Glossary
- Additional allocationThe Additional allocation is additional premium credited to the respective funds every year till end of policy term. The period from which the allocation begins depends from product to product.
- AnnuityThe amount paid under an annuity scheme at stipulated intervals like yearly/half yearly/quarterly/monthly intervals. Annuities are typically used for pensions and the individual receiving the annuity is known as an annuitant.
- Asset allocationRefers to the make up of the distribution of the various assets of an organization usually done to maximize expected reward / returns within risk constraints.
- Compound Reversionary BonusA with-profits life assurance bonus, normally added annually to the policy, which is based on the profits of the life company's investments. The compound reversionary bonus is normally calculated on the sum assured (or basic sum assured) plus bonuses to date and is payable at the maturity of the policy or prior death. Once declared, reversionary bonuses are guaranteed.
- Critical Illness CoverInsurance which covers the insured against pre-defined critical illnesses such as cancer, heart attack and multiple sclerosis etc. In the event that the insured contracts one of the specified illnesses, the insurers would pay a lump sum rather than an income as in the case of permanent health insurance.