1.       100% allocation is there, but there is 0.5% monthly charges called policy administration charges, which amounts to 6% annually. Apart from that there are 2.25% charges called Fund management charges. If that was not all, there was a fine-print mentioning that these can be increased. Policy Admin charges can be increased by 0.5% for each premium band and fund mgmt charges can be increased to a max of 3.5%.

Premium allocation charges are very high for first few year 1st year 20%, 2nd year 7.5% then onwards 4%

Mortality charges for me are Rs 2.48 per month for Rs1000.

2. The lock-in of 3 years is there, but the term of the policy is 10 years. If you withdraw after 3 years, there are surrender charges. And after 10 years, there is annuity-based income
3. According to the brochure, the annuity or the fund withdrawn would be treated as normal income and the investor has to pay tax on that.

After three-year investment on this product of total amount 9 lakhs I have loss of 1.4 lakhs where as ICCI pru showing as profit on their chart sheet. They possible had gained on the market and at the same time milked their customers so have gained the more which they could very well show in the chart sheet. So it depends on the individuals to use their intelligence to choose such products.

Invested Alloc charges Invested Amount FMC Mot Charges Total value Current Market value 1st year 300000 60000 240000 5400 43200 191400 2nd year 300000 22500 277500 6243.75 43200 228056 3rd year 300000 12000 288000 6480 43200 238320 Total 900000 94500 805500 18123.8 129600 657776 764023