Reliance Life Insurance Co. Ltd has launched a unit-linked insurance plan (Ulip), called Reliance Life Highest NAV Guarantee Plan, that offers the guarantee of the highest net asset value (NAV) achieved during the policy term on maturity.
The highest NAV guarantee fund comprises debt and equity and, hence, the returns are not completely market-linked. The fund straddles debt to safeguard against any lows in the stock market. This means that it is not a pure equity fund and the returns do not mirror that of the stock market.
The term is fixed at 10 years. The plan is available in single as well as regular premium mode. The maximum sum assured is up to 30 times annualized premium for the regular premium option and six times for the single premium option.
The guarantee is offered only if premiums are paid for three years. The guarantee is not available on death.