The MetLife Bachat Yojana Plan is designed to ensure that you and your loved ones (and dependants) have the resources to meet every big expenditure, and stay covered under a comprehensive life insurance plan. This is a small savings portfolio, which helps you to save in the long term. This plan addresses your long-term financial objectives in addition to providing life cover – all at a comfortable amount of premium.
Eligibility Criteria of PNB MetLife Bachat Yojana Plan
Minimum – 20 years.
Maximum – 60 years.
|MaturityAge||Maximum – 75 years.|
Key Features of PNB MetLife Bachat Yojana Plan
|Type||Non-linked, deferred, participating endowment plan.|
Death Benefit – In the unfortunate event that the life insured dies, his / her nominees will be entitled to:
Death Sum Assured is the higher of:
Maturity Benefit – On completing the policy term by surviving till the maturity date, the policyholder will be entitled to get the Base Sum Assured plus Accrued Simple Reversionary Bonus plus Terminal Bonus (if any).
The Simple Reversionary Bonus will start to accrue from the 3rd policy year onwards, and is payable on the earlier of:
The Simple Reversionary Bonus will not accrue from the date of lapse or death.
The Terminal Bonus will start to accrue from the 5th policy year onwards. It is accrued as a percentage of the accrued Simple Reversionary Bonus. The Terminal Bonus is payable on the earlier of:
|Policy term||15 years.|
|Premium paying Term Options||
|Premium paying mode||
Rs.23,999 – per life.
If the premiums are paid for 3 full policy years and the policy has been in force for 3 full policy years, the policy will acquire a surrender value.
The Surrender Value is equal to the maximum of the Guaranteed Surrender Value and Special Surrender Value.
The Guaranteed Surrender Value is based on the percentage of the total premiums paid and the discounted value of Accrued Simple Reversionary Bonus.
Special Surrender Value will be quoted on the receipt of the Surrender Request – and this amount depends on the market conditions prevailing when the Surrender Request is sent.
A policy that’s been surrendered cannot be reinstated.
|Loans||Loan is provided against the policy. The maximum loan amount offered is limited to 90% of the Special Surrender Value of the end of the relevant policy year. The rate of interest is determined by the company.|
Tax benefits are applicable as per applicable taxation laws.
You can avail tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
|Grace Period||There is a grace period of 30 days on non-payment of the unpaid premium. 15 days in the case of monthly and PSP modes.|
|Free Look Period||There is a free look period of 15 days from the date of receipt of policy documents.|
When the premiums are not paid within the grace period, the policy will lapse and is subject to non-forfeiture provisions.
Reinstatement can be requested up to 2 years from the date of the first unpaid premium with a letter requesting the same.
Reinstatement is subject to receipt of a letter showing proof of insurability along with a formal request for reinstatement, and all the unpaid premiums, along with interest.
All premiums due till the date of reinstatement must be paid along with compound interest at the rate prescribed by the company.
Revival fees is Rs.250.
The policy stands terminated on the earliest among the following scenarios:
Advantages of PNB MetLife Bachat Yojana Plan
- Coverage for 15 full years – and premium payments only for 10 years.
- Sum Assured + Bonus is payable on Maturity – long term investment taken care of.
- In case of your unfortunate demise, your family will be financially covered and taken care of after they receive the Sum Assured + Simple Reversionary Bonus + Terminal Bonus.
- Premiums are very affordable, and the policy offers comprehensive coverage.
- Tax Benefits under Section 80C and Section 10(10D).
How The Plan Works
Step 1: Pick a premium amount to pay, depending on the coverage you require.
Step 2: Choose a premium paying mode.
Step 3: Pay regular premiums for 10 years, accrue all bonuses and build sum assured.
Step 4: On surviving till the maturity date in 15 years – you will receive the Sum Assured + Simple Reversionary Bonus + Terminal Bonus – making your long-term investment goals a reality.
Step 5: In the event of your death during the 15 year policy term, your family will receive financial assistance in the form of Sum Assured + Bonuses.
There are no additional riders available with this plan.
GST of 18% is applicable on life insurance effective from the 1st of July, 2017