The life insurer said those having participating policies which are in-force for the full sum assured as of March 31, 2022, and for which they are paying the premiums regularly, are eligible for the bonus.
A participating life insurance policy allows policyholders to participate in the profits of the company in the form of dividend or bonus.
The bonus declared by the company includes regular reversionary bonus of Rs 840 crore and terminal and cash bonus of Rs 230 crore.
Reversionary bonus refers to the sum added to the amount of an insurance policy payable at the maturity of the policy or on death of the person insured.
The regular reversionary bonus declared are payable at the time of maturity or after death of the policyholder, Bajaj Allianz Life said.
Over 11.62 lakh eligible loyal policyholders who have stayed focused on their life goals with Bajaj Allianz Life will benefit from this announcement, a company release said.
The life insurer said that the bonuses will be funded from its surplus generated by company’s participating policyholders’ funds for FY22.
Declaration of bonus for the last 21 years consecutively reflects company’s commitment to the customers towards their life goal enablers, Tarun Chugh, MD & CEO, Bajaj Allianz Life Insurance, said.
“We will continue to strengthen the organisation’s proposition by offering value-packed products and best-in-class services. These will be in addition to announcing annual bonuses on policies to ensure our customers’ long-term financial goals are met,” he said.