Unit Linked Insurance Policies - Advantages and Disadvantages 3089635636924505613-blid-1402224084014538449

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Unit Linked Insurance Policies are termed as ULIPs in short. In this kind of policy, the premium paid is divided into two parts. One part is used for payment of premium for insurance coverage and the other part is allocated to equities. In the initial 3 years, a substantial part of the premium paid is allocated for insurance coverage. Later this proportion decreases and larger part is allocated to equities.