| Address: Ahmedabad, Gujarat |
I have opted the policy No. LSG1261034 in May-2006 under the plan of Life Saver Unit Linked of Aviva Life Insurance Company Ltd., with a Premium of Rs. 25,000 per year. On payment of premium on year to year basis the no o[censored]nits based on the market value was credited on my account. The details about the premium paid / units allocated on year to year basis are tabulated as below
DATE FUND UNITS
24-May-06 Growth Fund 1081
27-May-07 Growth Fund 879
29-May-08 Growth Fund 803
26-May-09 Growth Fund 819
1-Jun-10 Growth Fund 714
Total Units allocated 4295
Surprisingly, while visiting the www.avivaindia.com site, only 3395 units is being shown against the total allocated units of 4295 against the above policy.
I have intimated the Branch Manager of Avivaindia, but no satisfactory answer being given by them or units has been credited in my accounts. In lieu of my enquiry, they informed me that the units have been reduced on monthly basis on account of Policy Administration Charge, Initial Management Charge, Regular Management Charge; Mortality Charge apart from the commission is being paid to the agent on year to year basis.
The fact about the investment is that, after investing Rs. 1.25 lacs, the today’s value of policy showing mere Rs. 1.17 lacs.
Having no option left out but to go for full surrender the policy looking to the intelligible benefit, I have decided to go for full redemption of the said policy. While going through the Article 13.4 in case of full surrender of policy, a surrender penalty deduction in accordance with the Company’s Surrender Penalty chart as published from time to time will be applied.
In above case, neither I have received any chart from date of policy taken to till date nor even highlighted in the request form for payout of policy.
While, taking / holding this policy for a period of last 05 years, neither the Company Officials nor agent were explained / being contacted to me while taking such policy.
Under the above circumstances, in case of full surrender of policy, following scenario will be :
1)On surrender of policy, around 22% of total value is being deducted towards early closure of Policy against the terms of 20 yrs i.e net value will be offered to me is around 91,000 thousand against the today’s value of Rs. 1.17 lacs.
2)If I continue to pay the premium on year to year basis for next 20 yrs, every year around Rs. 6100/- (Equivalent Units) will be deducted towards Policy Administration Charge, Initial Management Charge, Regular Management Charge; Mortality Charges, hence marginal appreciation will be getting compared to investment or making deposit in a nationalized bank in a normal interest rate.
I feel that, instead of investing money into such policy, I would have made fixed deposits for 05 yrs, would have earned around Rs. 30,000/- as compounded interest over and above my investment of Rs. 1.5 lacs.
Since, your organization support the consumer interest, put forward to you for your consideration and necessary action from your side to protest the interest of an individual.
Hoping for a favourable reply and action from your side.
Tushar Shah
A/73, Vishal Residency,
Opp : Shivalik Bunglows,
Near 100 Feet Ring Road,
Satellite,
Ahmedabad – 380 015.
(M[protected]
Aug 13, 2020
Complaint marked as Resolved 
We would like to help address your issue. Please write in to us with your policy details on [protected]@avivaindia.com and we will investigate your concern and revert. We would revert to you within 7-10 days of receiving your policy details.
Regards, Customer Services team