ULIP IRR Analyzer
Decode what your ULIP actually earns — after ALL 4 charges (allocation, FMC, admin, mortality).
Policy Details
Input your ULIP terms — we simulate year-by-year.
IRDAI cap 1.35% for equity
Yearly Charges Breakdown
Stacked — see how charges shift year over year.
Gross Growth vs Net Fund Value
The gap between the two lines IS your charges compounding away.
Cumulative Charges Breakdown
Where every rupee of charges went over 20 years.
Key Insights
Total charges of ₹7.84 L equal 52.2% of all premiums paid. Every rupee paid in charges is a rupee that never compounded for your goals.
Mortality charge rose 0.0× from Year 1 to Year 20 as you aged from 32 to 51. Insurance inside a ULIP gets more expensive every year, silently.
The first 5 years alone accounted for 9% of total charges — ₹74,364. Early-year drag hurts most because it robs your largest compounding years.
Same outlay in a regular-plan equity MF (TER 1.7%) would have matured at ₹64.42 L post-tax — a -₹7,83,139 delta vs this ULIP. Add a separate term plan for actual life cover.
IRR is the only honest ULIP metric.
Agents sell ULIPs by quoting fund NAV returns or "gross" illustrations. But your real return is the IRR — the discount rate that ties your actual outflows (premiums) to your final inflow (maturity). For this policy, the gap between the 12% gross return and your 10.39% realized IRR is 1.61 percentage points of lost compounding every single year — that is the real cost of bundling insurance with investment. before renewing or buying a ULIP, run the IRR — then compare with a term-plan + MF split.
Already holding a ULIP? Let us run your actual policy through the IRR lens.
Share your contact — we will decode your specific policy's charges and benefit illustration, and show you the real IRR + a term + MF alternative. AMFI-registered Mutual Fund Distributor (ARN-286886), zero obligation.
Calculator results are for illustration purposes only. Actual returns may vary based on market conditions, fund performance, and other factors. Mutual fund investments are subject to market risks. Read all scheme-related documents carefully before investing. Past performance does not guarantee future returns. ULIP charges used here are typical industry averages — actual policy charges vary by insurer, product, age, and fund option. Mortality rates shown are illustrative for a healthy non-smoker (smoker loading 1.4×). Use your policy benefit illustration for exact figures.
A ULIP’s real return, after every charge
A ULIP’s illustration shows fund values growing at an assumed rate, but the return you actually earn is lower, because several charges — premium allocation, policy administration, fund management and mortality charges — are deducted along the way, especially in the early years. The honest measure is the IRR on your premiums after all those deductions.
This calculator estimates the real IRR/XIRR of a ULIP from your premiums, charges and expected fund value, so you can see the net return rather than the gross illustration. Comparing that net figure with a term-plan-plus-mutual-fund alternative is the fair way to judge whether the bundled product is working for you.
How this calculator works
- 1Enter your annual premium, the policy term and the charges deducted.
- 2Add the expected fund value or maturity amount.
- 3The calculator computes the IRR on your premiums after charges — the real return.
Frequently asked questions
Why is a ULIP’s real return lower than its illustration?
The illustration usually shows gross fund growth at an assumed rate, before the drag of charges. Premium-allocation, administration, fund-management and mortality charges are deducted from your money — heavily in the early years — so the return you actually earn (the IRR after charges) is lower than the headline growth figure.
How do I calculate the real return on a ULIP?
Compute the IRR on your actual premium payments against the fund value or maturity amount, after all charges. That single annualised figure reflects what your money truly earned. This calculator does it for you so you are not misled by the gross illustration.
Is a ULIP or mutual fund plus term insurance better for returns?
For returns specifically, a low-cost mutual fund plus a separate term plan often beats a ULIP, because the ULIP’s charges reduce the amount invested and it usually offers less cover. A ULIP can still suit someone who values the bundle and the lock-in — compare the net IRR against the alternative before deciding.
Insurance is the subject matter of solicitation. For education only; not a recommendation on any product. Actual charges and returns depend on the policy and fund chosen.
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