"Spending a whole day looking for insurance is fun," said nobody, EVER!
  • Rural Postal Life Insurance Plans

    In the year 1993 a special committee called the Malhotra Committee observed that insurance formed a very meagre percentage of India’s gross household savings. The numbers were exceptionally weak for people from the rural sector. Back then only 22% of the total population of the country had been insured. The committee recommended an absolutely smooth course of action to make the insurance scenario better. According to the committee, in the rural areas, post masters enjoyed a very trustworthy and friendly relationships with customers and hence this position could be successfully used in popularizing insurance in the nation.

    With a strong network of post offices in urban as well as rural areas, rural postal life insurance was set to succeed. Also, the cost expected to be incurred for operations came down drastically because of use of existing network of post offices. Currently, RPLI is the only insurance provider in the country to give the highest returns to customers at the lowest premium amount. The RPLI scheme is aimed to provide insurance to individuals working in all government sector enterprises including military forces, government school employees, nationalized banks, local civic bodies etc. Also, employees working in the private sector too can avail these rural postal policies for insurance.

    RPLI Statistics - A Detailed Report:

    Year

    No. of Policies in Force

    Sum Assured (in Rs. Crore)

    Corpus of Fund (in Rs. Crore)

    2007-2008

    61,67,928

    41,846.09

    3,003.78

    2008-2009

    73,56,446

    53,072.10

    3,994.36

    2009-2010

    99,25,103

    59,572.59

    5,524.69

    2010-2011

    1,22,03,345

    66,132.23

    6,607.79

    2011-2012

    1,35,47,355

    69,754.17

    9,141.43

    2012-2013

    1,46,64,650

    75,154.06

    11,388.20

    2013-2014

    1,50,14,314

    79,466.46

    13,352.01

    2014-2015

    2,35,14,055

    1,05,204.79

    14,968.67

    Source: www.postallifeinsurance.gov.in

    Benefits of Rural Postal Life Insurance in India:

    Several benefits are associated with rural postal insurance schemes. A host of different schemes are available under the rural insurance umbrella. Some of the most outstanding advantages of these schemes are listed as under.

    • Policyholders of rural postal insurance schemes can avail credit by pledging their schemes as collateral for security. The policy has to be pledged with the Heads of the Circle and is eligible for loan only if 3 years or more are completed in case of endowment schemes and 4 in case of whole life assurance.
    • Rural postal insurance policies can be pledged with any financial institution for obtaining credit.
    • Policies under rural postal insurance can be revived in case it lapses due to non-payment of insurance premium.
    • Insurance policies can be converted from one scheme to another under rural postal insurance. So if a customer is not satisfied with features and benefits of one scheme, he/she can get it converted to another as per rules set by postal insurance department.
    • Nomination facility is available and nomination can be duly changed as per policyholder’s requirement. This can be done by placing a request with the postal insurance department.

    Insurance Schemes under Rural Postal Life Insurance:

    A number of schemes are available for customers under the rural postal insurance drive. These schemes include those of pure insurance nature and those that are endowment plans. Customers can avail one or more of these insurance schemes and can also switch between schemes in case of dissatisfaction. Important features and benefits of these schemes are described in detail in the section below.

    1. Whole Life Assurance ( GRAMA SURAKSHA):

      • Objective of the scheme: To pay the nominee a sum equal to assured sum plus accrued bonus in the event of death of the policyholder
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 55 years
      • Conversion of Policy: Whole Life assurance policy can be converted to endowment policy after completion of 1 year of policy and before policyholder completes 57 years of age
      • Minimum Sum assured: Rs.10,000
      • Maximum Sum Assured: Rs.5 lakhs
      • Loan Option: Yes. After completion of 4 years of policy
      • Surrender of policy: Only after completion of 3 policy years
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.
    2. Convertible Whole Life Assurance (GRAMA SUVIDHA):

      • Objective of the scheme: To pay the nominee a sum equal to assured sum plus accrued bonus in the event of death of the policyholder
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 55 years
      • Conversion of Policy: Whole Life assurance policy can be converted to endowment policy after completion of 5 years of policy and before policyholder completes 55 years of age
      • Minimum Sum assured: Rs.10,000
      • Maximum Sum Assured: Rs.5 lakhs
      • Loan Option: Yes. After completion of 4 years of policy
      • Surrender of policy: Only after completion of 3 policy years; bonus in case of surrender is nullified
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.
    3. Endowment Assurance ( GRAMA SANTOSH):

      This scheme is an endowment plan aimed to fulfill the insurance needs of policyholders.

      Following are some of the most striking features of this scheme.

      • Objective of the scheme: To furnish sum assured plus all accrues bonuses to the nominee/assignee/heir until he/she attains the age of maturity on death of the policyholder
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 55 years
      • Minimum Sum assured: Rs.10,000
      • Maximum Sum Assured: Rs.5 lakhs
      • Loan Option: Yes. After completion of 4 years of policy
      • Surrender of policy: Only after completion of 3 policy years; bonus in case of surrender before 5 years is nullified
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.
    4. Anticipated Endowment Assurance (GRAMA SUMANGAL) :

      The Anticipated Endowment Assurance is a money-back policy which is best suited for customers who wish to avail certain amount of cash periodically to fulfil their short-term financial needs. Under this scheme, two types of policies are offered, one for a tenure of 15 years and another for a term of 20 years. For the former term, the benefits are paid at intervals of 6, 9, 12 and 15 years while for the latter benefits are paid at intervals of 8, 12, 16 and 20 years.

      • Objective of the scheme: To furnish benefits to the policyholder periodically. In the event of death of the policyholder, only the sum assured and bonuses accrued will be paid and staggered payment in stages will cease
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 55 years
      • Minimum Sum assured: Rs.10,000
      • Maximum Sum Assured: Rs.5 lakhs
      • Surrender of policy: Only after completion of 3 policy years; bonus in case of surrender before 5 years is nullified
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.
    5. GRAM PRIYA (10 Year RPLI):

      This is an endowment scheme which is for a term of 10 years. Insurance cover begins from the date of purchase of policy.

      • Objective of the scheme: To furnish benefits to the policyholder or his/her nominee on completion of policy term. The assurance is for sum assured plus bonuses accrued.
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 45 years
      • Minimum Sum assured: Rs.10,000
      • Maximum Sum Assured: Rs.5 lakhs
      • Surrender of policy: Only after completion of 3 policy years; bonus in case of surrender before 5 years is nullified
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.
    6. Scheme for Physically handicapped persons:

      • Objective of the scheme: In the event of death of the policyholder, only the sum assured and bonuses accrued will be paid. Medical examination is compulsory to avail this policy since the nature and extent of handicap needs to be assessed by the authorities.
      • Eligibility Criteria: Minimum entry age is 19 years and maximum entry age is 55 years
      • Minimum Sum assured: Depends upon the premiums paid
      • Maximum Sum Assured: Depends upon the premiums paid
      • Surrender of policy: Can be surrendered after completion of 3 policy years
      • Loan Facility: Loans can be availed from various lending institutes by pledging the insurance policy
      • Premiums Payable: Premiums vary with the sum assured, age of applicant etc.

    FAQs on Rural Postal Insurance Schemes:

    1. Can private sector workers avail insurance schemes under RPLI?

      Yes. Private sector workers can apply for schemes under rural postal life insurance.

    2. Can a person residing in urban center avail scheme under RPLI?

      No. Customers who come within a rural area can only apply for schemes under RPLI.

    3. Is medical examination necessary for all schemes under Rural Postal Life Insurance?

      Yes. Medical examination is necessary for all schemes. In case, schemes which do not require medical check-up are availed, the sum assured is maximum Rs.25,000.

    4. How do I obtain an insurance scheme under rural postal insurance?

      You need to visit your nearest post office for obtaining details and application forms for schemes under rural postal life insurance.

    5. What is the mode of premium payment?

      A special book is assigned to customers to pay premiums. Alternatively, payment through cheque can also be made.

    6. What if I forget to pay premium for one month?

      You can make up for lapsed premium in the next month by paying a nominal fee.

    7. What do you mean by surrender value of a policy?

      Surrender value means the sum that a customer stands to gain when he/she decides to discontinue premium payment and surrender his/her insurance policy.

    8. What is the maximum amount that can be availed under the insurance schemes of RPLI?

      The maximum sum assured for insurance schemes under RPLI is Rs.5 lakhs.

    9. Can I deposit these insurance policies as security with lending institutes for obtaining credit?

      Yes. Schemes under RPLI can be used as collateral for security to obtain loans and credit.

    Read More about Postal Life Insurance

    Postal Life Insurance for Central Government Employees
    Postal Life Insurance Bonus Rates
    Postal Life Insurance for the Physically Handicapped
    Postal Life Insurance Interest Rate on Loan
    Postal Life Insurance Tax Rebate
  • reTH65gcmBgCJ7k - pingdom check string.
    reTH65gcmBgCJ7k - pingdom check string.
    This Page is BLOCKED as it is using Iframes.