SBI Life Smart Champ Insurance
SBI Life Smart Champ Insurance is a non-linked participating life insurance plan, designed to protect your child’s future educational needs. In this plan, the parent will be the payor and life insured the child would be a nominee. The plan offers assured benefits and since its participating plan, it will accumulate bonus at the end of the every policy year, till the child turns 18.
Key Features
Guaranteed Smart Benefits are payable in 4 equal annual installments after the child attains 18 years of age
Future premiums are waived off on death of the policyholder and the policy continues to accrue bonuses
Flexible premium paying Term – Single, Regular, Limited
Option to receive the discounted value of the future due installment(s) of Smart Benefits plus the terminal bonus, if any, in a lump sum amount during last 3 policy years.
Benefits
In the event of death or ATPD, whichever is earlier, a lump sum benefit is paid as below:
Single premium – “sum assured on insured event”
Where, “sum assured
Policy Term |
Age at entry of life assured less than 45 years |
Age at entry of life assured 45 years or more |
All terms |
1.25 |
1.10 |
Limited premium – “sum assured on insured event”
Where, “sum assured on insured event” is higher of basic sum assured or a multiple of annualised premium* or 105% of all the premiums paid till the death of life assured, where multiple is
Policy Term |
Age at entry of life assured less than 45 years |
Age at entry of life assured 45 years or more |
8 and 9 years |
5 |
5 |
10 years or more |
10 |
7 |
Future premiums – waived off, the policy continues to accumulate bonuses
Due instalments are payable, Terminal bonus will be paid along with the last smart instalment.
Nominee or class one legal heir has an option to get the lump sum discounted value on the smart benefits, however, in such a scenario, it should be informed to company at least 3 months prior to the date of smart instalment. The discount rate will be 6.25% per annum and terminal bonus will be paid along with lump sum amount.
Life Insurance premiums paid up to Rs. 1, 50,000 are allowed as a deduction from the taxable income each year under section 80C.
Get discount on premiums for opting higher sum assured. Discount will be per Rs. 1000 of basic sum assured.
No riders available under this plan
If the policy holder is not convinced with the terms and conditions of the plan, then the policy can be cancelled within 15 days from the date of receipt of policy document.
How it works
Sample illustration of plan
Criteria
Life Assured – 35 years
Child – 6 years
Policy Term – 15 years
Premium payment Term – 12 years
Sum Assured – 5 lacs
Premium – Rs. 41,410
Benefits payable when child turns 18
Smart Benefit Payment due date |
Child’s age (in years) |
Smart Benefits (in Rs.) |
|||
@4 % |
@8 % |
||||
Guaranteed Smart Benefits (in Rs.) |
Nonguaranteed Simple vested bonus +Terminal bonus (if any) (in Rs.) |
Guaranteed Smart Benefits (in Rs.) |
Nonguaranteed Simple vested bonus +Terminal bonus (if any) (in Rs.) |
||
1st March 2026 |
18 |
1,25,000 |
28,500 |
1,25,000 |
45,000 |
1st March 2027 |
19 |
1,25,000 |
28,500 |
1,25,000 |
45,000 |
1st March 2028 |
20 |
1,25,000 |
28,500 |
1,25,000 |
45,000 |
1st March 2029 |
21 |
1,25,000 |
45,000 |
1,25,000 |
72,000 |
Eligibility
Particulars |
Minimum |
Maximum |
|
Entry age (in years) |
Child Life Assured |
21 |
50 |
0 |
13 |
||
Maximum Maturity age (in years) (Life Assured) |
70 |
||
21 |
|||
Basic Sum assured |
100000*1000 |
1 crore |
|
Policy Term |
21 minus nominee’s entry age |
||
Premium payment term for limited premium |
18 minus nominee’s entry age |
||
Premium frequency |
Single, yearly, half yearly, quarterly, monthly |
Premium as per the premium payment mode:-
Premium payment mode |
Minimum Premium (in Rs.) |
Monthly |
500 |
Quarterly |
1500 |
Half yearly |
3000 |
Annual |
6000 |
Single |
66000 |
Exclusions
If the life assured, commits suicide, within a year of policy start 80% of the premiums paid, will be given to nominee. In case of suicide within one year from revival date, 80% of premiums paid or surrender value, whichever is higher would be paid and the policy will terminate.
FAQs
If the premium is not paid within 30 days from the date of due date, the policy lapses. The policy can be revived within 2 years from the date of first unpaid premium and the benefits would attached to the policy will commence.
The policy can be surrendered after 3 years of policy, as it would have acquired some value to be paid off at the time of surrender. On surrender, higher of Guaranteed Surrender Value (GSV) or Special Surrender Value (SSV) will be paid.
There is loan facility available under this plan.