Well let me start with a huge disclaimer: THIS IS SARCASM. The title is sarcastic to start with. Ulip is a shitty product. However LIC and other life insurance companies have an even shittier product called the TRADITIONAL ENDOWMENT PLAN.

Compared to that super shit, this is shit, so you should stay away. I found an article saying ‘Ulip is good, but it has been mis-sold’. Another piece of humbug. You can only sell a product. A bad product has been sold. The IFA has no control over the charges, the allocation ratio, the risk costs – so blaming the agent – a media pass time – sounds so funny.

ULIP combines insurance and investments, so you SHOULD stay away

ULIP sustains the life insurance industry, and therefore it is the only thing that gets advertised in the media

Media needs ULIP for advertising and as a product to flog. Once in a while they have to say it is better than Endowment.

When you need more insurance and less investing how does ULIP help?

When you need more insurance and the fund manager is r….g your portfolio where to cry?

When charges are absolute the small premium player gets ripped off

When charges are in percentage terms the bigger customer asks for and gets a rebate. What gives?

ULIP is transparent for the knowledgeable investor. LOL. How many of you WILL EVER READ the terms and conditions?

Have you read the terms and conditions while signing on of Gmail? We do not. As a rule, we do not.

Some ‘intellectuals’ have now been convinced to write about ‘how good ulip is’. I can understand. I too was offered a nice ‘consideration’ for changing my mind. Sadly in a country where amc charges have dropped ONLY in mutual funds, and many people have the discipline of doing long mutual fund investments, ULIP loses all its so called ‘it keeps you disciplined’ kind of stupid argument. You cannot shift out of a 30 year product even if the fund manager were to change or a fund manager were to start performing badly.

Repeat: ULIP is a shit product – it was a good product earlier. I have a ULIP with 0.8% amc – today no such product exists. Hello IRDA WHERE are you?


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  1. Thanks to Subra, I got out of this shit long back. Continuing with diversified mutual fund sip since then and a term insurance separately. No more kichidi policy of insurance and equity.

  2. Subra Sir,

    You are snatching away the daily bread of millions.

    I just hope you have adequate number of bodyguards around you 🙂

    Disclaimer : No vested interest in the indian “insurance” circus.

  3. Hello Subra,
    Have you heard of the product from ICICI Pru Life, “ICICI Pru signature Online”.
    I saw there was a 10(10D) tax exemption on maturity proceeds for this product as they advertise.
    Let me know your views.

    Best regards,

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