The Insurance Regulatory and Development Authority of India (IRDAI) has asked life insurance companies not to advertise Unit Linked Insurance Plans (Ulips) as investment products. It has also urged them to disclose their risk factors.
Some insurers have been advertising their mid and smallcap funds heavily. Some distributors and agents have also piggybacked on the popularity of mutual funds (MFs) to sell Ulips. Many customers buy without understanding whether the offering is from an insurer or a fund house.
