IDBI Federal life insurance has launched a new product Suvidha Savings Insurance Plan. The summary of this plan is – Old wine in new bottle. It's a endownment plan which lacks transparency. You may fix premium during the whole term and on maturity get you S.A. plus bonus. There is a guarantee of bonus at the rate of Rs. 50 per 1,000 of the Sum Insured for the first 3 years of the policy. The official website gives sample illustration of this plan @6% and @10%, as per IRDA guidelines. But now-a-days, you're not getting 10% interest in bank FD, how can you expect to get 10% in life insurance plan.
We suggest to forget this plan and invest in mutual funds for long term to create wealth. Take the route of SIP to beat market volatility. For risk-cover, there are many good options as online term insurance plan. Combinations of both these two are much better than this endownment plan.
You may download the brochure of this plan from here.