Future Generali

Here's how Future Generali Assured Education helps you save tax

The Future Generali Assured Education is a life insurance plan that is specifically designed to meet the educational needs of your child. The cost of education is skyrocketing, and premier educational institutes in India and abroad can seem out of one’s reach. This life insurance plan combines life cover with assured payouts at specific educational milestones to shield your child’s dreams and career from any financial constraints. 

The plan enables you to save systematically to organise funds for your child’s higher education, that is undergraduate and postgraduate college. You can opt to receive the entire funds upfront or in instalments once your child turns 17. In the unfortunate and unforeseen event of your demise during policy term too, your child will not have to compromise with his/her career and education, thanks to this education plan. In such situations, all the future premiums are waived, and the family receives the death benefit payout.

Additionally, there’s also an option to boost the cover under this education plan through riders like the ones against accidental death and accidental total and permanent disability

Tax benefits

Future Generali Assured Education Plan comes with tax benefits too. The benefits are as follows:

  • The premium amounts you pay towards the plan each year can be claimed for a deduction as per Section 80C of the Income Tax Act, 1961.
  • The amount that your family receives is also exempted as per Section 10(10D) of the same Act. It is the higher of the following amounts:
  • The death benefit, equal to the sum assured
  • Maturity benefit, equal to the sum assured
  • 10 times annualised premiums (this excludes rider premium, underwriting premium etc)
  • 105% of total premiums paid 

Key points

  1. While the premium you pay towards the life insurance is eligible for a deduction, the lower of the following two amounts will be taken into consideration:
    • The amount of premium up to ₹1,50,000
    • The amount of premium up to 10% of the sum assured
  2.  Section 80C provides this tax deduction in a combined manner for a bouquet of financial avenues like a contribution to provident fund, deferred annuity etc. All of these avenues put together are allowed a total deduction of up to ₹1,50,000, so you should keep that in mind 

The Future Generali Assured Education Plan is an effective and useful way of providing a financial cover to your child’s dreams and ambitions by combining life cover with guaranteed payouts and tax benefits. 

Source:

https://life.futuregenerali.in/insurance-plans/guaranteed-plans/assured-child-education-policy

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