ICICI Pru Protect N Gain Calculator

ICICI Pru Protect N Gain Calculator

ICICI Pru Protect N Gain (UIN: 105L191V06) is a unit-linked, non-participating life insurance plan - it splits your premium between a life cover and a market-linked investment fund. It offers two plan options: the Life Option, which gives you a higher life cover (a multiple of your Annual Premium), and the Growth Option, which keeps the cover to a minimal level so more of your premium goes toward investment. This calculator projects your fund value at maturity under both plan options, using the two assumed investment return scenarios - 4% p.a. and 8% p.a. - that IRDAI requires every ULIP benefit illustration to show.

How the Fund Value Is Calculated

Each policy year, a Premium Allocation Charge is deducted from your premium first - highest in Year 1, tapering down and reaching zero from Year 6 onwards. From what's left, a Mortality Charge (the cost of the life cover) and a Policy Administration Charge are deducted. What remains is added to your fund, which then grows (or shrinks) at the assumed rate, net of the Fund Management Charge for your chosen fund:

$$FV_t = \max\big(FV_{t-1} + (P_t - AC_t) - MC_t - PAC_t,\ 0\big) \times (1 + r - FMC)$$

Where:

• FV_t - fund value at the end of policy year t
• P_t - premium paid in year t (₹0 once the Premium Payment Term ends)
• AC_t - Premium Allocation Charge deducted from the premium in year t
• MC_t - Mortality Charge deducted in year t, based on the Sum at Risk (Sum Assured minus current fund value) and your attained age
• PAC_t - Policy Administration Charge deducted in year t
• r - assumed gross investment return for the scenario (4% or 8% p.a.)
• FMC - annual Fund Management Charge rate for the chosen fund

Charge Return: Allocation and Mortality Charges Added Back

A distinguishing feature of this plan is the Charge Return. Money you paid in charges in the early years is credited back as additional units later in the policy:

$$FV_t \mathrel{+}= AC_{t-10} \quad (t \geq 11), \qquad FV_t \mathrel{+}= 2.5 \times MC_{t-25} \quad (t \geq 26)$$

From the 11th policy year onwards, 1x the Premium Allocation Charge deducted 10 years earlier is added back. From the 26th policy year onwards, 2.5x the Mortality Charge deducted 25 years earlier is added back too - relevant only for the longest, 30-year Policy Term.

Maturity Booster

At maturity, an extra addition - the Maturity Booster - equal to 20% of the average fund value over the closing quarters is credited:

$$\text{Maturity Booster} = 0.20 \times \text{Average Fund Value over the closing quarters}$$

This calculator approximates "closing quarters" using the average of the final 2 policy years' fund values, since the projection runs on an annual step rather than a quarterly one.

Life Cover (Sum Assured)

$$\text{Sum Assured} = \begin{cases} \text{Annual Premium} \times \begin{cases} 10, & \text{Age at Entry} < 45 \\ 7, & \text{Age at Entry} \geq 45 \end{cases}, & \text{Life Option} \\[6pt] \text{Annual Premium} \times 1.25, & \text{Growth Option} \end{cases}$$

The Life Option follows the IRDAI minimum sum assured norm for regular-premium ULIPs. The Growth Option keeps the cover to a minimal multiple so more of the premium is invested rather than spent on mortality charges.

Charges Used in This Illustration

Charge	Rate
Premium Allocation Charge	4% in Year 1, 2% in Years 2-5, 0% from Year 6 onwards
Fund Management Charge	1.35% p.a. (Bluechip / Opportunities), 1.25% p.a. (Balanced Advantage), 0.95% p.a. (Income)
Policy Administration Charge	₹60/month in Year 1, increasing 5% each year, capped at ₹500/month
Mortality Charge	Per ₹1,000 of Sum at Risk, rising with attained age (from ~₹0.9 at age 25 to ~₹30 at age 75)
Charge Return	1x the Premium Allocation Charge added back from Year 11 (10 years after deduction); 2.5x the Mortality Charge added back from Year 26 (25 years after deduction)
Maturity Booster	20% of the average fund value over the closing quarters, credited at maturity

These figures are illustrative and modeled on the general shape of Indian ULIP charge structures - they are not a reproduction of ICICI Prudential Life's actual current product brochure. Always check the official Benefit Illustration and policy document before buying.

How to Use This Calculator

1. Enter your Age at Entry.
2. Enter the Annual Premium you plan to pay.
3. Choose the Policy Term - how long the policy runs.
4. Choose your Premium Payment Option - pay premiums for the full Policy Term (Regular Pay), or stop paying earlier (Limited Pay) while the cover continues for the full term.
5. Choose your Plan Option - Life Option for a higher life cover, or Growth Option for minimal cover and more investment.
6. Choose a Fund Option based on your risk appetite.
7. Submit to see your projected Life Cover, total premiums paid, projected fund value at maturity under both assumed return scenarios, an approximate net yield, and a year-by-year fund value schedule.

Worked Example

A 30-year-old paying an Annual Premium of ₹1,00,000 for a 20-year Policy Term (Regular Pay), Life Option, invested in the Bluechip Fund:

• Sum Assured: ₹10,00,000 (10x Annual Premium, since entry age is under 45)
• Total Premiums Paid: ₹20,00,000 (₹1,00,000 x 20 years)
• Projected Fund Value @ 4% p.a.: approximately ₹31,21,851
• Projected Fund Value @ 8% p.a.: approximately ₹49,12,604
• Approx. Net Yield @ 8% scenario: about 4.60% p.a. - lower than the 8% assumed gross return because of the allocation, mortality, and fund management charges deducted along the way, partially offset by the Charge Return and Maturity Booster additions

Important Notes

• This is market-linked, not guaranteed. Unlike a traditional endowment plan, the fund value depends entirely on the actual performance of the underlying fund. The 4% and 8% figures are illustrative assumptions mandated by IRDAI for comparison purposes, not a promise, floor, or ceiling on your actual returns.
• Life Option vs Growth Option is a trade-off between life cover and investment: the Life Option deducts higher mortality charges for a larger death benefit, while the Growth Option keeps cover minimal so more of the premium stays invested.
• Charge Return and Maturity Booster are not guaranteed cash bonuses - they are additional units credited to your existing market-linked fund, and so are still subject to market performance afterwards.
• 5-year lock-in. As with all ULIPs in India, withdrawals are not permitted during the first 5 policy years.
• Tax benefits may be available on premiums under Section 80C and on the maturity/death benefit under Section 10(10D) of the Income Tax Act, subject to the conditions in force at the time.
• This calculator is for educational illustration only and does not constitute financial or insurance advice. Refer to the official ICICI Pru Protect N Gain policy document and benefit illustration before making any purchase decision.