ULIP True Returns Calculator

Uncover the real returns from your ULIP policy after stripping all charges. Compare ULIP maturity with PPF, FD, ELSS, and Term + Mutual Fund alternatives.

By DhanikaCal TeamLast updated: February 2026
₹10,000₹1,00,00,000
Yrs
5Yrs30Yrs
%
0.0%30.0%
₹0₹50,000
%
0.00%5.00%
₹0₹50,000
%
1.0%20.0%

Maturity Value

₹27,93,294

Total Premiums Paid

₹15,00,000

Total Charges Deducted

₹3,75,254

Actual CAGR

4.23%

Cumulative Premiums vs Fund Value

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ULIP vs Alternative Investments

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Year-by-Year ULIP Breakdown

YearPremiumAllocation ChgAdmin ChgMortality ChgFMCFund Value
1₹1,00,000₹5,000₹3,000₹2,000₹1,215₹97,785
2₹1,00,000₹5,000₹3,000₹2,000₹2,535₹2,04,028
3₹1,00,000₹5,000₹3,000₹2,000₹3,969₹3,19,462
4₹1,00,000₹5,000₹3,000₹2,000₹5,528₹4,44,880
5₹1,00,000₹5,000₹3,000₹2,000₹7,221₹5,81,147
6₹1,00,000₹5,000₹3,000₹2,000₹9,060₹7,29,202
7₹1,00,000₹5,000₹3,000₹2,000₹11,059₹8,90,063
8₹1,00,000₹5,000₹3,000₹2,000₹13,231₹10,64,838
9₹1,00,000₹5,000₹3,000₹2,000₹15,590₹12,54,732
10₹1,00,000₹5,000₹3,000₹2,000₹18,154₹14,61,051
11₹1,00,000₹5,000₹3,000₹2,000₹20,939₹16,85,217
12₹1,00,000₹5,000₹3,000₹2,000₹23,965₹19,28,773
13₹1,00,000₹5,000₹3,000₹2,000₹27,253₹21,93,397
14₹1,00,000₹5,000₹3,000₹2,000₹30,826₹24,80,911
15₹1,00,000₹5,000₹3,000₹2,000₹34,707₹27,93,294

Understanding ULIP Charges

Unit Linked Insurance Plans (ULIPs) combine insurance with investment but have multiple layers of charges that reduce your effective returns significantly. Understanding these charges is crucial before investing in a ULIP.

Types of ULIP Charges

Premium Allocation Charge: Deducted from each premium before investment (typically 2-5%). Policy Admin Charge: Monthly/annual fee for policy administration. Fund Management Charge: Annual percentage of fund value (capped at 1.35% by IRDAI). Mortality Charge: Cost of life insurance cover, increases with age.

ULIP vs Term Insurance + Mutual Fund

Most financial advisors recommend buying a pure term insurance plan for life cover and investing separately in mutual funds (via SIP) for wealth creation. This combination typically yields 2-4% higher effective returns compared to ULIPs due to lower charges.

Frequently Asked Questions

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