- Under SIP insurance plans, mutual funds offer a free life cover on starting SIP investments.
- Recently AMCs are proposing to introduce bundled products while some existing schemes have such bundled products.
- Due to this SEBI has informed that no existing schemes or ones which are proposed to be launched shall have bundled products.
- The life cover, in most SIP insurance products, was in the range of up to 100-120 times the SIP amount, subject to a Rs 50 lakh limit.
- Most fund houses offered SIP insurance to people in the 18-51 age bracket investing in eligible schemes.
- They have also added insurance benefits at no additional cost to tap into its popularity.
Question:
Q.1 The Securities and Exchange Board of India has barred _________in India from offering insurance products bundled?a. Bad Banks
b. Asset management companies
c. Financial Market Apps
d. Mutual Fund Companies