HDFC SL Children’s Plan is traditional child plan with a large amount of variety provided to the policyholder who can choose the range of benefits that he would like to receive. In this plan, the life of the parent is insured but the child is the sole beneficiary. It ensures that the child’s future is guaranteed under all the 3 options such that if anything happens to the parent during the policy tenure and he is unable to complete the policy term, then also the child’s future is secured by providing him with the guaranteed benefits.
This is a comprehensive protection plan for your child in a guaranteed way. In you wish to provide basic benefits to the child; you can opt for Accelerated Benefit Plan, where your child would receive the Sum Assured + Bonuses on the policy maturity or on earlier death during the policy tenure. This ensures that your child would receive the lumpsum amount that you had planned for her future under all circumstances.
If you would like to ensure that your child receives the Maturity Benefit and she doesn’t require any financial aid in case of your early and untimely death, you can opt for Maturity Benefit Plan where your child would receive the Sum Assured + Bonuses on the policy maturity but nothing on your death except that the future premiums are waived off and paid the insurer to continue your policy till the end.
If you wish to ensure that your child receives maximum protection by providing her with financial aid even if you die within the policy tenure, then you can opt for Double Benefit Plan, where your child would receive Sum Assured + Bonus of the policy maturity and also the Sum Assured if you die earlier by waiving off the future premiums.
· This plan pays a guaranteed lump sum amount or Sum Assured on policy maturity or on earlier death
· There are 3 Plan Options that can be chosen:
o Accelerated Benefit Plan- in this option, you would receive Sum Assured + Bonuses on the policy maturity or on earlier death
o Maturity Benefit Plan- this option ensures that you receive the Sum Assured + Bonuses on the policy maturity. Hence if the Life Insured dies within the policy tenure, then nothing is payable immediately, however future premiums are waived off and paid by the insurance company so that the entire maturity benefit is paid when due.
o Double Benefit Plan- in this option you would receive double benefit, i.e. you would definitely receive the Sum Assured + Bonuses when the policy matures. Over and above that, if the Life Insured dies within the policy tenure, the Sum Assured is again paid and the policy continues. Future premiums are waived off and paid by the insurance company so that the entire maturity benefit is paid when due
· This plan provides simple Reversionary Bonus and terminal Bonus as well.
· The child is the sole beneficiary to receive the benefits of the policy.
Death Benefit –
1. Accelerated Benefit Plan- Sum Assured + Bonuses and the policy is terminated
2. Maturity Benefit Plan- Nothing is paid but the policy continues such that the future premiums are waived off and paid by the insurer
3. Double Benefit Plan- Sum Assured is paid and the policy continues such that the future premiums are waived off and paid by the insurer.
Maturity Benefit – On maturity, Sum Assured + Bonuses are paid under all 3 Plan Options.
Income Tax Benefit - Life Insurance premiums paid up to Rs. 1,00,000 are allowed as a deduction from the taxable income each year under section 80C
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Sum Assured (in Rs.)
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Policy Term (in years)
Premium Payment Term (in years)
Equal to Policy Term
Entry Age of Policyholder (in years)
Age at Maturity (in years)
Regular Pay premium (in Rs.)
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Yearly, Half-yearly or Quarterly
Riders – There is 1 in-built rider available in this policy under Maturity Benefit Option and Double Benefit Option
· Premium Waiver Benefit rider
You stop paying the premium - If the policy holder stops paying the premium, the insurance cover will cease and the policy will lapse. However it can be revived within 3 years from the first unpaid premium.
You want to surrender the policy – The policy can be surrendered any time after premiums have been paid continuously for 3 years
Guaranteed Surrender Value = 50% of all premiums paid till date – 1st years’ premiums
You want a loan against your policy – There is no loan available in this plan