SBI Life Insurance has launched a new Unit Linked Insurance Plan (ULIP) called Saral Maha Anand. This is the third ULIP launched by SBI Life Insurance after the new norms came into play on 1st September 2010.The other 2 Ulips launched by SBI Life Insurance are Smart Performer and Unit Plus Super. [more]
No medical tests are required to buy this insurance policy and the annual premiums too are in the affordable range. Annual premiums can be as low as Rs. 15,000. We had seen most companies increasing the minimum annual premiums being increased in the new products launches and most life insurance companies increased it to offset the low charges which would be applicable.
In fact this plan also has a monthly payment option. Again, most ULIPs launched after September 2010 were pushing the annual mode and we also saw a large number of single premium policies being launched and pushed by life insurance companies aggressively. The monthly premium payment mode is a good tool as it will benefit the consumer to average out the unit costs better as compared to single annual payments.
There is a convenient partial withdrawal functionality also which allows 15% of the fund value to be withdrawn every after, after completion of 6 years. No partial withdrawals are allowed in ULIPs before 5 years as per the regulations from IRDA. One withdrawal per year would be free of cost.
There is an accidental death benefit rider which can be purchased along with this policy.
The way this life insurance policy is designed should make it very attractive to low and middle income groups who like the ULIP route to investment and insurance. The premiums are low and there are monthly modes available for payment. Plus the functionality of one free partial withdrawal per year should go down well with investors.
Good one SBI Life Insurance!