Loans Against Tata AIA Life Insurance Policies

Introduction

Protecting your loved ones and securing your finances are key reasons to purchase a life insurance policy. But what if your insurance policy could do more than just provide future security in times of financial need? With a loan against your life insurance policy, you can access urgent funds without surrendering the policy or disrupting your financial planning.

At Mera Kal, we help you unlock the potential of your insurance policy, allowing you to retain all the benefits of your life cover while enjoying lower interest rates compared to personal loans or credit cards. This solution empowers you to meet your financial needs while keeping your long-term financial goals intact.

How Does a Loan Against Your Tata AIA Life Insurance Policy Work?

A loan against a Tata AIA Life insurance policy is essentially a loan taken using the policy’s surrender value as collateral. You will be eligible for a loan once your policy has accrued sufficient value based on the premiums you have paid. The loan amount is typically a percentage of the surrender value and can be used for any personal or financial need.

Available Plans for Loan Collateral

Not all Tata AIA Life Insurance policies are eligible for loans, and each lender could have their own specific sub-set of approved policies. That said, Tata AIA Life offers a range of life insurance plans that may qualify for loans, provided they have accumulated a surrender value. Here’s an overview of some popular Tata AIA Life plans that could be eligible for loans:

At Mera Kal, we make access to credit against your insurance policies seamless, ensuring you get access to the funds you need without forfeiting the insurance benefits you’ve worked hard to secure.

FAQ Section

• What is a loan against Tata AIA life insurance policy?

  This is a secured loan that utilises your Tata AIA life insurance policy as collateral. This is completely legal, safe and an easy way to get funds, when you need them.

• Are all Tata AIA life insurance policies eligible?

  Except Tata AIA term policies which do not include return of premiums, and group insurance policies, most life insurance policies are eligible; but you can get in touch with us to learn more.

• What is the interest rate on this loan?

  At Mera Kal, the interest rate starts at 8% flat per annum. Since a loan against an insurance policy is completely secured, the risk for the lender is minimal, which is why you will generally see lower interest rates.

• What is the loan amount that I can avail?

  Although the actual loan amount will be dependent on your Tata AIA policy surrender value, you can get anywhere between ₹25,000 to ₹1 Crore. Use our loan calculator to learn more.

• What is surrender value and how do I check it for my policy?

  Surrender value (SV) is the amount that the insurance company pays the policyholder if they decide to terminate the plan before it reaches maturity. The SV is determined by various factors, including the type of the policy, premium amount paid, duration for which the policy has been active, term of the policy, bonus accrued and specific terms and conditions of the insurance policy. The delta between the current value of a policy and the SV can often be high, making taking a loan a way to optimize the financial outcomes for the customer.

• What is the term of the loan?

  The term of the loan can vary from 12-36 months and this will be dependent on your requirement and of course, your policy eligibility. Overdrafts are typically 12 month terms that are renewable.

• What documents are required for a Tata AIA policy loan?

  You will need your policy documents, KYC documents (PAN card, Aadhaar card), bank statements, and a filled application form. Additional documents may be required based on the loan amount and lender requirements.

• How long does it take to get the loan approved?

  At Mera Kal, loan approval typically takes 24-48 hours once all required documents are submitted. The disbursement happens within 1-2 working days after approval.