IRDAI has prohibited the promotion of Unit Linked Insurance Plans (ULIPs) as ‘investment products’.
IRDAI said Unit-linked or index-linked insurance products shall not be advertised as ‘investment products’.
Insurers shall specifically state that market-linked insurance plans are not same as traditional endowment policies and carry risks.
Similarly, endowment policies that participate (and offer incentives) must explicitly declare that the predicted bonuses in benefit representations are not guaranteed.
The risk factors shall be disclosed by all the advertisements of linked insurance products and annuity products with variable annuity payout option.
Advertisements for all such products must comply with the standards set by the Advertising Standards Council of India.
Insurers shall not issue any press release or statement without making a reference to the life insurance coverage and the associated products.
A Unit Linked Insurance Plan (ULIP) is a type of insurance plan.
It provides investing opportunities to help you achieve your long-term objectives.
It also provides life insurance to safeguard your family’s finances in the event of an untimely accident.
