Those who belong to low and middle-class families are deeply concerned about their financial security. So, everyone must do financial planning to stay safe during any unfortunate situation. Whether you’re running a family or a business, financial planning can assist you in solving problems far more effectively. It’s easier to make guaranteed return plans and get stable finances because there are various insurance plans offering different benefits. By investing in the best-guaranteed return plans, you will be confident enough that your returns will be assured, which will go a long way toward helping you achieve your financial goals.
Guaranteed return insurance plans better prepare you to deal with circumstances & scenarios that may necessitate emergency financial assistance. However, you must properly access the guaranteed return plans before investing to find out if they provide benefits related to life coverage and maturity. Additionally, guaranteed return plans must contain death benefits for the beneficiary after his demise. Besides these, the guaranteed return insurance plans should provide you with bonuses, tax deductions, and regular income.
Top Guaranteed Return Insurance Plans
Investment is necessary to increase your wealth and protect it from inflation. In the long run, this also aids you in securing complete financial stability.
Guaranteed return insurance plans are the ideal alternative that offers dual benefits of investment. Guaranteed return plans are the best alternative since they combine a fixed interest rate with a greater rate of return for the investor. The guaranteed return insurance plan provides a return rate of 6% to 6.5%, which is higher than any other insurance option. Since interest gained is non-taxable, your earnings increase. A guaranteed return plans to secure your capital through assured returns and also assists you in making a profit on your investment.
One additional benefit of guaranteed return plans is that your investment is not subject to market risks for about 30- 40 years, which makes it a safe, secure, and guaranteed returns investment. Numerous market organizations offer different investment plans with guaranteed returns, making it hard to figure out which guaranteed return plans are beneficial and substantial for us.
Hence, after evaluating all aspects of several investment plans that are currently available on the market. We have prepared a guide of top investment plans that offer a guaranteed return insurance plan that provides you with both security and financial sustainability.
10 Best Guaranteed Return Plans in India 2022
Here we are discussing the 10 best-guaranteed return insurance plans in India to invest 2022:
|Name of the plan||Policy duration||Minimum entry age|
|Max Life Guaranteed Income Plan
|The policy duration is of 6 or 12 years.||The minimum entry age is 25 years.
|ICICI Prudential Cash Advantage Plan
|The policy duration is of 20 years.||The minimum entry age is 0, 1, or 3 years.|
|LIC New Jeevan Anand
|The policy duration is of 15 years or 35 years.||The minimum entry age is 18 years.|
|Bajaj Allianz Save Assure Plan
|The policy duration is of 15 years or 17 years.||The minimum entry age is 1 year.|
|SBI Life Smart Money Back Gold Plan||Policy duration is 12, 15, 20, or 25 years.||The minimum entry age
is 14 or 15 years.
|Canara Smart Monthly Income Plan
|The policy duration is of 25 years.||The minimum entry age is 18 years.|
|Tata AIA Life Insurance Secure 7 Plan
|The policy duration is of 14 years.||The minimum entry age is 18 years.|
|Shriram New Shri Life Plan||The policy duration is of 10-25 years||The minimum entry age is 30 days.|
|Star Union Dai-ichi’s Guaranteed Money Back Plan||The policy duration is of 10,15 and 20 years||The minimum entry age is 13 years|
|SBI Life Saral Shield||The policy duration is 5-30 years||The minimum entry age is 18 years|
1. Max Life Guaranteed Income Plan
Max Life Guaranteed Income Plan is a popular guaranteed return insurance plan. Max Life Guaranteed Income Plan is another money-back plan that enables the policyholder to earn guaranteed income for more than ten years. If the insured or policyholder dies due to an unforeseen event during the policy’s term, the nominee will receive death benefits.
Some prominent features of a guaranteed return insurance plan include:
- Flexibility to convert the means of the benefit earned after the guaranteed return plans mature.
- The flexibility to receive income as a lump sum payment rather than monthly benefits.
- Rs. 1 lacs minimum sum guaranteed.
- 25 years is the minimum entry age.
- A loan facility is not available within this plan.
2. ICICI Prudential Cash Advantage Plan
The ICICI Prudential Cash Advantage Plan is a widely popular non-linked, best-guaranteed return plan which increases the i006Esured’s regular income. A guaranteed cash payout under this plan will begin at year-end while paying premiums.
Some features of the guaranteed return plans include:
- Payment in a single lump sum amount.
- Provide convenience in the mode of premium payment.
- It protects the family financially after the demise of the policyholder.
- Life coverage for the entire policy duration.
- Offer a bonus if announced by the policyholder.
3. LIC New Jeevan Anand
LIC New Jeevan Anand is among conventional and the best-guaranteed return plans. This guaranteed return insurance plan is a non-linked one that offers financial security and savings. If you want a guaranteed return insurance plan offering the best assurance and a trouble-free existence, opt for LIC New Jeevan Anand.
Some prominent features of this guaranteed return plan include:
- The minimum sum guaranteed is Rs.1 lakh
- There is no maximum sum limit.
- This plan provides several advantages.
- The policy term is 15 to 35 years and adjustable according to policyholder financial requirements.
- The minimum entry age is of 18 years.
- The maximum entry age is of 50 years.
4. Bajaj Allianz Save Assure Plan
The Bajaj Allianz Save Assure plan is another traditional endowment plan providing an opportunity for the policyholder to earn money through savings by purchasing life insurance protection. This plan has a policy term of 15 or 17-year duration and offers several advantages. Its limited options for paying premiums assist in meeting the insured’s financial requirements during times of emergency.
Some prominent features of this best-guaranteed return plan include:
- The plan is suitable for those who desire to improve their financial situation.
- The minimum sum guaranteed is Rs.1 lakh.
- Provides higher-sum secured concessions for saving money.
5. SBI Life Smart Money Back Gold Plan
The SBI Life Smart Money Back Gold Plan is a guaranteed return plan with a money-back policy. It is a non-linked individual life insurance savings plan offering the added benefit of life insurance and regular cash inflow. It helps you meet your numerous financial commitments at critical junctures thanks to its terms.
Some prominent features of a guaranteed return insurance plan include:
- Rs.75000 minimum sum guaranteed.
- There is no maximum sum limit.
- The plan provides various options as per the financial requirements.
- There are various rider benefits for complete coverage.
- It offers risk coverage and high protection.
6. Canara Smart Monthly Income Plan
Canara Smart monthly income plan is the best-guaranteed return plan suitable for those who desire to benefit from fixed monthly income and bonuses. Under this plan, you can make limited premium payments for more than ten years to obtain an initial monthly income of 2000 rupees. The monthly income grows incrementally in multiples of 100 under this guaranteed return insurance plan. With this plan, you are also eligible to receive a bonus and a final bonus when the policy’s term matures.
Some prominent features are:
- The policyholder can make a high income through this investment strategy with a guaranteed return.
- Monthly income begins after a ten-year tenure and continues for fifteen years.
7. Tata AIA Life Insurance Secure 7 Plan
This endowment plan is non-participating. This guaranteed return insurance plan offers a return on investment. Under this plan, you pay the premiums for seven years before getting the guaranteed income. Some prominent features of a guaranteed return insurance plan include:
- The 25% sum assured is available for the maturity benefit.
- Ensure the insured person receives more income.
- The minimum amount is Rs. 2.5 lakhs, but there is no set maximum.
8. Shriram New Shri Life Plan
Shriram New Shri Life Plan is a non-participating endowment plan that offers saving options to the family to provide safety to the family during the untimely demise of the policyholder. This guaranteed return plan offers reversionary bonuses plus maturity advantages. Some of the features of Shriram New Shri Life Plan are:
- The policy term of the Sriram New Shri life plan is 10,15,20, and 25 years.
- This guaranteed return plan offers loan benefits.
- The minimum sum assured is Rs. 50,000.
9. Star Union Dai-ichi’s Guaranteed Money Back Plan
The guaranteed return plan offered by the star union Dai-ichi is a multi-dimensional plan offering benefits like a saving plan, a money-back plan, etc. This plan offers survival benefits to the policyholder, equaling 200% of the annual premium. The features of this guaranteed return plan are:
- The tenure for this policy is 10, 15, and 20 years.
- The payment modes offered by this plan are Annual, half-yearly, quarterly, and monthly.
- The sum assured is Rs. 3 lacs to Rs. 10 crores.
10. SBI Life Saral Shield
SBI Life Saral Shield is the best-guaranteed return plan that offers various riders and provides benefits like decreased loan protection and family protection. The features of the SBI Life Saral Shield are:
- This plan provides three variants – Level term, decreasing term for loan protection, and decreasing family income protection.
- This guaranteed return plan provides the best discount for females and high SA.
- They also provide rider benefits such as accidental death and total or permanent disability benefits.
Best Investment Options for Guaranteed Returns
People from different income groups are selecting the best investment options for managing their finances and guaranteed returns. Investments are frequently equated with equity or the stock market but are only partially accurate. Other than these, fixed deposits, Unit Linked Insurance Plans (ULIP), liquid funds, and government bonds are some top investment options for a guaranteed return. These best-guaranteed return plans provide you with financial sustainability and offer a higher return on investment.
These investment alternatives are non-participatory and offer insurance coverage & taxation advantages under Section 80C of the Income Tax Act. Let us explore in more depth some of the best investment options available on the market for guaranteed returns.
1. Fixed deposits (FDs)
Fixed deposits (FDs) are financial guaranteed return insurance plans designed especially for investors with minimal risk tolerance. FDs offer investors the chance to deposit their money into an account with a greater interest rate than regular savings accounts, making them one of the best investment options. However, unlike recurring deposit accounts (RDs), fixed-deposit accounts (FDs) do not provide liquidity, and you cannot withdraw funds until the account matures. Interest rates range from 4% to 11%. The maturity period can range from seven to forty-five days to as many as ten years. FDs also provide income tax and wealth tax advantages to investors.
2. Unit-Linked Insurance Plan
Unit-Linked Insurance Plan (ULUPs) is another choice as the best investment plan. It is the best-guaranteed return plan that offers the insured risk protection with the advantage of investment profits. Most investors now frequently choose to invest in ULIP plans in recent years. ULIP offers the dual benefits of a guaranteed return plan and provides the ideal balance of affordable life insurance and market-linked investments, regarded as one of the best investment strategies available today. Additionally, the advantages of investment returns, this guaranteed return insurance plan offers insurance coverage to the insured’s family in case of any unforeseen circumstances. The long-term guaranteed return of the guaranteed return insurance plan makes it a tax-saving choice.
3. Endowment Insurance plans
Endowment plans are typically offered by insurance companies and combine the advantages of life insurance with a modified savings plan. These best-guaranteed return plans offer lump-sum maturity benefits at the term end or upon the event of the life insured’s passing. The regular policy term is between 10 and 20 years, and some guaranteed return insurance plans offer secure payouts against the money at life stages.
4. Liquid funds
Liquid funds invest money in government bonds and many other investment options. This mutual fund solely invests in debt and money market instruments with maturities up to 91 days. These funds invest in debt securities, such as Treasury bills (T-bills), Commercial Paper (CPs), Certificates of Deposits (CDs), Bank Term Deposits, and others, with residual maturities of fewer than 91 days at the time of investment.
It offers guaranteed returns because there is no lock-in period, and you can withdraw money as per your financial needs. It offers investment for 3 to 5 years and allows withdrawal whenever needed.
5. Government bonds
Government bonds are fixed-income best-guaranteed return plans and are equally stable as FDs. A tool to cover the debt known as a bond has a fixed Interest rate, and the government takes its guarantee. But because some of the bonds are exchangeable on the secondary market, they offer far more liquidity than fixed deposit accounts. Given how similar FDs are to these bonds, it seems sensible to apply the same criteria to select which government bonds—or, for that matter, any debt instrument—to purchase. It prioritizes the interest rates and the entity or agency producing the currency’s financial rating.
The terms for fixed interest payment, loan principal, and tenure make this bond a great investment option. As a result, a government bond guarantees the safety of your amount and an additional return on investment.
Guaranteed Return Plan – FAQ
What are guaranteed return insurance plans?
Life insurance policies with guaranteed returns are savings plans that provide complete protection and guaranteed returns upon policy maturity. The guaranteed income plan provide financial security by providing regular income at a fixed percentage.
List some popular guaranteed return plans.
Here is the list of some widely accepted money-back guaranteed return plans.
- Bajaj Allianz Save Assure Plan
- LIC New Jeevan Anand
- Max Life Guaranteed Income Plan
- ICICI Prudential Cash Advantage Plan
- Canara Smart Monthly Income Plan
Name some investment options that offer guaranteed returns.
Some investment options that provide guaranteed returns are:
- Fixed-deposit accounts
- Government Bonds
- Endowment plans
- Mutual funds
- Liquid funds
Are the guaranteed return plans offer tax benefits?
Yes, guaranteed return plans offer tax benefits under Section 80C and 10D. The premiums payable amount and the claims received are exempted from tax.
Which investments in India provide the best returns?
Ans. There are many investment options in India that provide high returns, such as:
- Direct Equity Investment
- Mutual funds
- RBI bonds
- Bank deposits
- Real estate
How can we receive the guaranteed return for our whole life?
Ans. To get the guaranteed return for life, you can invest in some guaranteed income saving plans which are not linked with the market fluctuations and are traditional insurance plans. These plans are risk-free and provide guaranteed payouts on regular periods.