I Systematic Insurance Plan
A unit-linked plan sold in two variants — iSIP Wealth (general wealth building) and iSIP Young Genius (child-focused) — offering 24 fund choices, zero allocation/admin charges, and a distinctive feature that refunds mortality charges from the 11th year onward.
Product data last fetched 26 August 2026. Features, premiums and availability may change — verify against the official brochure/policy wording before deciding.
What this product is
A unit-linked plan sold in two variants — iSIP Wealth (general wealth building) and iSIP Young Genius (child-focused) — offering 24 fund choices, zero allocation/admin charges, and a distinctive feature that refunds mortality charges from the 11th year onward.
You might need this if…
- You want a ULIP with a genuinely wide fund shelf — 24 options spanning equity, balanced, and fixed-income risk levels — to build a portfolio inside one policy.
- You want the insurer's mortality charges eventually returned to you: from the 11th policy year, previously deducted mortality charges are added back as extra units, refunded in full by maturity.
- You're saving specifically for a child's future — iSIP Young Genius keeps the policy (and the child's future fund) going even if the parent-policyholder dies, since the insurer takes over premium funding.
- You want zero premium allocation and zero policy administration charges, so more of every rupee goes toward your investment from day one.
- You're a woman investor — a Smart Lady Benefit adds a small extra allocation (0.50% of annualised premium) purely for being a female policyholder.
How it actually works
- Choose iSIP Wealth (entry age from 30 days) for general wealth creation, or iSIP Young Genius (entry age 18+, for the parent, benefiting a child) with policy terms of roughly 10-40 years.
- Charges: nil premium allocation charge, nil policy administration charge; fund management charges range 0.65%-1.35% p.a. depending on fund; a discontinuance charge applies only if you stop premiums within the first 5 years.
- Death benefit (iSIP Wealth): nominee gets the highest of basic sum assured, fund value, or 105% of total premiums paid, and the policy ends. Death benefit (Young Genius): the child's policy continues with the insurer funding future premiums, after an immediate lump-sum payout to the nominee.
- From the 11th policy year, mortality charges deducted so far are progressively credited back as bonus units — a full refund mechanism by maturity, not typical of most ULIPs.
- Wealth Boosters add 1.00%-2.50% of average fund value every 5 years from year 10 onward, scaled to your premium tier.
- Minimum premium is low for entry — ₹1,200/year for iSIP Wealth regular pay (₹6,000/year for Young Genius), or ₹1,000 for single pay — with a wide range of optional riders (health, accidental death, waiver of premium) available on top.
Worked example
From Tata AIA's own brochure: a 30-year-old paying ₹1,00,000/year for 10 years (₹10 lakh total invested) with a ₹10 lakh life cover is projected to reach a fund value of about ₹55 lakh if funds grow at an assumed 8% p.a., or roughly ₹20.8 lakh at a more conservative assumed 4% p.a. — both figures are illustrative, not guaranteed, and net of the plan's charges.
The tiers
| Charge type | Amount |
|---|---|
| Premium allocation charge | Nil |
| Policy administration charge | Nil |
| Fund management charge | 0.65%-1.35% p.a. (by fund) |
| Discontinuance charge (year 1, regular pay) | 5%-20% of premium (capped ₹3,000-6,000) |
| Discontinuance charge (after year 5) | Nil |
Worth knowing before you decide
- Like all ULIPs sold in India, this plan offers no liquidity in the first 5 years — money discontinued early goes into a low-return 'discontinued policy fund' until the lock-in ends.
- If you stop premiums within 12 months of increasing your sum assured and then die by suicide, that increase is forfeited — read the suicide-clause wording carefully.
- Illustrated 8%/4% growth scenarios are standard IRDAI-mandated illustration bounds, not predictions — actual fund performance can fall outside this range in either direction.
- No policy loan facility is available on this plan, unlike some traditional insurance products.