SBI Life Term Insurance Plans

4 / 5 based on 4 User Reviews

SBI Life Term Plan

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 Protection plans in the form of term plans, Child Plans, Savings and Investment Plans which are available in both conventional or ULIPs form and pension plans. With a wide range of products, the company strives to meet every individual’s insurance related requirement at a single source.

What are Term Insurance Plans?

Term Insurance Plans, also called Term Plans in short, offer the basic protection coverage to individuals. Term plans are the essence of life insurance which provides financial support to the family of the individual in case of premature death of the individual. In technical terms, term plans can be defined as a contract between the insurance company and the person insured wherein the company promises to pay a lump sum amount, called the Sum Assured, if the insured dies during the term of the policy. The term of the policy is the time, in years, for which the plan has been bought by the insured. In exchange of the promise made by the insurer, the insured needs to pay premiums to the company against the chosen coverage for the term of the policy.

Why Term Insurance Plans?

Term Insurance, being the basic insurance plan, is the cheapest plan in the market where by paying a minimal amount of premium one can avail a high coverage for protection purposes. Life is uncertain and everybody faces the risk of untimely death. On the death of a family member, the family suffers both emotional and financial loss. While emotional loss cannot be compensated, the financial loss suffered can be compensated considerably through insurance. Term insurance, at the same time, offers high coverage at lower costs thus making it affordable to have a high coverage. A high coverage ensures that the family is properly taken care of in the absence of the bread-winner without any financial hiccups.

SBI Life Term Plans

SBI Life Insurance Company offers a variety of Term Plans to individuals and each plan differs with respect to the features and availability. While some plans can be bought online at a lower premium, other plans are not available online and can be availed through other marketing channels like agents, brokers, bancassurance channel, etc. Let us take a look at the different plan offered by SBI Life and the features of each of the plans.

SBI Life Smart Shield 

A unique term insurance plan which has four coverage options to choose from. The features of the plan are as follows:

      The customer can choose from the four available plan options which are:

  • Level Term Assurance – the chosen Sum Assured remains the same throughout the tenure of the plan and on death of the life insured during the term, the Sum Assured is paid to the nominee.
  • Increasing Term Assurance – an option under which the Sum Assured chosen at the time of inception of the policy increases every year @5% and on death of the insured during the plan tenure, the Sum Assured as on the date of death is paid to the nominee
  • Decreasing Term Assurance (Loan Protection) – an option under which the Sum Assured decreases every year and on the death of the insured during the plan tenure the applicable Sum Assured as on the date of death is paid to the nominee
  • Decreasing Term Assurance (Family Income Protection) - – an option under which the Sum Assured decreases every year and on the death of the insured during the plan tenure the applicable Sum Assured as on the date of death is paid to the nominee
  • There is an option of availing riders under the plan to make the coverage more comprehensive. SBI Life Accidental Death Benefit Rider which pays additional amount in case of accidental Death, SBI Life Accidental Total & Permanent Disability Benefit Rider which is useful in case of suffering a disability which is total and permanent due to an accident and Accelerated Critical Illness Cover which pays an additional amount in case the insured is diagnosed with any of the covered critical illnesses are the riders available under the plan
  • Rebates on SBI life insurance premium are allowed for choosing large Sum Assured levels and for people who are healthy.
  • Premiums can be paid either in one lump sum under the Single Pay option and for the entire term under the Regular Pay option
  • Tax benefit is available on the premium paid and the claim received. The premiums paid are exempt from taxation under Section 80C of the Income Tax Act and the claim received in exempt under Section 10(10D) of the Income Tax Act.

Eligibility Details

  Minimum Maximum
Entry Age 18 years 60 years
Maturity Age - 65 years
Policy Term 5 years 30 years
Sum Assured Rs.25 lakhs No limit
Premium amount Regular pay – Rs.5000
Single Pay – Rs.15, 000
Based on the coverage
Premium Payment Term Equal to the policy term or Single Pay
Premium Payment Frequency Yearly, half-yearly, quarterly or monthly or in Single Pay

 

Sample rates of SBI Life Insurance Premium

The following table illustrates sample rates of premium payable by an individual at different ages assuming the Sum Assured to be Rs.50 lakhs and the policy tenure to be 25 years

Age 30 35 40
Premium 9161 12675 18408

 

SBI Life Saral Shield 

A term insurance plan providing three death benefit options to choose from. The features of the plan are as follows:

      The customer can choose from the four available plan options which are:

  • Level Term Assurance – the chosen Sum Assured remains the same throughout the tenure of the plan and on death of the life insured during the term, the Sum Assured is paid to the nominee.
  • Decreasing Term Assurance (Loan Protection) – an option under which the Sum Assured decreases every year and on the death of the insured during the plan tenure the applicable Sum Assured as on the date of death is paid to the nominee
  • Decreasing Term Assurance (Family Income Protection) - – an option under which the Sum Assured decreases every year and on the death of the insured during the plan tenure the applicable Sum Assured as on the date of death is paid to the nominee
  • There is an option of availing riders under the plan to make the coverage more comprehensive. SBI Life Accidental Death Benefit Rider which pays additional amount in case of accidental Death, SBI Life Accidental Total & Permanent Disability Benefit Rider which is useful in case of suffering a disability which is total and permanent due to an accident are the riders available under the plan
  • Rebates in premium are allowed for choosing large Sum Assured levels and for female lives
  • Premiums can be paid either in one lump sum under the Single Pay option and for the entire term under the Regular Pay option
  • Tax benefit is available on the premium paid and the claim received. The premiums paid are exempt from taxation under Section 80C of the Income Tax Act and the claim received in exempt under Section 10(10D) of the Income Tax Act.

Eligibility Details

  Minimum Maximum
Entry Age 18 years 60 years
Maturity Age - 65 years
Policy Term 5 years 30 years
Sum Assured Rs.7.5 lakhs Rs.24 lakhs
Premium amount Regular pay – Rs.2000
Single Pay – Rs.10, 000
Based on the coverage
Premium Payment Term Equal to the policy term or Single Pay
Premium Payment Frequency Yearly, half-yearly, quarterly or monthly or in Single Pay

 

Sample rates of SBI Life Insurance Premium

The following table illustrates the rates of premium for two different coverage ranges and at different ages of the life insured. Even the term options are varied under the illustration mentioned below:

Age Sum Assured = Rs.10 lakhs Sum Assured = Rs.20 lakhs
Tenure of the plan Tenure of the plan
10 years 15 years 20 years 25 years 10 years 15 years 20 years 25 years
25 years - -   2187 3120 3120 3366 3774
30 years - 2184 2457 2839 3382 3768 4314 5078
35 years 2518 2904 3422 4042 4436 5208 6244 7484
40 years 3378 4064 4850 5783 6156 7528 9100 10, 966
45 years 4914 5943 7131 - 9228 11, 286 13, 662 -

 

SBI Life e-Shield 

An online term plan with four coverage options to choose from. The features of the plan are as follows:

  • It is an online Term Plan which can be bought online lowering the premium and avoiding the hassles of unnecessary paperwork.

 The customer can choose from the four available plan options which are:

  • Level Cover - the chosen Sum Assured remains the same throughout the tenure of the plan and on death of the life insured during the term, the Sum Assured is paid to the nominee.
  • Level Cover with Accidental Death Benefit - the chosen Sum Assured remains the same throughout the tenure of the plan and on death of the life insured during the term, the Sum Assured is paid to the nominee. Moreover, in case of accidental death of the insured, an additional amount equal to the Sum Assured under the plan or Rs.50 lakhs whichever is lower is paid to the nominee
  • Increasing Cover - an option under which the Sum Assured chosen at the time of inception of the policy increases every 5 years @10% and on death of the insured during the plan tenure, the Sum Assured as on the date of death is paid to the nominee
  • Increasing Cover with Accidental Death Benefit - an option under which the Sum Assured chosen at the time of inception of the policy increases every 5 years @10% and on death of the insured during the plan tenure, the Sum Assured as on the date of death is paid to the nominee. Additionally, in case of accidental death, an additional amount equal to the Sum Assured under the plan or Rs.50 lakhs whichever is lower is paid to the nominee
  • Rebates in premium are allowed for choosing large Sum Assured levels and for female lives
  • Tax benefit is available on the premium paid and the claim received. The premiums paid are exempt from taxation under Section 80C of the Income Tax Act and the claim received in exempt under Section 10(10D) of the Income Tax Act.

Eligibility Details

  Minimum Maximum
Entry Age 18 years 65 years
Maturity Age - 70 years
Policy Term 5 years 30 years
Sum Assured Rs.20 lakhs No limit
Premium amount Rs.3500 Based on the coverage
Premium Payment Term Equal to the policy term
Premium Payment Frequency Yearly

 

Sample Rates of Premium

The following table illustrates the different rates of premium at different age payable by male and female lives. There is also a differentiation between smokers and non-smokers.

Age Male Lives Female Lives
Smokers Non-smokers Smokers Non-smokers
30 7770 4660 6275 3920
40 17145 9495 12260 6955
50 41615 22305 29020 15680

 

SBI Life GrameenBima 

A micro insurance plan whose features are as follows:

  • A plan designed for the backward sector for their welfare and insurance needs
  • The proposer would have to choose the amount of premium he or she can pay and based on the premium amount the coverage will be decided
  • Medical examination is not required to apply for the plan as plan is issued based on a simple medical declaration and registration is done through a simple form
  • Premium is to be paid in one lump sum at the commencement of the plan.
  • In case of death of the life insured during the term of the plan the calculated Sum Assured will be paid to the nominee

Eligibility Details

  Minimum Maximum
Entry Age 18 years 50 years
Policy Term 5 years
Sum Assured Rs.10, 000 Rs.50, 000
Premium amount Rs.3500 Based on the coverage
Premium Payment Term Single Pay
Premium Payment Frequency Single Pay

 

Applying for a Term Insurance Plan from the company:

Online

The company offers specific plans which are available online only. The customer only needs to log into the company’s website, choose the required 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

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

SBI Life Term Insurance Plans - FAQ

1. How to pay premium? 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 Centers
  • 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 term insurance 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 policy along with the status is displayed on the next screen.

Alternatively avail the SMS facility if you are a registered user.

SMS POLVALUE <space>< policy number> and send it to 56161 or 9250001848.


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

Renewal of policy 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.

If you want to get the renewal details by mobile,

SMS RENDET to 56161 or 9250001848.

Alternatively, you can renew the process 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 term insurance 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. 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 term insurance plans?

The policy cancellation process 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 policy 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 Term Insurance Plans

TOTAL REVIEWS (4)
Regan
Tumkur
February 05, 2016

"Very Good"

I buy life insurance policy with SBI. The policy provide great benefits with low premiums. Policy coverage is around 80%. The claims are high around Rs.20 lakh and claiming process is simple and get easily done.
Plan Name: eShield
Agent Code: BPW01312

Partho
Darjeeling
February 05, 2016

"Fine"

SBI life giving me good insurance. The policy covers almost 90% claims and the claims are easily get because the service is really very good and on time. The daily update is through mails. Nice policy with great benefits.
Plan Name: eShield
Agent Code: BBE06765

Kishore
Patna
February 04, 2016

"Good For Health"

Recently bought life insurance from SBI Life Insurance. Great experience with service. Policy coverage is good about 70-85%. I claim and the amount is given in one week. Nice experience, satisfied.
Plan Name: eShield
Agent Code: BBE06895

Himanshu
Ahmedabad
January 29, 2016

Best Service by Policybazaar

Superb fast service by the staff of Policybazaar on the call, buying life insurance was one of the New Year resolutions, just bought SBI life insurance policy and would recommend it.
Plan Name: eShield
Agent Code:BET01182