HDFC 5 Crore Term Insurance for NRIs

Is ₹5 crore the right cover for an NRI in the UAE?

About 4.3 million Indian nationals live in the UAE, roughly 35% of the population, according to the Embassy of India in Abu Dhabi. Many of them still support parents, repay a home loan or run a business back home. If that sounds like you, the size of your cover is worth working out properly.

How much term insurance you need depends on your income. HDFC Life's rule of thumb is to cover 10 to 15 times your annual income, which makes a ₹5 crore term insurance plan a good fit for an annual income of roughly ₹30 lakh to ₹50 lakh. At ₹26.22 to the dirham (1 October 2026), that is about AED 114,000 to AED 191,000 a year, or AED 9,500 to AED 15,900 a month.

The table shows one way a ₹5 crore payout could be used by your nominees. The figures are an illustration, not a quote.

HDFC 5 Crore Term Insurance Premium for NRIs

The table shows what Policybazaar quotes for ₹5 crore of HDFC Life Click 2 Protect Supreme Plus cover at different ages.

Source: Policybazaar. Premiums are as of 22 October 2026 for a male non-smoker with an income of ₹50 lakh or more, ₹5 crore cover till age 75, paying monthly. Premiums shown are for the first year and include a 15% discount. From the second year, the premium is about 18% higher (₹5,845 a month at age 30). Premiums may vary with age, health, occupation, policy term and underwriting.

According to Policybazaar’s India vs UAE comparison, a term plan bought in India costs about 50% less than the same life cover bought in the UAE. Average claim settlement is shown as 99.5% in India against 97.9% in the UAE, and the payout is 100% tax-free.

GST, Discounts and Tax Benefits on HDFC 5 Crore Term Insurance for NRIs

0% GST on HDFC Term Insurance Premiums

Individual term insurance premiums have carried 0% GST since 22 September 2025. The Department of Financial Services confirms that the exemption covers all individual life and health policies, while group policies continue to attract GST at 18%. For NRI policies, the same FAQ treats the service as either zero-rated (export) or exempt, so no GST is charged on the premium either way.

Discounts on HDFC 5 Crore Term Insurance

• Women: 15% off the base premium rate.

• Salaried applicants: 10% off the first-year premium on regular and limited pay.

• Salaried applicants with limited pay and ₹2 crore cover: 17% off the first-year premium (10% plus 7%).

• Yearly payment: 5% saving if you pay annually instead of monthly (terms apply).

Discounts are subject to HDFC Life’s terms and eligibility.

Income Tax Benefits for NRIs

If you have taxable income in India and file under the old tax regime, premiums qualify for a deduction of up to ₹1.5 lakh a year under Section 123 of the Income Tax Act, 2025 (earlier Section 80C). The death benefit your nominee receives is exempt under Section 11 read with Schedule II (earlier Section 10(10D)).

If your income is earned only in the UAE and none of it is taxable in India, the deduction gives no benefit, though the tax-free payout still applies. Please consult a tax advisor to understand how these benefits apply to your situation.

What Are the Benefits of HDFC 5 Crore Term Insurance for NRIs?

• Financial Security for Family in India
  With an HDFC term plan, NRIs can safeguard their family members residing in India against the financial impact of an unexpected loss. A ₹5 crore cover is adequate to handle large expenses such as a home loan, children’s education or other future liabilities.

• Competitive Premiums

Term Life insurance in India has lower premium rates than international markets. According to Policybazaar’s India vs UAE comparison, NRIs can get the same life cover at about 50% lower cost than in the UAE.

• Global Coverage
  HDFC Life insurance for NRIs offers global coverage, so your policy stays valid even if you relocate to another country. In case of death outside India, the nominee can still raise a claim, subject to policy terms and correct disclosure of your residence.

• Simple Claim Settlement in India
  Since the policy is issued in India, family members can settle claims without dealing with foreign insurers or going through lengthy international procedures. This local claim support adds convenience for the family.

• Tele or Video Medical Checkups
  Depending on the country, NRIs can complete the medical examination remotely through tele-medical checkups in term insurance or video-based assessments. This reduces the need to travel to India just for the medical test.

• High Claim Settlement Ratio
  HDFC Life maintains a high Claim Settlement Ratio (CSR), which reflects the insurer’s reliability. Its individual CSR was 99.72% in FY 2025-26, which means almost all claims were settled.

• 0% GST on Premiums
  Individual term insurance premiums have carried 0% GST since 22 September 2025, so NRIs pay no GST on HDFC term insurance. This keeps the overall premium NRI customers pay lower.

• Discounts on Premiums
  NRIs can save an extra 5% if the premium is paid yearly instead of monthly (terms apply). HDFC Life also offers women 15% off the base premium rate and salaried applicants 10% off the first-year premium.

• Exit Option for Flexibility
  HDFC Life also offers a plan exit option in some term plans. After a set number of policy years, policyholders can exit the plan and receive a refund of the premiums paid (excluding taxes and rider premiums), if no claim has been made. For example, a 30-year-old gets back a minimum of ₹18.1 lakh on exit between ages 56 and 70. This is useful for NRIs who may reassess their coverage needs over time.

• Broad Range of Plans
  HDFC Life offers multiple term plan options with built-in riders and customisable features. Whether you want critical illness protection, accidental death benefit or income payout options for your family, a plan can be tailored to your needs.

Eligibility, documents and medicals for NRIs in the UAE

Who qualifies. Indian passport holders living abroad can apply. OCI holders may also apply, but insurers set extra conditions and decide case by case. HDFC Life describes the UAE as generally low-risk for underwriting, though your occupation, lifestyle and health still affect approval and price. Some insurers do not sell to residents of certain countries, so confirm yours at the quote stage.

Income proof. Salary slips, an employment contract or bank statements can show a stable income. At ₹5 crore, expect closer financial checks. The insurer may also ask for tax records or business financials.

Documents. Passport, UAE visa, address proof and income proof. HDFC Life lists a PAN card as mandatory in its online buying steps.

Medical tests. Plan on them at this cover level. You take them at an insurer-approved centre in the UAE, and the reports go to the insurer or can be uploaded. Some insurers, HDFC Life among them, offer video or tele-medicals in certain countries, so ask whether that is open to UAE residents.

Paying premiums. An NRE or NRO account is the usual route. Some insurers accept foreign currency and convert it to rupees at the going rate. Auto-debit is available for renewals.

Nominee. Your nominee can live outside India, and the claim is paid to the nominee's bank account.

How to buy HDFC Life ₹5 Crore Term Insurance from the UAE

Here is how you can buy the HDFC 5 Crore term insurance plans via Policybazaar:

Step 1: Visit the term insurance for NRI page of Policybazaar

Step 2: Fill in the required details like your name, gender, contact details, and more

Step 3: Select the right annual income, educational qualifications, smoking habits, and occupation type

Step 4: Choose the best HDFC 5 Crore term life insurance and proceed to pay the first premium

FAQs