Reliance Life Smart Cash Plus
Reliance Life Smart Cash Plus Plan Review
Reliance Life Smart Cash Plus is a guaranteed-return money back plan. The policy pays benefit amount every 3 years and the policyholder can take the policy for a term from 10 to 22 years. At maturity, the policyholder gets Maturity Benefit equal to the Sum Assured + High Sum Assured Addition, if any + Vested bonuses, if any.
Key Features
Guaranteed-return money back plan
Amount is paid every 3 years
At least 10 times x Annualised Premium
Section 80C and 10(10D) of Income Tax Act
Benefits
The Life Insured would receive % of the base Sum Assured every 4 years as below:
| Policy Term/Policy Duration (in years) | Benefits paid as a % of Sum Assured | |||||
| 4 | 7 | 10 | 13 | 16 | 19 | |
| 10 | 10% | 15% | - | - | - | - |
| 13 | 10% | 15% | 20% | - | - | - |
| 16 | 10% | 15% | 20% | 25% | - | - |
| 19 | 10% | 15% | 20% | 25% | 30% | - |
| 22 | 10% | 15% | 20% | 25% | 30% | 35% |
The Life Insured would get below benefits on the maturity-
- Sum assured – an amount equal to base sum assured is paid
- High Sum Assured Addition – get benefit for opting high sum assured. Pay-out formula is High Sum Assured Addition = High Sum Assured Addition Percentage x sum assured.
| Sum Assured/ Policy Term (in years) | High Sum Assured addition percentage (%) | ||||
| 10 | 13 | 16 | 19 | 22 | |
| Less than 2.5 lac | Nil | Nil | Nil | Nil | Nil |
| 2.5 lacs & above, but less than 5 lacs | 4 | 6 | 8 | 10 | 12 |
| 5 lacs and above | 8 | 12 | 16 | 20 | 24 |
The nominee receives lump sum amount as below-
| Option I | Option II |
| Higher of
- Maximum of 10 times annual premium, sum assured, high sum assured, vested bonus - 105% of all premiums paid |
Higher of
- Maximum of 7 times annual premium, sum assured, high sum assured, vested bonus - 105% of all premiums paid |
Where,
- The death benefit is paid irrespective of any survival benefit paid during the tenure.
- Option I is available for all entry ages
- Option II is available for all higher than or equal to 45 years
Premiums paid under life insurance policy are exempted from tax under Section 80C. The maturity proceeds are exempted from tax under Section 10 (10D)
There are no additional riders in this plan
If the policyholder is not convinced with policy Terms and Conditions, then the policy can be cancelled within 15 days from the date of receipt of policy document.
How it works
Criteria
Age – 30 years, Male
Policy Term – 19 years
Premium – Rs.30, 000
Sum Assured – Rs.2, 85,361
Money back Benefit– Benefit paid every 3 years, starting from the 4th policy year as below-
| Policy Year | Money back (in %) | Benefit (in Rs.) |
| 4 | 10% | 28,536 |
| 7 | 15% | 42,804 |
| 10 | 20% | 57,072 |
| 13 | 25% | 71,340 |
| 16 | 30% | 85,608 |
Maturity Benefit – Benefit paid is higher sum assured and vested bonus as below-
| Benefits (in Rs) | @ 8% | @4% |
| Sum Assured | 2,85,361 | 2,85,361 |
| High Sum Assured Addition | 28,536 | 28,536 |
| Vested Bonuses | 2,16,874 | 81,328 |
Death Benefit – Nominee receives lump sum amount as death benefit.
Eligibility
| Parameters | Minimum | Maximum |
| Entry Age (in years) | 14 | 55 |
| Maturity Age | 24 | 70 |
| Sum Assured | 1,00,000 | No Limit |
| Policy Term (in years) | 10,13,16,19 and 22 | |
| Premium Paying Term (in years) | Equal to policy term | |
| Premium Payment modes | Yearly, Half-yearly, Quarterly and Monthly | |
Exclusions
The policy will be cancelled if the Life Assured (whether sane or insane) commits suicide within 12 months from the date of commencement of risk or date of revival. In such a case, only 80% of the premiums paid excluding any taxes, extra premium and rider premium(s) other than Term Assurance Rider, if any, will be paid
FAQs
You stop paying the premiumIf you stop paying the premiums after 3 policy years, the policy acquires a Paid up Value for a Reduced Sum Assured but the policy would be eligible for any future regular additions. However, it can be revived within a period of 2 years from the due date of the first unpaid premium.
You want to surrender the policyThere is a Guaranteed Surrender Value after 3 policy years provided the first annualised premium has been paid in full. Guaranteed Surrender Value (GSV) = GSV Factor multiplied by total premiums paid less survival benefit. This plan also offers Special Surrender Value.
You want a loan against your policyLoan facility is available under this policy up to 80% of Surrender Value.
