The HDFC Life Group Term Insurance Plan serves as an ideal way for employers to reinforce their bond with their employees by providing life insurance. The life insurance coverage needs of your employees can be met in the form of ‘Employee Benefit’, or ‘Cover for vehicle or housing loans given by you to your employees’. This HDFC Life Insurance company policy is a one year renewable plan. The sum assured will be payable on death of the insured. This plan is more comprehensive than the Group Personal Accident Insurance plan as it covers death due to any cause.
Eligibility Conditions for The HDFC Life Group Term Insurance Plan:
|Minimum Entry Age||16 years 18 years if rider is chosen|
|Maximum Entry Age||79 years 64 years if rider is chosen|
|Maximum Maturity Age||80 years|
Premium Payments Offered by the HDFC Life Group Term Insurance Plan:
|Minimum sum assured||Rs.5,000|
|Maximum sum assured||No limit. Depends on the age and occupation of the employee.|
Key Features of HDFC Life Group Term Insurance Plan:
|Type of Plan||Group Term Insurance Plan.|
|Premium Payment options||Single instalment at the start of the cover. Half-yearly Quarterly Monthly|
|Grace period||15 days grace period will be given to pay the premiums. If the premiums aren’t paid, the policy will lapse.|
|Revival||A policy that has been discontinued can be revived within 3 years from the due date of the first unpaid premium.|
|Surrender benefit||If the policy is surrendered before the completion of the term, the amount equal to the premium for the unexpired term less the deduction for expenses and taxes will be payable. The members will be given an option to continue the policy as an individual policy till the expiry of the term of the group policy.|
What you need to know about HDFC Life Group Term Insurance Plan:
- Life cover for all group members can be taken under one policy.
- Easy and hassle free financial help can be provided to the employee’s family in case of an unfortunate event.
Payment Options for the Premiums offered by HDFC Life Group Term Insurance Plan:
The policyholder can pay the premiums regularly using the following options –
- Single instalment
- Half – Yearly
Advantages and Benefits of HDFC Life Group Term Insurance Plan:
The HDFC Life Group Term Insurance Plan provides the following key benefits:
- Benefits to employer:
- Life cover for the group members will be provided under one policy.
- Hassle free and easy financial help can be lent to the family of the employee in case of an unfortunate event.
- Cost effective as you get high cover at low premium.
- Covers service gratuity liability.
- Serves as a retention tool.
- Premiums paid are deductible under Section 37 (1) of the Income Tax Act, 1961.
- The procedure to add and delete a member into the policy is simple.
- Benefits to employee:
- Loved ones get financial support.
- There is no need for medical tests.
- It will cover vehicle and housing loan given to you by the employer.
- The premiums paid will be treated as perquisites.
- Death benefits are exempt from tax under Section 10(10D).
- Tax benefits under Section 80C, Section 80D, and Section 10(10D).
- Optional riders are available. The optional benefits available are:
- Accidental Death Benefit
- Total Permanent Disability
- Critical Illness Benefit
- Total Permanent and Partial Disability Benefit
Exclusions Under HDFC Life Group Term Insurance Plan:
If the member of the group commits suicide the nominee will receive the sum assured.
The policy will lapse if the premium is not paid within the grace period. A policy that has been discontinued can be revived within 3 years from the due date of the first unpaid premium.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017