Majority of the people put their health on a backburner to go after wealth but after the onset of old age the same wealth is used to take care of health. This ironic circle plagues a majority of the population and one sure shot way of reducing the money spent and the stress levels involved is to settle on a comprehensive health and life insurance plan.
A person is considered to be a senior citizen by and large after attaining the age of 60 years. Most companies set the limit for retirement starting from the age of 60. Even though there are a multitude of insurance policies and investment plans available in the market, when one considers the age limit set on these, only a handful of these policies allow policyholders above the age of 60 to enter. Even then, there are issues such as higher premiums or long procedures involved such as extensive medical tests prior to issuing the policy. HDFC Life offers a range of plans that meet the needs of senior citizens and serve many purposes. One of the biggest concerns for senior citizens is securing income post retirement. Upon retirement, the cost of living goes up every passing year and with no income coming in, senior citizens will find it hard to keep up with the costs. Many plans offered by HDFC allows policyholders to build a corpus and secure future income.
Types of plans offered by HDFC Life for senior citizens:
- Protection plans: This category provides term insurance plans that allow senior citizens to secure any outstanding financial commitments and prevent them from becoming a liability and burden to their family. The term insurance plans have an age limit of 65 years as the maximum permissible age and reaches maturity when the policyholder attains 75 years of age. Such plans not only offer freedom for the family from financial burdens such as home loans being passed down but also offer the policyholder’s family with a range of benefits such as death benefit in the form of a lump sum and also has provisions for providing regular income to the beneficiary upon the death of the policyholder by paying the death benefit in part as a lump sum and in part as a monthly income for a specified period of time.
The main plan under protection plans is the HDFC Life Click 2 Protect Plus plan which has a minimum assured sum of RS 25,00,000 and death benefits paid out as lump sums or part lump sum part regular monthly income.
- Retirement Plans: The end of regular income does not mean the end of expenses incurred. In today’s world, the medical costs and the cost of living is ever increasing and retirement can make one exponentially feel the pinch of increasing costs. In such cases it is imperative that senior policyholders secure an income post retirement so that they can continue enjoying their lifestyle. Retirement plans provide two main benefits. One is that they help build a corpus that secures post retirement income and two, they provide death benefits which help financially secure the policyholder's’ family. Some of these retirement plans are unit linked insurance plans that invest the premiums paid in a variety of funds that generate varying levels of profit but also have proportionate levels of risk. High profit generating funds also have a high risk exposure. Upon the policy reaching maturity, many of these plans offer the maturity benefit in the form of annuity. The main retirement plans offered by HDFC are as follows:
- HDFC Life Personal Pension Plus
- HDFC Life Click 2 Retire – ULIP
- HDFC Life Assured Pension Plan– ULIP
- HDFC Life Pension Super Plus
- HDFC Life Single Premium Pension Super Plan
- HDFC Life Guaranteed Pension Plan
- HDFC Life New Immediate Annuity Plan
- Savings and retirement plans: similar to the retirement plans, the below savings and retirement plans also offer benefit of providing a financially secure future for the policyholder’s family in case of death of the policyholder and building a corpus for post-retirement income. Some of these plans invest premiums into funds and generate a corpus. The plans mentioned below all have entry limit of 65 years with a few plans offering entry at even 75 years of age. The main savings and retirement plans are as follows:
- HDFC Life Click2Invest – ULIP
- HDFC Life Super Savings Plan
- HDFC Life ProGrowth Plus
- HDFC SL ProGrowth Super II
- HDFC SL ProGrowth Flexi
- HDFC Life Invest Wise Plan
- HDFC Life Uday
- HDFC SL ProGrowth Maximiser
- Health Plans: With the onset of old age comes ever increasing health risks. Common cold stay longer, fevers run higher, bones are more brittle and blood pressure can skyrocket or plummet with the drop of a hat not to mention the ever looming threat of blood sugar fluctuations. HDFC offers health plans for senior citizens in their battle against ever increasing medical expenses. These policies equip the seniors with financial security to meet the many expenses they may come across. Each health plan by HDFC offers flexibility in the form of plan options that are designed to meet the requirements of the policyholder. While one plan covers a range of medical expenses such as hospitalization and inpatient charges the other plan is designed specifically to deal with the expenses related with the onset of cancer. The HDFC health plans offer a range of benefits which include a high assured sum in case of diagnosis of cancer, reimbursement for a host of expenses such as hospital room charges, ICU charges, charges arising out of day care procedures, ambulance charges, costs of artificial limbs, expenses incurred through pregnancy and its related complications. One of the plans also increase the sum assured if no claims have been made for a particular year. The main heat plans offered by HDFC are as follows:
- HDFC Life Cancer Care
- HDFC Life Health Assure Plan
GST of 18% is applicable on life insurance effective from the 1st of July, 2017