Max Life Insurance has rolled out its latest unit-linked child plan, known as Shiksha Plus Super, designed to focus on children education and career.
Max Life Insurance CEO and managing director Rajesh Sud was quoted by IANS as saying that the new product assures resources for the overall development of a child even in absence of resource provider.
"The launch of Shiksha Plus Super completes our suite of products required for all life stage needs that are compliant with the new guidelines effective Jan 1, 2014," Sud added.
The new offering gives policyholders the option to invest premiums in five investment funds provided by Max Life Insurance with an option of Dynamic Fund Allocation and Systematic Transfer Plan.
While freeing policy owners from selecting the investment funds manually, the Dynamic Fund Allocation function automatically invests between equity and debt oriented funds in a pre-defined proportion that keeps changing as policy nears maturity.
In a statement, the company said: "This investment strategy endeavours to safeguard their fund from any capital erosion by increasing the fund allocation in debt funds as policy progresses towards maturity."
In order to allow the policyholder to benefit from the market volatility, the Systematic Transfer Plan replicates the rupee cost averaging method, according to the insurer.