HDFC Classic Assure Plan
HDFC Classic Assure Insurance Plan is a Limited Pay Traditional Participating Endowment Plan. Thus, it is a non-linked Insurance Plan with Bonus facility.
Key Features
This plan has Simple Reversionary Bonus compounded annually
On Policy Maturity, the basic Sum Assured + the Reversionary Bonus would be paid to the Life Insured as Maturity Benefit
On unfortunate Death of the Life Insured within the Policy Tenure, the basic Sum Assured + the accrued Reversionary Bonus would be paid to the nominee as Death Benefit
There is a High Sum Assured rebate provided for this plan for Sum Assured > Rs.5,00,000
Benefits
If the Life Insured dies within the Policy Tenure, the basic Sum Assured + the accrued Reversionary Bonus would be paid to the nominee as Death Benefit and the policy would be terminated.
On maturity, the basic Sum Assured + the Reversionary Bonus would be paid to the Life Insured as Maturity Benefit and the policy would be terminated. Terminal Bonus may also be paid at the end of the Policy Tenure
Life Insurance premiums paid up to Rs. 1,00,000 are allowed as a deduction from the taxable income each year under section 80C and the Maturity Benefit is tax fee under section 10(10)D subject to fulfilment of terms and conditions.
How it works
In this plan, premium needs to be paid only for 7 years while the policy continues till the end of the policy tenure as selected.
This policy accrues Simple Reversionary Bonus compounded annually. Terminal Bonus may also be paid at the end of the Policy Tenure depending upon the company’s profits for the year.
On survival till the end of the Policy Tenure and provided all due premiums have been paid, the basic Sum Assured + the Reversionary Bonus would be paid to the Life Insured as Maturity Benefit and the policy would be terminated..
However, if the Life Insured meets with an unfortunate death within the Policy Tenure, the basic Sum Assured + the accrued Reversionary Bonus would be paid to the nominee as Death Benefit and the policy would be terminated.
Sample illustration of premium of HDFC Classic Assure Insurance Plan:
Age of Life Insured = 20, 30 and 40 years respectively
Policy Term = 20 years
Premium Paying Term= 7 years
Sum Assured = Rs.2,00,000
Eligibility
| Minimum | Maximum | |
| Policy Term (in years) | 10,15 | 20 |
| Premium Payment Term (in years) | 7 | |
| Entry Age of Life Insured (in years) | 12 | 60 |
| Age at Maturity (in years) | - | 75 |
| Annual Premium (in Rs) | 12,000 | No Limit |
| Payment modes | Yearly, Half-Yearly, Quarterly and Monthly | |
FAQs
What happens if you stop paying the premium?The policy will lapse if the premium stops. However, it can be revived within 3 years from the date of first unpaid premium. The policy becomes paid up if at least 3 years’ premiums have been paid.
What happens if you want to surrender the policy?If premiums for 3 years have been paid up, then surrender of policy is allowed.
Minimum Guaranteed Surrender Value= 50% of all Premiums paid – 1st Year’s Premium
What happens if you want a loan against your policy?There is no Loan available under this plan.
Is rider available in this plan?There are No Additional Riders available with this policy
