ICICI Pru Life launches ULIP having fund value-based distributor payouts

ICICI Prudential Life Insurance on Monday launched ICICI Pru Platinum, a Unit Linked Investment Plan (ULIP) that ties the distributor’s commission to their customers’ Assets Under Management (AUM).

According to the product specifications, customers have unlimited free switches between asset classes without any cost or tax implications.

Customers can choose from an array of 21 funds under this product, which includes 13 equity funds, four debt funds, and four balanced funds. Additionally, they can choose from four portfolio strategies.

According to the insurer, this product, which provides a cost- and tax-efficient way to build long-term wealth, will also incentivise distribution partners to encourage their customers to stay invested throughout the policy term.

“ICICI Pru Platinum, our company’s first unit-linked product, is designed to align distributor payouts with their customers’ fund value, promoting the long-term interests of both,” said Amit Palta, chief distribution officer, ICICI Prudential Life Insurance.

In FY24, the contribution of the linked savings product to the insurer’s overall Annualised Premium Equivalent (APE) increased to 43.2 per cent from 35.9 per cent in FY23, while the share of the non-linked savings product decreased to 25.8 per cent from 37.3 per cent during the same period.

First Published: May 06 2024 | 8:41 PM IST