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SBI Life Smart Income Protect Plan
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SBI Life Smart Income Protect Plan Review
Smart Income Protect is a participating traditional savings plan, where you continue to pay regular premiums over a period of 7, 12 or 15 years. You will get guaranteed annual pay outs for around 15 years and also life cover to take care of uncertainties of life. To summarize the plan is a mix of savings and protection.
How does the plan work?
Illustrated with an example below: Criteria
Male – 35 years
Premium- Rs. 74,370
Frequency – Annual
Policy Term – 15 years
Sum Assured – Rs. 10, 00,000 Benefits
Policy holder will receive yearly pay-outs equal to 11% of basis sum assured, which is Rs. 1, 10,000 for 15 years. The pay-out will be inclusive of Vested Simple Reversionary and Terminal Bonus (if any)
Key Features of SBI Life Smart Income Protect Plan
Provides insurance cover and regular income
Limited policy term – 7, 12 or 15 years
Guaranteed Annual Pay-outs
Vested reversionary bonus + Terminal Bonus
Maturity benefit in lumpsum
COMPARE THIS PLAN WITH OTHER ENDOWMENT PLANS
Benefits of SBI Life Smart Income Protect Plan
Death Benefit – In case of death of the policy holder, the nominee gets higher of the below
-Sum assured on death + Vested Simple Reversionary + Terminal Bonus, if any.
Or
-105% of the premiums paid till the date of death
Maturity Benefit – The policyholder would get the below benefit, as the end of the policy term
-Vested Simple Reversionary + Terminal Bonus, if any
-Yearly pay-outs equal to 11% of basic sum assured for next 15 years after maturity
-In case of death, during the tenure, the future pay-outs will be given to nominee
-You can claim maturity amount in lump sum, in such a case, the benefit paid will be, guaranteed sum assured + vested reversionary bonus + Terminal bonus, if any.
Income Tax Benefit - Life Insurance premiums paid up to Rs. 1, 50,000 are allowed as a deduction from the taxable income each year under section 80C
Eligibility conditions and other restrictions in SBI Life Smart Income Protect Plan
Particulars
Policy Term
Minimum
Maximum
Entry Age
7
11
58
12
8
53
15
8
50
Maturity Age
18
65
Sum Assured*1000
1,00,000
No Limit
Policy Term
7,12,15
Premium Frequency
Yearly/Half yearly/Quarterly/Monthly
Pay-out period
15 years
Pay-out frequency
Yearly
Additional Features and Benefits of SBI Life Smart Income Protect Plan
Riders – You can avail below riders at a minimal cost
Accidental Death Benefit rider
Accidental total & permanent disability benefit rider
Criti Care 13 non–linked rider
Preferred Term rider
Premium discount on high sum assured – Rebate on high assured are available on the basic premium.
Free look - You can cancel the policy in 15 days of receipt of policy document, if you are not convinced with Terms and Conditions of the policy.
What happens if?
You stop paying the premium – The policy gets lapsed if the premium is not paid within 30 days from the due date, this period is referred as “grace period”. You want to surrender the policy – Policy can be surrendered after 3 policy years. Guaranteed Surrender value (GSV) will be paid, GSV factors percentage of basic premium paid, below is the illustration:
Policy Year
As a percentage of basic premium paid
7 years
12 years
15 years
1
0
0
0
2
30
0
0
3
30
30
30
4-7
50
50
50
8-10
Not applicable
55
55
11-12
Not applicable
60
60
13-15
Not applicable
Not applicable
65
You want a loan against your policy – Loan facility is not available under this policy.
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.
