SBI Life Child Plans

4 / 5 based on 22 User Reviews

SBI Life Insurance Company is a joint venture between the State Bank of India and BNP Paribas Cardif. While the former Indian counterpart has a stake-holding of 74% of the company, BNP Paribas Cardif has a total holding of 26% of the company. According to the Brand Equity and Nielsen Survey conducted by the Economic Times in 2013, SBI life Insurance Company was voted ‘The Most Trusted Private Life Insurance Brand 2013’. The company works on its mission to emerge as the leading company which offers a comprehensive range of insurance products to customers and to ensure high standards of customer satisfaction through service efficiency. Being true to its mission, the company offers a wide range of products which include both traditional as well as unit linked plans for conservative as well as risk-taking individuals respectively.

SBI Life Child Plans

SBI Life Insurance Company currently offers two types of child insurance plans. One is a traditional plan while the other is a Unit Linked Insurance Plan. Let us take a look at each of these SBI child plans with a detailed understanding of the plan features and benefits.

Brief Overview of SBI Child Plans

 

SBI Child Plans

Features and Benefits

Eligibility Criteria

  • SBI Life Smart Champ Insurance Plan
  • The SBI child plan participates in profits through simple reversionary and terminal bonuses
  • The SBI child plan has an inbuilt Accidental Total and Permanent Disability Rider and Waiver of Premium Rider
  • Guaranteed Smart Benefits paid in the last four years after child crosses 18 years of age and attains 21 years under the SBI child plan
  • Last instalment of the Guaranteed Smart Benefits (vested bonus and terminal bonuses), if any, paid on maturity of the SBI child plan
  • On death or disability of insured if the SBI child plan is in continuance, a lump sum amount equal 1.10 or 1.25 of the Single Premium paid or 5 / 7 / 10 times the annual premium paid is paid to the nominee. All future premiums waived off and paid by the company in such cases. Guaranteed Smart Benefits will be payable as and when they fall due. Plan will earn bonuses
  • Rebates in premium allowed for higher coverage levels of Rs. 2 lakh and above
  • Loans up to a maximum of 90% of the Surrender Value can be availed under the SBI child plan
  • Entry Age: Insured – 21 years / Child – 0 years (min); Insured – 50 years / Child – 13 years (max)
  • Maturity Age: Insured – 70 years / Child – 21 years (max)
  • Policy Term: 21 years less entry age of child
  • Sum Assured: Rs. 1 lakh (min); Rs. 1 crore (max)
  • Premium (annual): Single Pay – Rs. 66,000 / Regular Pay – Rs. 6,000 (for maximum sum assured)
  • Premium Payment Term: 21 years less entry age of the child
  • Premium Payment Frequency: Yearly, half-yearly, quarterly, monthly or Single Pay
  • SBI Life Smart Scholar
  • SBI child plan taken for benefit of the child but parent is the life insured
  • Premiums payable either in lump sum under Single Pay, for a limited period under Limited Pay or for whole tenure of SBI child plan
  • Policyholder entitled to fund value on the date of maturity of SBI child plan. The insured may choose to receive the benefit at once on maturity or opt to withdraw proceeds in instalments over 5 more years after maturity
  • In case of demise of insured, the Sum Assured is paid to nominee; the amount is not lower than 105% of premiums paid. Company will pay the premium thereafter and the fund will continue to grow till term of the SBI child plan is completed. Fund account will be paid to policyholder’s nominee on maturity
  • Additional loyalty additions paid after specified intervals
  • Option to choose from among 7 funds for investment of the premium for the SBI child plan
  • One free partial withdrawal allowed every year provided minimum amount is Rs.5000 and maximum is 15% of the fund value
  • Premium redirection facility from second year such that future premiums go into a different fund than that chosen at time of policy inception
  • Up to two switches between funds allowed per year
  • Premium Payor Waiver Rider and Accidental Benefit Rider inbuilt under the SBI child plan
  • Entry Age: Insured – 18 years / Child – 0 years (min); Insured – 57 years / Child – 17 years (max)
  • Maturity Age: Insured – NA / Child – 18 years (min); Insured – 65 years / Child – 25 years (max)
  • Policy Term: 8 years (min); 25 years (max)
  • Sum Assured: Single Pay – 1.25 times single premium / Regular Pay – higher of 10/7 times the annual premium or 0.5/0.25*policy term *annual premium (min); Single Pay – 5 times single premium / Regular Pay – 20 times annual premium (max)
  • Premium (annual): Single Pay – Rs.75,000 / Limited Pay – Rs.24,000 (PPT more than or equal to 8 years) or Rs.50,000 (PPT of 5-7 years) (min); No limit (max)
  • Premium Payment Term: Single Pay / Limited pay – 5-25 years
  • Premium Payment Frequency: Yearly, half-yearly, quarterly, monthly or Single Pay

 

 

SBI Life Smart Champ Insurance Plan

This is a traditional participating child plan with the following features:

  • The SBI child plan participates in the profits of the company through earning bonuses which are given in the form of Simple Reversionary Bonus and Terminal Bonus.
  • There is an inbuilt Accidental Total and Permanent Disability Rider and Waiver of Premium Rider under the SBI child plan providing an enhanced coverage
  • Guaranteed Smart Benefits are paid under the SBI child plan for four years after the child crosses 18 years of age and attains 21 years. The benefit is payable at the rate of 25% of the Basic Sum Assured chosen by the policyholder and 25% of the accumulated Simple Reversionary Bonuses. The benefits are paid in the last four years of the SBI child plan making it a money back type of plan.
  • On maturity, the last instalment of the above mentioned Guaranteed Smart Benefits, vested bonuses and Terminal Bonus, if any, is paid to the policyholder of the SBI child plan.
  • On death or disability of the insured whilst the SBI child plan is in its continuance, a lump sum amount is paid to the nominee which will be 1.10 or 1.25 of the Single Premium paid or 5 / 7 / 10 times the annual premium paid depending on the age of the insured and the term of the SBI child plan. Moreover, all the future premiums will be waived off and paid by the company while the SBI child plan continues. The Guaranteed Smart Benefits will be payable as and when they fall due and the SBI child plan will also earn bonuses
  • The discounted value of the Smart Benefits under the SBI child plan may be availed by the nominee in the last 3 years of the premium payment
  • Rebates in premium are allowed for higher coverage levels of Rs.2 lakhs and above under this SBI child plan
  • Loans can be availed under the SBI child plan which should be a maximum of 90% of the Surrender Value

Eligibility Details

 

Minimum

Maximum

Entry Age

Policyholder - 21 years

Child – 0 years

Policyholder – 50 years

Child – 13 years

Maturity Age

-

Policyholder – 70 years

Child – 21 years

Policy Term

21 years – entry age of the child

Sum Assured

Rs.1 lakh

Rs.1 crore

Annual Premium Amount

Single Pay – Rs.66, 000

Regular Pay – Rs.6000

Based on maximum Sum Assured

Premium Payment Term

Single Pay or Limited pay for (21 – entry age of the child) years

Premium Payment Frequency

Yearly, half-yearly, quarterly, monthly or Single Pay

 

Sample Illustration

The following table shows a sample illustration of the SBI child plan.

 

Age of the Life Insured

35 years

Age of the Child

6 years

Policy Term

15 years

Premium paying term

12 years

Sum Assured

Rs.5 lakhs

Premium

Rs.41,410

Guaranteed Smart Benefits

Rs.125,000

Non-guaranteed Simple Bonus @4%

Rs.28,500

Non-guaranteed Simple Bonus @8%

45,000

 

 

SBI Life Smart Scholar

A unit linked child plan which promises the following features and benefits:

  • The parent is the life insured but the SBI child plan is taken for the benefit of the child
  • Premiums can be paid either in lump sum under the Single Pay option or for a limited period under the Limited Pay option of premium payment of this SBI child plan.
  • When the SBI child plan completes its tenure, the fund value on the date of maturity is what the policyholder is entitled to. The policyholder may exercise his choice to receive the benefit at once on maturity or if he wishes to remain invested with the company, the proceeds can be withdrawn in instalments spread over 5 more years after maturity
  • When the insured person who is the parent faces death within the term of the SBI child plan, the Sum Assured is paid to his nominee which should not be lower than 105% of the premiums paid during his lifetime. There will be no requirement of continuing the premium payments because the company will do so on part of the policyholder and the fund will continue to grow. When the term of the SBI child plan completes, the fund value in the fund account will be again paid to the policyholder’s nominee
  • Additional Loyalty Additions are paid under the SBI child plan after specified intervals. The Loyalty Additions are calculated as 1% of the average fund value on the first day over 24 months prior to the date of calculation.
  • There is an option to choose from among 7 funds for investment of the premium under this SBI child plan. The funds include Equity Fund, Top 300 Fund, Equity Optimizer Fund, Growth Fund, Balanced Fund, Bond Fund and Money Market Fund
  • One partial withdrawal which will be free is allowed every year under the SBI child plan provided the minimum amount is Rs.5000 and maximum is 15% of the fund value
  • Premium redirection facility is allowed from the second policy year to redirect future premiums into a different fund than that chosen at the time of policy inception under this SBI child plan
  • Switching between funds is also allowed with two free switches every year
  • There are inbuilt riders under the SBI child plan. The Premium Payor Waiver Rider waives the future premiums when the insured dies during the tenure of the plan and the Accidental Benefit Rider with total and permanent disability benefit provides an additional lump sum amount in case the insured suffers accidental death or total and permanent disability.

Eligibility Details

 

 

Minimum

Maximum

Entry Age

Policyholder - 18 years

Child – 0 years

Policyholder – 57 years

Child – 17 years

Maturity Age

Policyholder – NA

Child – 18 years

Policyholder – 65 years

Child – 25 years

Policy Term

8 years

25 years

Sum Assured

Single Pay – 1.25 times the single premium

Regular Pay – higher of 10/7 times the annual premium or 0.5/0.25*policy term *annual premium

Single Pay – 1.25/5 times the single premium

Regular Pay – 20 times the annual premium

Annual Premium Amount

Single Pay – Rs.75, 000

Limited Pay – Rs.24, 000 for a PPT more than or equal to 8 years

Limited Pay – Rs.50, 000 for a PPT of 5 – 7 years

No limit

Premium Payment Term

Single Pay or Limited pay for 5 - 25 years

Premium Payment Frequency

Yearly, half-yearly, quarterly, monthly or Single Pay

 

 

Applying for a SBI Child Plan from the company:

Online

The company offers specific SBI child plans which are available online only. The customer only needs to log into the company’s website, choose the required SBI child plan, choose the coverage and provide the details. The premium will be determined using the filled details. The customer then needs to pay the premium online through credit card, debit card or net banking facilities and the policy will be issued

Intermediaries

SBI child plans which are not available online can be purchased from agents, brokers, banks, etc. where the intermediaries help with the application process.

When Should a Child Plan be Taken?

As per the insurance dictionary, a child plan is an endowment policy where the parent is the policyholder and the child is the beneficiary. A child plan can be a money back plan, i.e. parts of the sum assured is received at various points in the child’s life like her school admission, college admission, marriage, etc. Alternatively, a child plan can be a typical endowment plan where a lump sum amount of money is received at a specific juncture of the child’s life and used to pay the bills at that time (college admission, marriage, etc).

A SBI child plan is nothing but an endowment policy that helps you in meeting the expenses related to your child’s education and well-being. A child plan can be converted into a money back plan and portions of the sum assured can be received at different milestones of the child’s life. A SBI child plan helps you in planning your finances wisely so that at no one point in life are you financially over-burdened. You can save over a period of time, in small amounts and still build up a fund large enough to face every testing situation with ease. So start saving early and you will have more time to create the desired fund.

How early can I buy a SBI child plan?

Most child plans are available for children aged 3 months or above. So as soon as your daughter or son turns 3 months, you can purchase the SBI child plan. There are many advantages of buying a SBI child plan that early, as you can start saving and also make provision for each and every milestone of your child’s life. In India, kids begin to go to school at 3 years of age. So, if you buy the SBI child plan when the child is 3 months, by the time she is 3 years and ready to start school, you will also have the funds ready to pay for the school admission fees, something that wouldn’t have been possible had you bought the fund when she was 5.

The same holds true if you are planning to save for their higher studies. It makes sense to start early. That’s why all of SBI Life child plans allow the parent to take the plan when the child is less than 1 year old. Such an investment strategy allows the parent to build up a significant corpus by the time the child is ready for college. Parents can also use the child plan to pay for marriage expenses, the second thing that will require them to plan and invest well for the future.

What is the maximum till which a SBI child plan can be purchased?

You can buy a SBI child plan for any child till the age of 17. If your son or daughter is 18 or above, you can no longer get a SBI child plan for them.

What is the ideal time to buy a SBI child plan?

According to experts, the costs of education will continue to soar, just like they have in the recent past. An MBBS course in an Indian university cost just about Rs.2 lakh 20 years ago. Today it costs between Rs. 45-70 lakh. So one can only imagine how much the figures would be in another 20 years! Your child may decide to even go abroad when he is 15 years old, and then it would be very difficult to arrange the funds. So as we can see, the future education costs of children cannot be predicted and so as a parent you need to have every possible provision. As a result, a SBI child plan should be bought as early as possible to set up a healthy fund that would suffice all the demands of your child’s educational career.

Do not wait till it’s very late. If at 15 your son announces he wants to go to the US the following year, you will be left in a lurch arranging the funds. So since the future cannot be predicted, save when you can and keep the finances ready. A SBI child plan would also secure your child’s future in your absence and since death too cannot be predicted, keep the plan ready from the earliest time possible.

SBI Life Child Plans - FAQ

1. How to pay premium for a SBI child plan? What are the modes of payment available?

There are 10 modes to pay your SBI Life Insurance premium namely:

  • Direct Remittance At SBI Life Branch By Post Or Courier
  • Electronic Clearing Service (ECS) – Mandate
  • Direct Debit
  • Standing Instruction On Your Credit Card
  • Online Payments
    • Through State Bank Group ATMs
    • Payment Through Visa Bill Pay.Com
    • Online Payment Of Premium Through SBI Life Website
    • Si-Eft For State Bank And Associate Banks’ Account Holders
    • Payment Through Point Of Sales (Pos) Terminals At Select SBI Life Branches
    • Payment Through Easy Access Mobile Application
    • Pay Premium In Cash At Authorized Collection Centres
    • NACH (National Automated Clearing House)

NACH is a newly launched service that works on the same principle as that of ECS, which requires filling in a form and getting registered before availing this facility.

2. How can I check policy status for SBI Life child plans?

For checking your policy status online, login to e-portal. You need to enter customer ID, date of Birth and policy number. The details of the SBI child plan along with the status is displayed on the next screen.

3. What is the policy renewal process for SBI Life child plans?

Renewal of SBI child plan can be done by the following modes:

  • Online
  • Through SMS
  • Through SBI Brach
  • By Cash

For renewal process, after login into your account, click on the ‘Renew Policy’ tab to proceed with premium payment for the SBI child plan.

Alternatively, you can renew the SBI child plan by using the kiosk in the SBI ATM and select the option for renewal process

4. What is the company’s process to settle claim for SBI Life child plans?

The procedure for settling claim through SBI life Insurance requires intimating the nearest branch by submitting the list of documents as specified in the website for the SBI child plan. After the documents are verified, the claim is settled as soon as possible. In case one requires additional help or further clarifications, one can write to claims@sbilife[dot]co[dot]in

5. What is the policy cancellation process for SBI Life child plans?

The policy cancellation process for a SBI child plan requires you to submit a duly filled surrender form along with relevant documents in the nearest SBI branch in your city. Upon receiving and verifying the documents, the SBI child plan is deemed cancelled as per bank accounts record. The premium refund is calculated on NAV value prevailing at the current market rate, if you submit the policy before 3:00 PM, else next day’s NAV value is applicable.

Reviews for SBI Life Child Plans

TOTAL REVIEWS (22)
Parvati
Kashipur
July 12, 2016

Child Plan

Child insurance policy i purchased for my little angel. Policy has great benefits with low investments. Premium is less and policy coverage is high. Service is superb with online renewal option which reduces paperwork and hassle free documentations.

Gaurav
Alwar
June 29, 2016

Good

My lovely son has secure future because of you guys provided such a good child insurance policy plan. Service you facilitate is fantastic and the policy coverage is high. Even updates of the policy is mailed to me regularly.

Monali
Dwarka
April 21, 2016

Marvelous Policy

I buy sbi life child policy plan for my child. Policy coverage is high 94% but the premium is low. Claims are easy to get because of the fast service provided by the executives and staff members. Daily updates are also mailed to me time to time. Fine policy good work. Good future investment and it save tax also.

Ankush
Coonoor
April 21, 2016

Trustworthy

The best child policy plan i bought from sbi life insurance and the policy plan is awesome. The policy coverage is 93% and the claims are 41 L after policy get mature. The investment is low and the returns are high. Good future plan with tax protection. Service you provided is very quick and on time till now.

Mankaran
Pune
April 21, 2016

slow service issue

I had child policy plan for my child through sbi life insurance child plan. The policy is nice, Good policy coverage ~89% and claiming amount is Rs.38 L after policy get mature. But the service is bit slow, please improve it. And the behaviour of the executives and staff members are nice. Good future investment with saving tax too.

David
Laksar
April 21, 2016

Satisfied

I found awesome sbi life child policy plan and i buy it. The claim is high and the policy coverage is 86%. Service you provided is fast and very quick. Daily updates are mail and texted to me. The policy is good for future investment and it saves taxes also.

Saurabh
Calicut
April 21, 2016

Awesome

I purchase child policy plan by sbi life insurance. Policy coverage is 91% and the claims are high. Premium is low and the services are fast and with great response from executives and staff members of the company. Good future investment and it saves taxes too.

Ashish
Baleswar
April 21, 2016

Fine Policy

I buy a child policy plan for my child from sbi life insurance. Policy coverage is high 86% but the premium is low. Claims are easy to get because of the fast service provided by the executives and staff members. Daily updates are also mailed to me time to time. Fine policy good work.

Akshay
Mussorie
April 21, 2016

Average

My child policy plan is not super policy but an average one. SBI life insurance provide wide range of policies. My policy coverage is good 83%. Service is nice and work is done in short period of time. Claims are high and the payback amount is 31 L after policy get mature. The service provided by the executives and staff members are really nice. Good future security which save taxes too.

Ranjeet
Zahirabad
April 21, 2016

Wonderful

I have sbi life insurance child policy plan. Policy coverage is good 92% but the premium is low. Service provided is awesome and claims are good and Rs.39 L is the amount i get after policy get end. I just wanted to say that good policy plan.

Gaurav
Kolkata
April 21, 2016

Really Good

I purchase sbi life insurance policy plan and took child insurance policy plan. Policy coverage is good 80% and the payback amount is 36 L when policy ends. Claims are easily get due to great services facilitate by executives of the company. Nice future investment and it saves taxes also.

Ishita
Jaipur
April 21, 2016

Super Policy

I own sbi life child plan and i'm happy with it. Policy have various benefits but the policy coverage is the best ~92% is covered in the policy. Claims are high and the premiums are low. Service is good. Nice future investment which saves tax also.

Nishant
Nizamabad
April 21, 2016

Above Average

I purchase child policy plan from sbi life insurance. The policy coverage is 93% and the claims are good with low premiums. Service you provided is very quick and the behaviour of the executives and staff members is nice. Good future investment and it reduces taxes also. Nice policy plan.

Abhishek
Agra
April 21, 2016

Power Plan

My child policy plan is very good and the insurer is sbi life insurance. The policy has many benefits like good investments for future and it save taxes also. Policy coverage is 92% and the claims are around 39 L after policy ends. Fair Terms and Conditions.

Karan
Lonavla
April 21, 2016

Future Security

The best child policy plan i bought from sbi life insurance and the policy plan is awesome. The policy coverage is 90% and the claims are Rs.40 L after policy get mature. The investment is low and the returns are high. Good future plan with tax protection.

Urvashi
Nilgiris
April 21, 2016

Good Service

I buy sbi life child plan which has very good policy coverage ~ 89%. The service is also good, fast and on time. The claims are high ~ 39 L and claiming process is easy because the executive and staff members providing good response and quick services.

Pramod
Kanpur
April 21, 2016

Perfect

Superb child policy plan which provided by sbi life insurance. The policy coverage is 90% and the claims are ~Rs.40 L after policy ends. The investment is ~Rs.21 K quarterly till policy end. Services are great and fast too. Great work guys. Good future investment with tax saving.

Parminder
Delhi
March 04, 2016

Good coverage.

I own child policy plan which i buy from sbi life insurance. Policy have various benefits but the policy coverage is the best. Approx. 90% is covered in the policy. Claims are high and the premiums are low. Service is good. Nice future investment.
Plan Name: eWealth Insurance
Agent Code: BPW00249

Ritesh
Ahmedabad
February 28, 2016

Nice.

SBI life insurance provides me nice policy of child plans. The policy coverage is 80% with low premiums. Claims are 25L after policy get mature. Service is awesome, always someone there for help.
Plan Name: eWealth Insurance
Agent Code: BBE06895

P
Agra
February 27, 2016

Perfect Child Policy Plan.

Recently i bought child policy plan form sbi life insurance. Service is fast and behaviour of executives are very nice. Claims and policy coverage is big and premiums are low ~Rs.5000. Nice future investments, i like it.
Plan Name: eWealth Insurance
Agent Code: BPW00249

Preeti
Delhi
February 19, 2016

"Excellent"

I bought sbi child insurance policy plan. The plan is great investment for future of my child. After 15 years when policy get mature the return amount is Rs.20 lakhs. Service is fast and updates are mailed time to time. I like the plan.
Plan Name: eWealth Insurance
Agent Code: BPW00249

Sourabh
Bengaluru
February 04, 2016

"Excellent"

Recently i bought a life insurance for my child from SBI Life Insurance. The policy having great plans and premiums. The policy coverages are really good and the services are good in future. The claims are the best amoung all. Really happy with the policy for my loved onces.
Plan Name: eWealth Insurance
Agent Code: BBE06765