Aviva and Bajaj ULIP

[sunil]

Dear reader,

I do not want to waste your time, but place before you another case where the gentleman has been a victim of such Insurance linked funds. I do not want any rebuttal of it, but at least ignorant people about these schemes should think twice before entering into such schemes.

The basic question discussed and to be informed all in this case is - that the company has charged 24 % as 'ALLOCATION RATE' on the first years premium of 60,000/- which comes to 15,000/-. No mutual fund company is charging this amount. So the basic amount available for purchase of units in the first year is down by 15,000/-. This is the net income of the Aviva company for providing the services for allocating units. It is Utter non-sense.

Then in the last one and half year the stock market has shown boom and the other mutual funds have shown growth by 50 - 60 % . In this case Aviva is showing a growth of - 5 to 10 %.

I ask all what do you call it a positive consumer friendly growth?  You need to be cautious.

Sunil prakaash

Policy no. SVG   1111268  of Aviva Insurance Co.

I had taken the above mentioned policy thru abn amro bank in aug 04. The premium paid to them was Rs 60,000 per annum.It was explained to me by the ABN amro bank sales executive ( Ms Bhanu Seth) that the policy was in the nature of a mutual fund with an insurance cover built in.

The premium was paid in aug 04 and in aug 05. The second payment was directly debited to my account & was not taken against issuance of a chq.

As of date i have recd a stmt of a/c which states that inspite of paying Rs 120,000 as premium ( Rs 60,000 per annum) , the policy value is Rs 117,545 ???? . Inspite of a booming stock market & inspite of all indices going up the value of my investment with aviva is below par !!!!! I have asked aviva to explain how much adminstrative charges have they booked against my policy because all mutual funds show an increased NAV for investments made in 2004 & 2005.

I have asked Aviva to refund my full premium as what was sold to me by ABN amro and what was deilvered by ABN amro are two different things. Had i known of the financial performance of my Aviva policy by then , i wud have ensured that the nvestment was returned back to me by Aviva.

I feel that all such policies which are mutual funds in the garb of insurance policies should be vetted by SEBI or any other stautory authority which controls mutual funds in India.

regards

Raakesh Datta

 

[Avinash Lodha]

wot the heck, there are norms prescribed by the SEBI about the max
charges that any MF can put.
If this is da case, u can just write to the SEBI and they'll take the
co to task.

Regards
Avinash