"Spending a whole day looking for insurance is fun," said nobody, EVER!
  • SBI Life - Smart Humsafar

    SBI Life

    Overview

    The Smart Humsafar is an endowment plan where the policyholder can also cover their spouse under the same plan. It offers some interesting benefits to the policyholder which include things like waiver of premium in case of the death of one of the life assured and a payment of the sum assured in such a case. It can provide life insurance cover of amounts as high as Rs. 5 crore and offers both death and maturity benefits. There are also bonuses that can be paid in this policy that include a terminal and a reversionary bonus.

    Eligibility Conditions

    Entry age

    Minimum: 18 years

    Maximum: 46 years

    Maximum maturity age

    65 years

    Difference between ages of lives assured

    20 years

    Key Features

    Type

    This is a non-linked participating endowment plan

    Sum assured

    • Minimum: Rs. 1 lakh
    • Maximum: Rs. 5 Crore
    • The sum assured can also be a multiple of the annual premium.
      • If the entry age is less than 45 year then the sum assured will be 10 times the annual premium.
      • If it is above 45 years, the sum assured will be 7 times the annual premium.

    Coverage

    Death benefits: The death benefits under this plan are slightly different for each member. There are two options and the benefits paid are the higher of the two.

     

    First Death

    Second Death

    Option A

    • Sum assured on death which is the higher of the basic sum assured or a multiple of the annual. premium.
    • Future premiums will also be waived off.
    • Sum assured in addition to vested simple reversionary bonus and any terminal bonus.

    Option B

    • 105% of the premiums paid.
    • All future premiums will also be waived off.
    • 105% of all premiums paid, including the ones that were waived off.

    Maturity benefits: The maturity benefit in this policy is the payment of the basic sum assured along with the vested simple reversionary bonus and terminal bonus.

    Basis

    Joint

    Premiums

    The maximum premium that can be paid under this policy will depend on the basic sum assured however, the minimum premiums can be:

    Mode

    Amount

    Monthly

    Rs. 500

    Quarterly

    Rs. 1,500

    Half-yearly

    Rs. 3,000

    Yearly

    Rs. 6,000

    Premium paying term

    This is a regular pay policy so the premium paying term will be the same as the policy term.

    Premium paying modes

    The premiums can be paid annually, semi-annually, quarterly and monthly.

    Policy term

    10 years to 30 years

    Policy validity

    Same as policy term

    Renewability

    Not applicable

    Bonuses

    This policy offers a simple reversionary bonus and a terminal bonus.

    Other features

    • Freelook period: The freelook period for this policy ranges from 15 days to 30 days.
    • Grace period: The grace period for the payment of premiums is 15 days for monthly premium payments and 30 days for all other premium payments.
    • For the first 3 years, policyholers get a guaranteed simple reversionary bonus of 2.5% of the basic sum assured.
    • The policy also offers a surrender value wherein a percentage of the premiums paid are returned if the policy is surrendered. The exact values are calculated as indicate below.

    Policy term

    Surrender value (% of premiums paid)

    1-2 years

    0%

    3

    30%

    4-7 years

    50%

    8-10 years

    55%

    11-15 years

    60%

    16-20 years

    65%

    21 years or more

    70%

    Add-on covers / Riders

    This plan can be coupled with the accidental death benefit rider however, the rider can only be taken when the policy is first taken, it cannot be added on later.

    Benefits/Advantages

    • Premiums paid towards this policy and the returns from it are eligible for tax benefits under section 80C and 10(10D) of the IT Act.
    • Once the policy has attained a surrender value, policyholders can take a loan of up to 90% of the surrender value of the policy.
    • For policies with a sum assured between Rs. 3 lakhs and Rs. 5 lakhs a rebate of Rs. 2 per Rs. 1,000 of sum assured is available.
    • For a sum assured of more than Rs. 5 lakhs the rebate on the premium is Rs. 3 for every Rs. 1,000 of the sum assured.

    How the Plan Works?

    Since this is a joint plan, it can be taken by couple and provides cover for both of them. To understand this plan let us take the example of Ajay, who is married to Parul. He takes this plan and covers his wife too. The amount chosen is Rs. 30 lakhs for a term of 20 years. For this he has to pay an annual premium of Rs. 1,63,944 (basic premium + service tax). The benefits he gets under this plan are:

    • At the time of maturity he will get his basic sum assured and the bonuses which could be Rs. 13,14,450 at a rate of return of 4% per annum or Rs. 20,70,000 at a rate of return of 8% per annum (the bonuses are indicative and can change as per company declarations and performance)
    • From the 3rd year he will also be eligible to claim surrender values that could range from Rs. 1,42,560 to Rs. 20,59,200 depending on when the policy is surrendered.
    • Should he pass away before the policy matures, Parul will get the sum assured and future premiums will be waived off.
    • Should Parul also pass away, the beneficiary in that case will get the basic sum assured plus any applicable bonus. The sum assured, in case of option B for second death is selected, will be 105% of all premiums paid including those that were waived off.

    Premium Payment

    The premium payments remain the same for the duration of the premium paying term and they are paid for the entire duration of the policy. There are four options when it comes to paying the premium and in case the monthly mode is selected, the first three months premiums needs to be paid in advance. The premiums can also be paid either via a credit card or through direct debit from your account. This is the best way for payment of any SBI Life Insurance Policies.

    Riders

    This plan can be coupled with the Accidental Death Benefit Rider which can enhance the cover of the policy by Rs. 25,000 to Rs. 50 lakhs. This sum assured under this rider will become payable if the death is caused by an accident and is applicable to both the lives assured under the parent plan. The main condition associated with this rider is that the death of the person will be considered to have been a result of the accident if it happens within 120 days of the accident. The premiums for this rider can be paid along with those for the main policy.

  • reTH65gcmBgCJ7k - pingdom check string.
    reTH65gcmBgCJ7k - pingdom check string.
    This Page is BLOCKED as it is using Iframes.