums on time or during grace

period, you shall be given a period of 45 days from the end of grace

period to restore the policy in accordance with the IRDA regulations,

failing which the policy shall stand terminated. Therefore we urge you

to pay your premiums on time to achieve your long-term objectives

for taking this policy.

How does the Guaranteed NAV (G-NAV) Fund work?

The G-NAV Fund aims to provide the policyholders the protection

of 80% of the highest NAV achieved during the life of the policy.

A dynamic asset allocation process is used to allocate the funds

exposure between Risky Assets (Equities) and Risk Free Assets (Money

Market Instruments and Cash). In general.


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Asset Class Investment Pattern Objective Risk Classification

Equity 0% - 60%

Money Market & Cash 40% - 100%

Provides forbalanced

growth andprotection.

Medium

In good market conditions the G-NAV Fund exposure to equities will increase.

In bad market conditions the G-NAV Fund will increase its exposure to Money Market Instruments and Cash and reduce the exposure to

equities until the markets improve.

The G-NAV Fund allows the investor to capture the upsides from rising markets while limiting potential losses in falling markets.

In case of exceptional circumstances, the equity exposure of the Fund may fall to zero, in which period we will not charge any Guarantee Charge.

Eligibility Criteria

Age at Entry Min 8 years - Max 55 years

Age at Maturity Min 23 years - Max 70 years

Policy Term 15 to 20 years

Premium Paying Term Limited Pay (5, 10 years) or Regular Pay (equal to Policy Term)

Premium Payment Modes Annual

Minimum Premium For Limited Pay (5 years) the minimum yearly premium is`48,000

For Limited Pay (10 years) or Regular Pay : `36,000

Maximum Premium No Limit

Top-up Premium Minimum of `5,000, Maximum of `800,000

Basic Sum Assured 10 to 20 times the Annual Premium

Additional Sum Assured Fixed at 1.25 times of the Top-up premium paid (if any)


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Protect your investments from market downside.


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Mortality Charges:

Mortality Charges will be deducted monthly in advance at the Daily

NAV from the Fund Value. Charges are based on age and gender.

Sample Mortality Charges (in Rupees) per annum per 1000 of Sum at

Risk for a healthy male & female life is shown below:

Charges:

Regular / Limited Premium Charges as a percentage ofAnnual Premium

1st Year 9%

2nd & 3rd Year 3%

4th Year onwards Nil

Top-up premium 2%

Policy DiscontinuanceYear Policy Discontinuance Charges

1Lower of 6% of (AP* or FV*) subject to

max `6000


max `5000


max `4000


max `2000

5 and onwards NIL

Premium Allocation Charge:

Premium Allocation Charge is a percentage of the premium

appropriated towards charges from the premium received and is

charged at the time of receipt of the premium. The Company charges

the Premium Allocation Charges, at the following rates:

The Maximum Policy Administration Charge is capped at ` 500 per

month. These Policy Adminstration Charges are guaranteed & would be

deducted at the beginning of each policy month by way of cancellation

of units at the Daily NAV from the G-NAV Fund.

The Fund Value for the purpose of policy discontinuance charges

means the amount represented by the number of Units held by the

policyholder in the G-NAV Fund multiplied by the Daily NAV.

Partial Withdrawal Charge:

There are no charges for Partial Withdrawals.

*AP: Annual Premium FV: Fund ValuePolicy Admin Charge:

Policy Discontinuation Charge:

YearCharges as a percentage

of Annual Premium

1st Year Nil

2nd 5th Year 0.50% per month

6th 10th Year 0.40% per month

11th Year onwards 0.20% per month

Age (years) 20 30 40 50 60

Male 1.08 1.26 2.21 5.66 14.12

Female 0.94 1.25 1.72 4.13 11.11


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Fund Name % of Fund Value (per annum)

Guaranteed NAV Fund 1.10%

Fund Management Charge:

Fund Management Charge is a charge levied on a daily basis as a

percentage of the value of assets held in the Guaranteed NAV Fund

at the time of computation of the Unit Price. The Fund Management

Charges applicable, at present, are as follows:

The Company reserves the right to change the Fund Management

Charge, with the approval of the Regulatory Authority, provided

however, that the Fund Management Charges shall not exceed the

cap on Fund Management Charges as determined by the Regulatory

Authority from time to time.

Fund Name % of Fund Value (per annum)

Guaranteed NAV Fund 0.50%

In exceptional circumstances, the equity exposure in the Fund may fall

to zero, during which period no Guarantee Charge shall be levied.

Guarantee Charge:

Guarantee Charge is a charge levied on a daily basis as a percentage

of the value of assets held in the Guaranteed NAV Fund at the time

of computation of the Unit Price. The Guarantee Charge applicable,

at present, is as follows:

Terms & Conditions:

We would suggest you to read the following Terms & Conditions

before purchasing the policy:

1. Free Look Period: In case you disagree with any of the terms

and conditions of the policy, you have the option of cancelling

the policy by writing to the Company stating the reasons forcancellation and return of the original policy document to the

Company within 15 days of the date of receipt of the policy

Document. In case of such cancellation, the premiums you have

paid will be refunded after adjusting for movement in unit prices

at the higher of the Daily NAV or the G-NAV and deducting the

medical examination fees, stamp-duty and proportional charges

towards risk cover (if any).

2. Uniform Payment of Regular Premiums: Once the premium

amount has been opted by the policyholder it cannot be changed/

revised during the policy term.

3. Beneficiaries: If the policyholder has not assigned the policy,

then he/she shall get the benefits due on the date of maturity. In

the event of Life Assureds unfortunate demise, the nominee or

the eligible person will receive the benefits due.

4. Coverage Exclusions:

Suicide: No death benefit shall be paid if the death has occurred

directly or indirectly as a result of suicide committed by the Life

Assured within one year from the Date of Risk Commencement


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premiums before completion of 30 days as referred above, thepolicy shall stand Discontinued without any life cover.

7. Policy Discontinuance Provisions: In case of Discontinued Policy,

the following process will be applicable:

a) For policies surrendered/discontinued before completion of

first 5 policy years:

I. The Special Fund Value after deducting Discontinuation

Charges shall be deposited in Discontinued Policy Fund and

shall be paid to the policyholder after completion of full 5

policy years.

II. This amount in Discontinued Policy Fund shall carry an

interest of minimum 3.5% per annum compounded yearly or

such other rate prescribed by IRDA.

III. In the event of death of the Life Assured before completion

of full 5 years and during Discontinued Policy, his/her balance

in the Discontinued Policy Fund will be paid to the Eligible

Person.

b) For policies surrendered/discontinued after completion of

first 5 policy years:

I. The Special Fund Value as on the date of discontinuation

shall be paid to the policyholder.

Note: The Special Fund Value will be calculated at the higher of the

Daily NAV or the G-NAV.

or within one year from the date of Reinstatement of risk coverunder this policy. The policy shall be treated as null and void and

the benefits under the policy shall be restricted to payment of

balance in Special Fund Value (at the higher of the Daily NAV or

the G-NAV) as on the death of the Life Assured to the eligible

person.

Rider Coverage There is no rider allowed under this plan.

5. Grace Period: There is a grace period of 30 days allowed for

payment of the due premium. If the premium due is not received

within the Grace Period, the Company shall send a notice within

a period of fifteen days from the date of expiry of Grace Period

requesting the policyholder to exercise one of the following

options:

a) Revival of the policy, or

b) Discontinue the policy without any life cover

The policyholder shall have a period of 30 days from the receipt

of the aforementioned notice to exercise one of the above

options. In case the policyholder fails to exercise any of the

aforementioned option is within the specified time period of

30 days, it shall be deemed that the policyholder has opted for

option b (i.e. Discontinue the policy without any life cover). Till the

completion of the 30 days as referred above, the policy is deemed

to be in force with life cover as per the terms and conditions of

the policy.

6. Discontinued Policy: In case the policyholder fails to pay the due


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Guaranteed NAV (G-NAV)

Guaranteed NAV or G-NAV means the Unit Price equivalent to

80% of the highest achieved Daily NAV per unit of the Guaranteed

NAV Fund and is reset on a daily basis on all working days.

The following hypothetical example explains the G-NAV andthe Daily NAV and the G-NAV at all times is 80% of the highest

achieved NAV of the Fund.

8. Tax Benefit Provision (based on in force tax laws):

Policyholder will be eligible for tax benefits under section 80C

and section 10(10D) of the Income Tax Act, 1961, subject to the

provisions contained therein.

Under section 80C, you can save up to ` 30,900 from your tax

each year (assumed at the highest tax bracket) as premiums up to`100,000 are allowed as deduction from your taxable income.

Under section 10(10D), the benefits you receive from this policy

are exempt from tax.

The aforesaid tax benefits are subject to change in tax laws.

We therefore urge you to carefully analyze the tax benefits/taximplications, if any, that may arise on investing in this policy.

Other Tax Implications: If required by the Act, the Company may

withhold taxes from the benefits payable under this Policy. The

Company also reserves the right to recover from the policyholder

levies such as Service Tax or such other taxes as may be levied

by the appropriate Authorities on insurance transactions by

cancellation of units or from the unit fund.

9. Unit Price Calculation: Unit Price means the price of the Units

of each Unit Linked Fund arrived at by dividing the Net Asset

Value per unit of the Unit Linked Fund by the total number of

outstanding units in the Unit Linked Fund.

The term NAV in this document refers to the Unit Price.

Net Asset Value of a Unit Linked Fund shall be calculated as

follows:

When the Unit Linked Fund is a net purchaser of assets; the NAV

shall be computed as: Market value of investment held by the

fund plus the expenses incurred in the purchase of the assets

plus the value of any current assets plus any accrued income

net of fund management charges less the value of any current

liabilities and provisions, if any.

When the Unit Linked Fund is a net seller of assets; the NAV

shall be computed as: Market value of investment held by the

fund less the expenses incurred in the sale of the assets plus the

value of any current assets plus any accrued income net of fund

Period Day 1 Day 2 Day 3 Day 4 Day 5

Daily NAV 10 9.7 9.5 9.2 10.4

Guaranteed

NAV

8.0 8.0 8.0 8.0 8.3


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ULIP plans are different from the traditional insurance productsand are subject to risk factors.

ING Vysya Life Insurance Company Limited is only the name of

the Insurance Company and ING Market Shield Plan is only the

name of the ULIP contract and does not in any way indicate the

quality of the contract, its future prospects or returns.

The names of the Unit Linked Fund do not in any manner indicate

the quality of the Unit Linked Fund or their future prospects

or returns.

Investments in ULIPs are subject to market and other risks and

there can be no assurance that the objectives of the Unit Linked

Funds in the ULIP will be achieved.

The premiums paid in ULIP policies are subject to investment risks

associated with capital markets and the unit price of the units

may go up or down based on performance of fund and factors

influencing the capital market and the insured is responsible for

his/her decisions.

Under exceptional circumstances the fund manager may decide

to invest entirely (100%) in money market instruments to protectthe gains under Guaranteed NAV Fund.

Past performance of the Unit Linked Fund and other funds of

the Company is not indicative of future performance of any of

these funds.

The ULIP does not offer a guaranteed return other than what

is specifically assured under this product and investment risk isborne by the policyholder.

management charges less the value of any current liabilities andprovisions, if any.

The unit price for each business day to be declared / recorded at

the end of each business day. The unit price shall be computed

to four decimal points. The unit price of the units declared by the

Company is net of fund management charges.

The value of the benefits payable in respect of a claim, requestsfor switch / redirection / surrender / partial withdrawal received

before 3 P.M. on any business day will depend on the number of

units and the Unit Price of the respective funds as on such date.

Any claim intimation, requests for switch/redirection/surrender/

partial withdrawal received after 3 P.M. on any business day will

be processed based on the unit price declared on the immediately

following business day.

In respect of premiums (other than premiums paid by ECS,

Standing Instructions or Auto Debit) received before 3 P.M. on

any business day, the unit price as on the date of receipt of such

premium shall be applicable and premiums received after 3 P.M.

on any business day will be processed based on the unit price

declared on the immediately following business day. In respect of

premiums paid by ECS, Standing Instructions or Auto Debit, the

unit price as on the date of realisation shall be applicable.

10. Policy Loan

There is no loan facility available in this policy.

11. Risk Factors:

ING Market Shield a Unit Linked Insurance Plan is a

non-participating Unit Linked Life Insurance Product (ULIP).


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2 Any person making default in complying with the provisions

of this section shall be punishable with fine which may extend

to five hundred rupees.

Section 45 Non Disclosure

Under the provisions of section 45 of the Insurance Act, 1938,

the Company is entitled to repudiate the policy on the ground

that a statement made in the proposal or in any report of a

medical officer or referee or friend of the insured or any other

document leading to the issue of the policy was inaccurate

or false, before the expiry of 2 years from the effective date

of the policy, and thereafter that if such false or inaccurate

statement was related to a material matter or suppressed facts

which it was material to disclose and that it was fraudulently

made by the policyholder and that the policyholder knew at

the time of making it that the statement was false or material

to disclose.

The premiums and funds are subject to certain charges related to

the fund or to the premiums paid.

Please know the associated risks and the applicable charges, from

your insurance agent or the Intermediary or policy document of

the insurer.

The purpose of this Brochure is only to provide a general

overview about this policy. The information herein is indicative

of the terms, conditions, warranties and exceptions contained in

the policy terms and conditions of ING Market Shield - a Unit

Linked Insurance Plan. For more details on risk factors, terms and

conditions please read Sales Brochure carefully before concluding

a sale.

In the event of any inconsistency/ambiguity between the terms

contained herein and the policy terms and conditions, the policy

terms and conditions shall prevail.

12. Section 41 - Prohibition of Rebate:

Under the provisions of Section 41 of the Insurance Act, 1938:

1 No person shall allow or offer to allow, either directly orindirectly, as an inducement to any person to take or renew or

continue an insurance in respect of any kind of risk relating to

lives or property in India, any rebate of the whole or part of the

commission payable or any rebate of the premium shown on the

policy, nor shall any person taking out or renewing or continuing

a policy accept any rebate, except such rebate as may be allowed

in accordance with the published prospectuses or tables ofthe insurer.


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For more details:Contact -

To know more about this product, please contact our nearest Branch Office.

Or call us at 1-800-419-8228 or SMS INGto 53636 or visit www.inglife.co.inInsurance is the subject matter of solicitation.

UIN: 114L056V01 URN: ILI/Coll/2010/513

Documents

ING Market Shield Brochure