Indian investors are increasingly balancing wealth creation with wealth protection as retirement-focused and guaranteed-return investment products gain traction across age groups, according to data released by Policybazaar. 

The data showed that Pension ULIPs saw nearly 10-fold growth in FY26 compared with FY25, driven by rising retirement awareness, increasing life expectancy, and growing interest in market-linked wealth creation products. 

According to the analysis, investors aged above 45 years accounted for 40% of Pension ULIP adoption, reflecting a growing shift towards retirement-focused financial planning later in life. The 36-45 years age group contributed 35% of total adoption while the 26-35 years cohort accounted for 23% as younger investors increasingly started locking in retirement goals during their early earning years. 

Overall, investors aged above 36 years contributed nearly 75% of total Pension ULIP adoption. 

In contrast, Guaranteed Return Plans (GRPs) saw the highest participation from millennials aged 26-35 years, who accounted for nearly half of all purchases. More than 85% of GRP buyers belonged to the 26-45 years age bracket, indicating strong demand among salaried professionals and young families seeking financial certainty and disciplined long-term savings. 

The report said Pension ULIPs are increasingly witnessing participation across income segments, with minimum ticket sizes starting at ₹5,000 and average monthly investments at around ₹8,000. The highest observed investment ticket touched ₹30 lakh. 

Meanwhile, GRPs continued to occupy a stable niche focused on capital protection and predictable returns. The minimum monthly investment in GRPs stood at ₹2,000, with average monthly contributions of around ₹6,000. The highest observed annual premium reached ₹5 lakh. 

According to the report, the trend indicates that Indian investors are increasingly separating wealth growth products from wealth protection products within their broader financial portfolios. The data also highlighted distinct investment preferences among high-net-worth individuals (HNIs) and non-resident Indians (NRIs). 

NRI investors were found to be investing an average of ₹2.79 lakh in Pension ULIPs, although adoption remained relatively moderate due to preference for shorter-term and liquidity-focused products. 

HNIs invested between ₹90,000 and ₹1 lakh on average in Pension ULIPs, signalling rising interest in retirement-oriented wealth accumulation strategies. 

For Guaranteed Return Plans, NRI investors were investing more than ₹2 lakh annually on average, reflecting demand for stable and predictable financial products. HNIs similarly invested between ₹90,000 and ₹1 lakh annually in GRPs as part of conservative diversification strategies. 

The report noted that long-term investing and retirement planning continue to remain heavily male-dominated, with male investors accounting for 90 per cent of participation across both Pension ULIPs and GRPs, compared with just 10 per cent by women investors. 

It said the trend underlined the need for greater financial inclusion and retirement awareness among women. 

Geographically, metropolitan cities continued to dominate adoption, accounting for nearly 60% of investors across both categories. However, Tier-2 cities contributed around 30%, indicating growing awareness of long-term financial planning beyond major urban centres. 

The report also found that monthly premium payments had emerged as the preferred mode of investing across both Pension ULIPs and GRPs, signalling a broader shift towards systematic, and salary-linked investing habits among Indian consumers. 

Sameep Singh, Business Head – Savings at Policybazaar, said Indian investors are increasingly seeking both wealth creation and wealth protection within the same financial journey. “We are seeing strong traction in Pension ULIPs among individuals above 45 years who are prioritising retirement preparedness, while millennials continue to drive demand for Guaranteed Return Plans that offer financial certainty and disciplined savings,” Singh said. 

He added that nearly 35% of Pension ULIP buyers were opting for waiver of premium (WOP) benefits on death cover, with almost 90% of male investors selecting the feature to financially safeguard their families in the event of unforeseen circumstances. Singh also said participation from Tier-2 and Tier-3 cities was steadily rising as awareness around retirement planning and long-term financial security deepened beyond metropolitan markets.