HDFC Life Sanchay Plus Plan - UIN 101N134V09
HDFC Life Sanchay Plus Plan is a non-participating, non-linked plan. It offers a guaranteed benefit, so you know exactly what you will receive on maturity. This feature makes this an interesting investment without any element of uncertainty.
There are 4 plan options which determine how you can receive the benefits from this policy.
We will understand this plan better with the help of examples.
| Plan Name | HDFC Life Sanchay Plus |
| Policy Type | Investment – Guaranteed Benefit |
| UIN | 101N134V09 |
Note: As indicated by the “V09” at the end of the UIN of this plan, there have been earlier versions of this plan which will have some changes compared to this version.
Benefits
In case you forget to make your premium payment on time, you will get an additional period as follows before the policy lapses or becomes paid-up.
- Monthly premium mode - 15 days
- Quarterly, Half yearly & Annual - 30 days
Your policy will be considered as active during the grace period and if a claim is made, the premium amount will be deducted before the claim is paid.
The policy shall acquire a guaranteed surrender value in case 2 years of premiums have been paid. In case less than 2 years of premiums have been paid, then the policy will lapse after the grace period.
You lapse or paid-up policy can be revived by paying the due payments along with interest. Policy can be revived within 5 years from the last premium paid date.
How it works
This plan has 4 options to select from. The benefits will be linked to the option you select. Once you select an option, it cannot be changed. So be very sure of the option you select while buying the policy. The 4 plan options are as follows:
- Guaranteed Maturity - Maturity amount paid as lumpsum at the end of the policy term.
- Guaranteed income - Maturity benefit paid as a guaranteed income for a fixed period after the policy term ends.
- Life Long income - Maturity benefit paid as a guaranteed income till the age of 99 years after the policy term ends.
- Long Term Income - Maturity benefit paid as a guaranteed income for a fixed period after the policy term ends. The fixed income payout is for a longer period compared to the “Guaranteed Income” option.
We will understand each option better with the help of examples.
Let us look at one option at a time.
Guaranteed Maturity Option in HDFC Life Sanchay Plus Plan
You can opt for this option in the following 3 ways:
- Policy Term (PT) of 10 years, where you pay premiums (PPT) for 5 years
- Policy Term (PT) of 12 years, where you pay premiums (PPT) for 6 years
- Policy Term (PT) of 20 years, where you pay premiums (PPT) for 10 years
Based on the above, the maturity benefit payable will be as follows:
| Policy Term | Premium Payment Term (PPT) |
Payout Benefit |
|---|---|---|
| 10 years | 5 years | Lumpsum benefit at the end of 10 years |
| 12 years | 6 years | Lumpsum benefit at the end of 12 years |
| 20 years | 10 years | Lumpsum benefit at the end of 20 years |
So if you have selected Policy Term of 20 years and Premium Payment Term (PPT) of 10 years, you will have to pay premiums for 10 years and then get a lumpsum amount at the end of 20 years. Now let us understand the quantum of benefits that you will get.
Maturity Benefits = “Guaranteed Sum Assured on Maturity” + “Guaranteed Additions” which have accrued.
“Guaranteed Sum Assured on Maturity” = Total Annualised Premium payable throughout the premium payment term.
“Guaranteed Additions” will be as follows:
For PPT of 5 years - accrues every year from the end of 6th year
For PPT of 6 years - accrues every year from the end of 7th year
For PPT of 10 years - accrues every year from the end of 8th year
Click to know the workings of Guaranteed Additions Rates for Sanchay Plus Plan.
Example:
Let us understand this option better with the help of an example. Suppose Rakesh who is healthy and age 30 chooses this option and invests Rs. 1 lakh every year.
Annual Premium - Rs. 1 lakh + taxes
Policy Term (PT) - 20 years
Premium Payment Term (PPT) - 10 years
His life cover of Sum Assured (SA) will be Rs. 12.5 lakhs.
Maturity Benefit = Sum of Annualised Premium + Guaranteed Additions
Now, Sum of Annualised Premium = 1 lakh x 10 years = 10 lakhs
Guaranteed Additions (GA) = Rate of GA x SA / 1000 from 8th year to 20th year. This would be as follows:
| End of Year | GA Rate per 1,000 SA | GA Amount |
|---|---|---|
| 8 | 65.1 | Rs. 65,100 |
| 9 | 65.1 | Rs. 65,100 |
| 10 | 75.1 | Rs. 75,100 |
| 11 | 75.1 | Rs. 75,100 |
| 12 | 85.1 | Rs. 85,100 |
| 13 | 85.1 | Rs. 85,100 |
| 14 | 95.1 | Rs. 95,100 |
| 15 | 95.1 | Rs. 95,100 |
| 16 | 105.1 | Rs. 1,05,100 |
| 17 | 105.1 | Rs. 1,05,100 |
| 18 | 115.1 | Rs. 1,15,100 |
| 19 | 115.1 | Rs. 1,15,100 |
| 20 | 125.1 | Rs. 1,25,100 |
| Total | Rs. 12,06,300 | |
So the Maturity Benefit = Rs. 10,00,000 + Rs. 12,06,300 = Rs. 22,06,300
This is a Guaranteed Amount which will be paid to the customer.
Death Benefit = Highest of the following:
- 10 times the Annualised Premium
- 105% of Total Premiums paid
- Guaranteed Sum Assured on Maturity
- Sum Assured
Now let us see how the next option works.
Guaranteed Income Option in HDFC Life Sanchay Plus Plan
You can opt for this option in the following 2 ways:
Policy Term (PT) of 11 years, where you pay premiums (PPT) for 10 years
Policy Term (PT) of 13 years, where you pay premiums (PPT) for 12 years
Based on the above, the maturity benefit payable will be as follows:
| Policy Term | Premium Payment Term (PPT) |
Payout Benefit |
|---|---|---|
| 11 years | 10 years | Guaranteed Income paid from 12th year to 21st year |
| 13 years | 12 years | Guaranteed Income paid from 14th year to 25th year |
Based on the above, the Guaranteed Income payable is as follows:
| PPT | Guaranteed Income Payable each year | |
|---|---|---|
| Entry Age: 5 to 50 years | Entry Age: 51 to 60 years | |
| 10 years | 188% of Annualised Premium | 179% of Annualised Premium |
| 12 years | 209% of Annualised Premium | 194% of Annualised Premium |
Note:
- On maturity you will still have the option of converting the income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- At any point during the income payout period, you will have the option of converting the balance income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- In case of death of the policyholder during the income payout period, the nominee will continue to receive the balance income payouts. The nominee too can convert the balance payments to lumpsum as mentioned above.
Example:
Let us understand this option better with the help of an example. Suppose Rakesh who is healthy and age 30 chooses this option and invests Rs. 1 lakh every year.
Annual Premium - Rs. 1 lakh + taxes
Policy Term (PT) - 13 years
Premium Payment Term (PPT) - 12 years
His life cover of Sum Assured (SA) will be Rs. 12.5 lakhs.
Guaranteed Income every year in this option will be = 209% of Rs. 1 lakh = Rs. 2,09,000
| Year | Annual Income |
|---|---|
| 14 | Rs. 2,09,000 |
| 15 | Rs. 2,09,000 |
| 16 | Rs. 2,09,000 |
| 17 | Rs. 2,09,000 |
| 18 | Rs. 2,09,000 |
| 19 | Rs. 2,09,000 |
| 20 | Rs. 2,09,000 |
| 21 | Rs. 2,09,000 |
| 22 | Rs. 2,09,000 |
| 23 | Rs. 2,09,000 |
| 24 | Rs. 2,09,000 |
| 25 | Rs. 2,09,000 |
| Total | Rs. 25,08,000 |
So the Maturity Benefit = Rs. 25,08,000
This is a Guaranteed Amount which will be paid to the customer.
Death Benefit = Highest of the following:
- 10 times the Annualised Premium
- 105% of Total Premiums paid
- Premiums paid till date at an interest of 5% p.a. compounded annually
- Guaranteed Sum Assured on Maturity
- Sum Assured
Now let us see how the next option works.
Lifelong Income Option in HDFC Life Sanchay Plus Plan
You can opt for this option in the following 4 ways:
- Policy Term (PT) of 6 years, where you pay premiums (PPT) for 5 years
- Policy Term (PT) of 7 years, where you pay premiums (PPT) for 6 years
- Policy Term (PT) of 10 years, where you pay premiums (PPT) for 11 years
- Policy Term (PT) of 12 years, where you pay premiums (PPT) for 13 years
Maturity Benefit = Guaranteed Income till age of 99 + Sum of all premiums paid
Based on the above, the guaranteed income payable will be as follows:
| Policy Term | Premium Payment Term (PPT) |
Payout Benefit |
|---|---|---|
| 6 years | 5 years | Guaranteed Income from 7th year to age of 99 |
| 7 years | 6 years | Guaranteed Income from 8th year to age of 99 |
| 11 years | 10 years | Guaranteed Income from 12th year to age of 99 |
| 13 years | 12 years | Guaranteed Income from 14th year to age of 99 |
Based on the above, the Guaranteed Income payable is as follows:
| PPT | Guaranteed Income Payable each year |
|---|---|
| 5 years | 31.75% of Annualised Premium |
| 6 years | 41% of Annualised Premium |
| 7 years | 91% of Annualised Premium |
| 7 years | 121% of Annualised Premium |
Note:
- On maturity you will still have the option of converting the income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- At any point during the income payout period, you will have the option of converting the balance income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- In case of death of the policyholder during the income payout period, the nominee will continue to receive the balance income payouts. The nominee too can convert the balance payments to lumpsum as mentioned above.
Example:
Let us understand this option better with the help of an example. Suppose Rakesh who is healthy and age 50 chooses this option and invests Rs. 1 lakh every year.
Annual Premium - Rs. 1 lakh + taxes
Policy Term (PT) - 11 years
Premium Payment Term (PPT) - 10 years
His life cover of Sum Assured (SA) will be Rs. 10.5 lakhs.
Guaranteed Income every year in this option will be = 91% of Rs. 1 lakh = Rs. 91,000
From the 12th year till the age of 99 years (38 years in total) an annual income of Rs. 91,000 will be payable.
So the Maturity Benefit = Rs. 10,00,000 + Rs. 91,000 every year till the age of 99.
This is a Guaranteed Amount which will be paid to the customer.
Death Benefit = Highest of the following:
- 10 times the Annualised Premium
- 105% of Total Premiums paid
- Premiums paid till date at an interest of 5% p.a. compounded annually
- Guaranteed Sum Assured on Maturity
- Sum Assured
Now let us see how the last option works.
Long Term Income Option in HDFC Life Sanchay Plus Plan
You can opt for this option in the following 4 ways:
- Policy Term (PT) of 6 years, where you pay premiums (PPT) for 5 years
- Policy Term (PT) of 7 years, where you pay premiums (PPT) for 6 years
- Policy Term (PT) of 10 years, where you pay premiums (PPT) for 11 years
- Policy Term (PT) of 12 years, where you pay premiums (PPT) for 13 years
Maturity Benefit = Guaranteed Income for 25 or 30 years + Sum of all premiums paid
Based on the above, the guaranteed income payable will be as follows:
| Policy Term | Premium Payment Term (PPT) |
Payout Benefit |
|---|---|---|
| 6 years | 5 years | Guaranteed Income from 7th to 36th year (25 years) |
| 7 years | 6 years | Guaranteed Income from 8th to 37th year (30 years) |
| 11 years | 10 years | Guaranteed Income from 12th to 36th year (25 years) |
| 13 years | 12 years | Guaranteed Income from 14th to 38th year (25 years) |
Based on the above, the Guaranteed Income payable is as follows:
| PPT | Guaranteed Income Payable each year |
|---|---|
| 5 years | 33.75% of Annualised Premium |
| 6 years | 43.5% of Annualised Premium |
| 10 years | 97.75% of Annualised Premium |
| 12 years | 129.75% of Annualised Premium |
Note:
- On maturity you will still have the option of converting the income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- At any point during the income payout period, you will have the option of converting the balance income payments into a lumpsum payment. All future income will be discounted at a rate approved by IRDAI to arrive at this lumpsum amount.
- In case of death of the policyholder during the income payout period, the nominee will continue to receive the balance income payouts. The nominee too can convert the balance payments to lumpsum as mentioned above.
Example:
Let us understand this option better with the help of an example. Suppose Rakesh who is healthy and age 30 chooses this option and invests Rs. 1 lakh every year.
Annual Premium - Rs. 1 lakh + taxes
Policy Term (PT) - 11 years
Premium Payment Term (PPT) - 10 years
His life cover of Sum Assured (SA) will be Rs. 12.5 lakhs.
Guaranteed Income every year in this option will be = 97.75% of Rs. 1 lakh = Rs. 97,750
From the 12th year to the 36th year (25 years in total) an annual income of Rs. 97,750 will be payable.
So the Maturity Benefit = Rs. 10,00,000 + Rs. 97,750 every year for 25 years.
This is a Guaranteed Amount which will be paid to the customer.
Death Benefit = Highest of the following:
- 10 times the Annualised Premium
- 105% of Total Premiums paid
- Premiums paid till date at an interest of 5% p.a. compounded annually
- Guaranteed Sum Assured on Maturity
- Sum Assured
Note on Sum Assured applicable across all the 4 plan options.
The Sum Assured in this plan is arrived at the Death Benefit Multiple with the Annualised Premium. The Sum Assured will depend on the Age of Entry and the Annualised Premium you pay every year. The Multiples are as shown here
Eligibility
| Plan Option | Criteria | Minimum | Maximum |
|---|---|---|---|
| Guaranteed Maturity | Entry Age | 5 | 55 |
| Guaranteed Income | 5 | 54 | |
| Lifelong Income | 50 | 59 | |
| Long Term Income | 5 | 59 | |
| Guaranteed Maturity | Maturity Age | 18 | 65 |
| Guaranteed Income | 18 | ||
| Lifelong Income | 56 | ||
| Long Term Income | 18 | ||
| All Options | Premium | Annual - Rs. 30,000 Half Yearly - 15,000 Quarterly - 7,500 Monthly - Rs. 2,500 |
|
That pretty much wraps up the understanding of HDFC Life Sanchay Plus Plan. We hope you find this useful.
