Categories: Insurance

Edelweiss Life Wealth Rise+ Plan: Good or Bad? An Insightful ULIP Review

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Is the Edelweiss Life Wealth Rise+ Plan a genuine wealth-creation ULIP — or just another long-term product with market risk and mixed returns?

Does the Edelweiss Life Wealth Rise+ plan reward disciplined, long-term investing — or does it demand too much patience for uncertain outcomes?

Is the Edelweiss Life Wealth Rise+ Plan best suited for first-time ULIP investors — or only for those who fully understand market volatility and charges?

This article examines how the plan works and offers a detailed view of its features, benefits, and limitations.

Table of Contents:

What is the Edelweiss Life Wealth Rise+ Plan?

What are the features of the Edelweiss Life Wealth Rise+ Plan?

Who is eligible for the Edelweiss Life Wealth Rise+ Plan?

What are the benefits of the Edelweiss Life Wealth Rise+ Plan?

Death benefit

Maturity benefit

What are the investment strategies and the fund options of the Edelweiss Life Wealth Rise+ Plan?

What are the charges of the Edelweiss Life Wealth Rise+ Plan?

Grace Period, Discontinuance and Revival of the Edelweiss Life Wealth Rise+ Plan

Free Look Period for the Edelweiss Life Wealth Rise+ Plan

Surrendering the Edelweiss Life Wealth Rise+ Plan

What are the advantages of the Edelweiss Life Wealth Rise+ Plan?

What are the disadvantages of the Edelweiss Life Wealth Rise+ Plan?

Research Methodology of Edelweiss Life Wealth Rise+ Plan

Benefit Illustration – IRR Analysis of Edelweiss Life Wealth Rise+ Plan

Edelweiss Life Wealth Rise+ Plan Vs. Other Investments

Edelweiss Life Wealth Rise+ Plan Vs. Pure-term + Equity Mutual Fund

Final Verdict on Edelweiss Life Wealth Rise+ Plan

What is the Edelweiss Life Wealth Rise+ Plan?

Edelweiss Life Wealth Rise+ Plan is a Unit Linked, Non-Participating, Individual, Savings, Life Insurance Product. It gives a financial cushion to your family in case of an untimely death and makes it easy for you to start saving early for the long term.

What are the features of the Edelweiss Life Wealth Rise+ Plan?

  • Life cover is provided as a multiple of the single or annualised premium throughout the policy term.
  • The Enhanced Cover Option offers a higher multiple of the annualised premium for increased protection.
  • Fund value is boosted at regular intervals during the policy tenure.
  • Under the Base Cover Option, a percentage of the annual or single premium is added to the fund value at maturity.
  • Two investment strategies are available based on your risk profile: Self-Managed Strategy and Life Stage & Duration-Based Strategy.
  • Offers liquidity features to help meet urgent financial needs.

Who is eligible for the Edelweiss Life Wealth Rise+ Plan?

What are the benefits of the Edelweiss Life Wealth Rise+ Plan?

1. Death benefit

In case of the death of the Life Insured during the PT, while the Edelweiss Life Wealth Rise+ Plan policy is in force

The Death Benefit will be the Higher of:

  • Sum Assured less Relevant Withdrawals
  • Fund Value
  • 105% of total Base Premiums paid till the time of death

Plus, the higher of:

  • Top-up Sum Assured
  • Top-up Fund Value
  • 105% of total Top-up Premiums paid till the time of death

Additional death benefit under Little Star Benefit:

For a premium-paying policy, the Death Benefit equal to the sum of all the future modal Premiums, if any, shall be added to the respective unit-linked funds in the same proportion as the fund value held in the unit-linked funds at the time of additions.

After the crediting of the death benefit to the fund value, the Edelweiss Life Wealth Rise+ Plan Policy will continue till Maturity or the death of the Life Insured, whichever is earlier. No future premiums are required to be paid.

The Little Star benefit cannot be opted for under the Enhanced Cover Plan Option

2. Maturity benefit

On survival of the Life Insured till the date of maturity, provided the Edelweiss Life Wealth Rise+ Plan policy is in force, the Maturity Benefit will be the fund value (including Top-up fund value) plus Maturity Additions plus Guaranteed Lumpsum.

Maturity Benefit will be payable as a lump sum or as per the settlement option

Additions:

For the Base cover option: Regular additions, namely, Loyalty Additions (LA), Booster Additions (BA) and Maturity Additions (MA), which are expressed as a % of the fund value, are offered

For the Enhanced Cover Option: Booster Additions are credited to the fund value, provided all due premiums have been paid.

What are the investment strategies and the fund options of the Edelweiss Life Wealth Rise+ Plan?

The following Unit Funds would be offered under this Edelweiss Life Wealth Rise+ Plan. The indicative investments and objectives of the respective funds are as follows:

S.no Fund Name Asset Allocation Risk
Equity Debt Money Market instruments
1 Equity Large Cap Fund 60 – 100% 0 – 40% 0 – 40% High
2 Equity Top 250 Fund 60 – 100% 0 – 40% 0 – 40% High
3 Bond Fund 0 0- 100% 0 – 100% Low to Medium
4 Managed Fund 0 – 40% 60 – 100% 60 – 100% Medium
5 Equity Mid-Cap Fund 80 – 100% 0 – 20% 0 – 20% High
6 Equity Blue Chip Fund 60 – 100% 0 – 40% 0 – 40% High
7 Gilt Fund 0 60 – 100% 0 – 40% Low to Medium

Although the funds are open-ended, the company may, as per Board-approved policy and subject to prior approval from IRDAI, completely close any of the funds.

The policyholder will be given at least three months’ prior written notice of our intention to close any of the funds completely or partially, except in an event of ‘Force Majeure’, where we may give a shorter notice.

The Edelweiss Life Wealth Rise+ Plan policyholder can switch the units to another fund. If the policyholder fails to switch, the company will switch the said units to the default fund as follows:

Closed Fund Default Fund
Equity Top 250 Fund, Equity Mid Cap Fund, Equity Blue Chip Fund Equity Large Cap Fund
Managed Fund, GILT Fund Bond Fund

A. Self-Managed Strategy

This strategy enables the Policyholder to manage his/her investments actively. Under this option, the Policyholder can choose to invest his/her monies in any of the above funds in proportions of his/her choice.

The Edelweiss Life Wealth Rise+ Plan Policyholder can switch monies amongst these funds using the switch option or redirect their subsequent premiums using the Premium Redirection option.

B. Life Stage & Duration-Based Strategy

This strategy is a function of the attained age (age last birthday) of the Life Insured and the remaining policy term. This strategy ensures that money is moved from an equity-oriented fund to a debt-oriented fund as the age increases and the remaining policy term reduces.

Under this strategy, a proportion of the fund value will be allocated to the Equity Large Cap Fund, and the Balance fund value will be allocated in the Bond Fund.

Proportion in Equity Large Cap Fund:

Attained Age

Remaining Policy Term (in years)

(in years) 10 15 20 25 30-100
18 82% 100% 100% 100% 100%
30 70% 100% 100% 100% 100%
40 60% 90% 100% 100% 100%
45 55% 83% 100% 100% 100%
50 50% 75% 100% 100% 100%
55 45% 67.50% 90% 100% 100%
60 40% 60% 80% 100% 100%

What are the charges of the Edelweiss Life Wealth Rise+ Plan?

i. Premium Allocation charges

No allocation charges will be deducted from the Base Premium.

No allocation charges will be deducted for Top-Up Premium.

ii. Policy Administration charges

The Policy Administration Charges are recovered on a monthly basis from the policy commencement date (on every policy month anniversary) by way of cancellation of an appropriate number of units.

The monthly Policy Administration charge is the sum of charges mentioned in both tables below divided by 12:

iii. Fund management charges (FMC)

Fund Name Fund Management Charge
Equity Large Cap Fund 1.35%
Equity Top 250 Fund 1.35%
Bond Fund 1.25%
Managed Fund 1.35%
Equity Mid Cap Fund 1.35%
Equity Blue Chip Fund 1.35%
Gilt Fund 1.25%
Discontinued Policy Fund 0.50%

iv. Surrender/ Discontinuance Charges

These charges are recovered by way of cancellation of an appropriate number of units. The date of discontinuance shall be the date on which the grace period expires or the date of surrender, whichever is earlier.

v. Switching charges

Nil

vi. Premium Redirection charges

Nil

vii. Partial Withdrawal Charges

Nil

viii. Mortality Charges

Mortality charges are recovered on a monthly basis (on every policy month anniversary) from the date of commencement by way of cancellation of an appropriate number of units. This charge, if any, shall be levied at the beginning of each policy month from the fund.

Monthly Mortality Charges = Sum at Risk * (Annual Mortality Charge Rate/ 12,000)

ix. Miscellaneous Charges

NIL

Inference from Charges: While the charges under this Edelweiss Life Wealth Rise+ Plan are relatively lower compared to many other ULIPs, they still have the potential to erode your returns.

Over the long term, these deductions can meaningfully slow down your overall wealth-building progress.

Grace Period, Discontinuance and Revival of the Edelweiss Life Wealth Rise+ Plan

For other than single premium policies

Grace Period

A Grace Period of 30 days is available for Annual, Semi-Annual and Quarterly premium payment modes and 15 days for the Monthly premium payment mode.

Discontinuance

Discontinuance of the Policy during lock-in period (during the first five policy years): the fund value after deducting the applicable discontinuance charges shall be credited to the discontinued policy fund, and the risk cover and rider cover, if any, shall cease.

The proceeds of the discontinued policy fund shall be paid to the Edelweiss Life Wealth Rise+ Plan policyholder at the end of the revival period or lock-in period, whichever is later

Discontinuance of Policy after the lock-in period (after the first five policy years): the policy shall be converted into a reduced paid-up policy with the paid-up sum assured, i.e. original sum assured multiplied by the total number of premiums paid to the original number of premiums payable as per the terms and conditions of the policy.

Revival

The policyholder has an option to revive the Edelweiss Life Wealth Rise+ Plan policy within the revival period of three years.

Free Look Period for the Edelweiss Life Wealth Rise+ Plan

You have a Free Look period of thirty (30) days beginning from the date of receipt of the Policy Document, whether received electronically or otherwise, to review the terms and conditions of this Edelweiss Life Wealth Rise+ Plan Policy.

If you disagree with any of the terms or conditions, or otherwise, and you have not made any claims, you may return this Policy for cancellation.

Surrendering the Edelweiss Life Wealth Rise+ Plan

In the case of single-premium policies

The policyholder has the option to surrender at any time during the lock-in period. Upon receipt of a request for surrender, the fund value, after deducting the applicable discontinuance charges, shall be credited to the discontinued policy fund.

The policy shall continue to be invested in the discontinued policy fund, and the proceeds from the discontinuance fund shall be paid at the end of the lock-in period.

After the first five policy years, the Edelweiss Life Wealth Rise+ Plan policyholder has the option to surrender the policy at any time. Upon receipt of a request for surrender, the fund value as on the date of surrender shall be payable.

For other than single premium policies

During the first five policy years, the policyholder has an option to surrender the policy anytime, and the proceeds of the discontinued policy shall be payable at the end of the lock-in period or date of surrender, whichever is later.

After the first five policy years, the policyholder has an option to surrender the policy anytime, and the proceeds of the policy fund shall be payable.

What are the advantages of the Edelweiss Life Wealth Rise+ Plan?

  • If the Settlement option is chosen, the Maturity Additions and Guaranteed Lumpsum are added to the fund value at maturity.
  • The premium paying term can be increased or reduced at any time during the premium payment period.
  • Offers unlimited free switches and premium redirections.
  • Enables systematic withdrawal of fund value on a monthly, quarterly, half-yearly, or yearly basis from the 10th policy year onward.
  • Partial withdrawals are permitted from the 6th policy year without any charges.
  • Allows you to adjust your investment strategy or asset allocation based on market conditions without incurring taxes or additional costs.
  • Top-up premiums are permitted.

What are the disadvantages of the Edelweiss Life Wealth Rise+ Plan?

  • The product does not provide any liquidity during the first five policy years.
  • The sum assured offered is insufficient to meet the essential financial needs of a family.
  • No policy loan facility is available under this plan.
  • Premiums are invested only after deducting applicable charges.

Research Methodology of Edelweiss Life Wealth Rise+ Plan

Next, let us review the numbers. Estimating the potential returns of Edelweiss Life Wealth Rise+ helps you compare it with alternative investment avenues and make a well-informed decision.

Using the figures provided in the policy brochure, we calculate the Internal Rate of Return (IRR).

Benefit Illustration – IRR Analysis of Edelweiss Life Wealth Rise+ Plan

A 35-year-old male purchases the Edelweiss Life Wealth Rise+ plan with a sum assured of ₹5 Lakhs. The policy term is 20 years, and the premium payment term is 15 years, with an annual premium commitment of ₹50,000. He opts for the Base Cover Option.

Male 35 years
Sum Assured ₹ 5,00,000
Policy Term 20 years
Premium Paying Term 15 years
Annualised Premium ₹ 50,000

At the end of the policy term, he will receive the maturity benefit—consisting of the Guaranteed Lumpsum, applicable additions, and the fund value. These values are illustrated using assumed investment returns of 4% p.a. and 8% p.a.

They are not guaranteed and do not represent the upper or lower limits of actual returns.

At 4% p.a. At 8% p.a.
Age Year Annualised premium / Maturity benefit Death benefit Annualised premium / Maturity benefit Death benefit
35 1 -50,000 5,00,000 -50,000 5,00,000
36 2 -50,000 5,00,000 -50,000 5,00,000
37 3 -50,000 5,00,000 -50,000 5,00,000
38 4 -50,000 5,00,000 -50,000 5,00,000
39 5 -50,000 5,00,000 -50,000 5,00,000
40 6 -50,000 5,00,000 -50,000 5,00,000
41 7 -50,000 5,00,000 -50,000 5,00,000
42 8 -50,000 5,00,000 -50,000 5,00,000
43 9 -50,000 5,00,000 -50,000 5,00,000
44 10 -50,000 5,00,000 -50,000 5,00,000
45 11 -50,000 5,00,000 -50,000 5,00,000
46 12 -50,000 5,00,000 -50,000 5,00,000
47 13 -50,000 5,00,000 -50,000 5,00,000
48 14 -50,000 5,00,000 -50,000 5,00,000
49 15 -50,000 5,00,000 -50,000 5,00,000
50 16 0 5,00,000 0 5,00,000
51 17 0 5,00,000 0 5,00,000
52 18 0 5,00,000 0 5,00,000
53 19 0 5,00,000 0 5,00,000
54 20 0 5,00,000 0 5,00,000
55 11,48,475 18,77,244
IRR 3.26% 6.97%

Based on these assumptions:

At 4% p.a., the fund value is estimated at ₹11.48 Lakhs, resulting in an IRR of 3.26% as per the Edelweiss Life Wealth Rise+ Plan maturity calculator.

At 8% p.a., the fund value is estimated at ₹18.77 Lakhs, resulting in an IRR of 6.97% as per the Edelweiss Life Wealth Rise+ Plan maturity calculator.

These outcomes indicate that the plan delivers comparatively lower returns than other market-linked investment options. Additionally, the sum assured is insufficient to provide meaningful financial protection for a family.

Together, these factors make Edelweiss Life Wealth Rise+ less suitable for both life insurance coverage and long-term wealth creation.

Edelweiss Life Wealth Rise+ Plan Vs. Other Investments

The return analysis shows that Edelweiss Life Wealth Rise+ may not be the most favourable option. To understand this better, let us compare it with other market-linked investments using the same parameters.

This exercise highlights the potential difference in outcomes when insurance and investment are managed separately.

Edelweiss Life Wealth Rise+ Plan Vs. Pure-term + Equity Mutual Fund

For comparison, consider a pure term life insurance policy with a sum assured of ₹5 Lakhs. The annual premium for a 20-year term and a 10-year premium payment term is ₹4,600. In contrast, Edelweiss Life Wealth Rise+ requires an annual premium of ₹50,000.

The substantial premium difference can instead be channelled into market-linked investments.

Pure Term Life Insurance Policy
Sum Assured ₹ 5,00,000
Policy Term 20 years
Premium Paying Term 10 years
Annualised Premium ₹ 4,600
Investment ₹ 45,400

To maintain consistency, we assume the same premium outflow of ₹50,000 per year for 15 years. Since the pure-term policy’s premium-paying term is only 10 years, the full ₹50,000 is available for investment during the last five years.

For the investment component, we use an equity mutual fund—similar to the market-linked nature of Edelweiss Life Wealth Rise+.

Term insurance + Equity Mutual Fund
Age Year Term Insurance premium + Equity Mutual Fund Death benefit
35 1 -50,000 5,00,000
36 2 -50,000 5,00,000
37 3 -50,000 5,00,000
38 4 -50,000 5,00,000
39 5 -50,000 5,00,000
40 6 -50,000 5,00,000
41 7 -50,000 5,00,000
42 8 -50,000 5,00,000
43 9 -50,000 5,00,000
44 10 -50,000 5,00,000
45 11 -50,000 5,00,000
46 12 -50,000 5,00,000
47 13 -50,000 5,00,000
48 14 -50,000 5,00,000
49 15 -50,000 5,00,000
50 16 0 5,00,000
51 17 0 5,00,000
52 18 0 5,00,000
53 19 0 5,00,000
54 20 0 5,00,000
55 30,77,202
IRR 10.67%

Under these assumptions, the equity mutual fund grows to ₹30.77 Lakhs at the end of 20 years (post-tax).

When combined with pure-term insurance, the overall IRR works out to 10.67% (post-tax). Capital gains taxation has been appropriately factored into this calculation.

Equity Mutual Fund Tax Calculation
Maturity value after 20 years 33,98,374
Purchase price 7,04,000
Long-Term Capital Gains 26,94,374
Exemption limit 1,25,000
Taxable LTCG 25,69,374
Tax paid on LTCG 3,21,172
Maturity value after tax 30,77,202

This comparison clearly shows that separating insurance and investment delivers substantially higher returns than the Edelweiss Life Wealth Rise+ plan.

Such inflation-beating growth can significantly strengthen your long-term wealth accumulation—an opportunity you may miss if you opt for Edelweiss Life Wealth Rise+.

Final Verdict on Edelweiss Life Wealth Rise+ Plan

The Edelweiss Life Wealth Rise+ Plan provides the option to choose between a Base Cover and an Enhanced Cover. At maturity, the policyholder receives the fund value along with the applicable additions.

However, it is important to note that the Little Star Benefit—designed to ensure policy continuity in the policyholder’s absence—is not available under the Enhanced Cover Option and it also has a high agent commission.

Since the plan invests a portion of the premium in market-linked funds, it naturally carries investment risk. Yet, the returns are not commensurate with this risk, largely due to the high charges embedded in the product.

As a result, the Edelweiss Life Wealth Rise+ Plan falls short on both fronts: it does not effectively support long-term wealth creation, nor does it provide adequate life insurance coverage.

On the other hand, a pure term life insurance policy offers strong and cost-effective protection, serving as a reliable safety net.

For sound financial planning, it is generally advisable to keep insurance and investments separate. Investments should be selected based on your financial goals, time horizon, and risk appetite.

Do Quora, Facebook, and Twitter have the final say when it comes to financial advice?

If you are uncertain about choosing suitable products, consulting a financial advisor can help. A qualified advisor can design a customised plan aligned with your personal preferences and long-term financial objectives.

Holistic

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