There are some other basic numbers about the ULIP scam that you will never discover…One crucial number is the lapse rate of ULIPs…regulations are so arranged that ULIPs don't lapse, they just go into a 'premium-awaited' limbo. This immortality bestowed upon ULIPs by insurance rules is facilitated by the fact that insurance company can keep cancelling units to recover the basic charges, instead of being forced to recognise that the customer has abandoned its product…
Realistically, there was probably never any chance that the government would allow meaningful reform of ULIPs. To do so would mean implicitly admitting that there was something seriously wrong in the way things have been done so far. Now, the regulatory die is cast, once and for all. Next time…a ULIP pitch…consider the fact that these people now have the full backing of the government and the regulations to cause as much harm to your personal finances as they'd like to. As an investor, it's your own battle now.