IDBI Federal Life Traditional Plans

4.8 / 5 based on 2 User Reviews
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IDBI Federal Life Insurance Co Ltd is a joint-venture of IDBI Bank, India’s premier development and commercial bank, Federal Bank, one of India’s leading private sector banks and Ageas, a multinational insurance giant based out of Europe. It is one of the fastest growing life insurance companies and offers a diverse range of wealth management, protection and retirement solutions to all its customers. It started its operations from 2008 and they were able to achieve breakeven in just 5 years.

Through a nationwide network of 2, 964 branches of IDBI Bank and Federal Bank, and a sizeable network of advisors and partners, IDBI Federal Life Insurance has achieved presence across the length and breadth of the country. They wish to be the leading provider of wealth management and other services. The main mission is to continually strive to enhance customer experience through innovative products, efficient relationship management and excellent service delivery in a cost effective manner.

What are Traditional / Investment Plans?

Traditional plans, also called Conventional Insurance Plans are plans where money is invested as per the guidelines laid down in the Insurance Act. The whereabouts of the invested premium is not known to the policyholder. The policyholder is simply promised certain benefits payable on death, maturity or as money back. Traditional Investment Plans have some of the basic features which are mentioned below:

  • These plans are issued for a longer term perspective and money cannot be withdrawn from the plans.
  • In case of stopping the premium payment, the plan becomes paid-up if at least three full years’ premiums have been paid. A paid-up plan has a reduced Sum Assured and the policyholder has a choice to either run the plan at the reduced coverage or surrender the plan.
  • The plans may be offered as participating or non-participating plans. Participating plans are entitled to participate in the company’s profits and earn bonuses which are not true for non-participating plans.
  • The plans may be issued either as Endowment Plans or Money Back Plans

IDBI Federal Traditional / Investment Plans

IDBI Federal Life Insurance Company offers a range of traditional / Investment plans to its customers to meet all their savings and protection related needs. Let us take a look at the different types of traditional / investment plans offered by IDBI Federal Life and the features and benefits of each of them in details.

IDBI federal Lifesurance Whole Life Savings Insurance Plan –

A traditional whole of life plan which covers the individual till 100 years of age and also provides saving facilities. The features and benefits of the plan are as follows:

  • Premiums under the plan are payable for a limited tenure only
  • The plan participates in the profits of the company by way of earning bonuses. There are two types of bonuses under the plan. One accrues from the 6th year till the end of the Premium Paying Term and the other accrues after the Premium Paying Term till maturity or death.
  • Guaranteed Additions accrue in the first five years of the plan @5% of the chosen Sum Assured
  • In case of death of the insured during the tenure of the plan, the death benefit will be payable which will be higher of the Guaranteed Sum Assured or 10times the annual premium paid or 105% of all premiums paid till the date of death. Vested guaranteed additions, bonuses and any Terminal Bonus are also paid along with the death benefit.
  • If the policyholder survives till the end of the Premium Paying Term, the Guaranteed Sum Assured including the guaranteed additions, vested bonuses till the end of the Premium Paying Term are paid.
  • If the policyholder survives till maturity, i.e. if he attains 100 years of age, higher of the Guaranteed Sum Assured or 10 times the annual premium paid or 105% of all premiums paid including vested bonuses accrued post the Premium Paying Term and any Terminal Bonus is paid
  • The plan can be customized by adding Accidental Death Benefit option under which an extra benefit equal to the Guaranteed Sum Assured subject to a maximum of Rs.50 lakhs is paid in case of accidental death
  • Discounts in premiums are allowed for opting for higher Sum Assured levels of Rs.10 lakhs and above and female lives are also charged discounted premiums
  • Loans can be availed under the plan up to a maximum of 85% of the Surrender Value
  • Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

 

Minimum

Maximum

Entry Age

18 years

55 years

Maturity Age

-

100 years

Policy Term

100-age at entry

Premium Payment Term

12 years

30 years

Premium amount

Rs.10, 000

No limit

Sum Assured

Depends on age, tenure and premium amount

Premium Payment Frequency

Yearly, half-yearly, quarterly or monthly

 

IDBI federal Lifesurance Savings Insurance Plan –

A traditional Endowment Assurance plan offered for a fixed tenure. The features and benefits of the plan are as follows:

  • Premiums under the plan are payable either for a limited tenure or for the entire duration of the plan.
  • The plan participates in the profits of the company by way of earning bonuses. Bonuses are added after the first five years of the plan.
  • Guaranteed Additions accrue in the first five years of the plan @5% of the chosen Sum Assured
  • In case of death of the insured during the tenure of the plan, the death benefit will be payable which will be higher of the Maturity Sum Assured or 10 times the annual premium paid or 105% of all premiums paid till the date of death. Vested guaranteed additions, reversionary bonuses, interim bonus and any Terminal Bonus are also paid along with the death benefit.
  • On maturity, the maturity Sum Assured including Vested guaranteed additions, reversionary bonuses and any Terminal Bonus is paid to the policyholder.
  • The plan can be customized by adding Accidental Death Benefit option under which an extra benefit equal to the Guaranteed Sum Assured subject to a maximum of Rs.50 lakhs is paid in case of accidental death
  • Discounts in premiums are allowed for opting for higher Sum Assured levels of Rs.10 lakhs and above and female lives are also charged discounted premiums
  • Loans can be availed under the plan up to a maximum of 85% of the Surrender Value
  • Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

 

Minimum

Maximum

Entry Age

18 years

55 years

Maturity Age

-

75 years

Policy Term

10, 15, 20 and 25 years

Premium Payment Term

5 years

Equal to plan tenure

Premium amount

Rs.10, 000

No limit

Sum Assured

Depends on age, tenure and premium amount

Premium Payment Frequency

Yearly, half-yearly, quarterly or monthly

 

IDBI federal IncomesuranceGuaranteed Money Back Insurance Plan –

A traditional money back plan which provides payouts at specific time intervals. The features and benefits under the plan are as follows:

  • The tenure of the plan is fixed for 10 years and so is the premium paying term which is fixed for 5 years
  • Money back benefits are paid from the 6th year till the 10th year and are expressed as a percentage of the annual premium. The percentage depends on the age of the policyholder
  • In case of death of the insured during the tenure of the plan, the death benefit will be payable which will be higher of the Maturity Sum Assured or 10 times the annual premium paid or 105% of all premiums paid till the date of death
  • Loans can be availed under the plan up to a maximum of 85% of the Surrender Value
  • Income tax benefit on the premium paid as per Section 80C and on claims under Section 10(10D) of the Income Tax Act.

Eligibility Details

 

Minimum

Maximum

Entry Age

18 years

55 years

Maturity Age

-

65 years

Policy Term

10years

Premium Payment Term

5 years

Premium amount

Rs.20, 000

NA

Premium Payment Frequency

Yearly, half-yearly, quarterly or monthly

 

IDBI federal Childsurance Savings Protection Insurance Plan –

Traditional money back child insurance plan to take care of the child’s future in the absence of the parent. Money backs are paid in the form of Guaranteed Annual payouts either in the last three years of the plan at 20%, 20% and 60% of the basic Sum Assured or in the last five years of the plan at 20% of the basic Sum Assured every year.On maturity, the last instalment of the Guaranteed Payout and accrued reversionary bonuses including any Terminal Bonus is paid to the policyholder.In case of death of the insured during the tenure of the plan, the death Sum Assured is paid which is higher of the maturity Sum Assured or 10 or 7 times the annual premium depending on the age of the policyholder. Future premiums are waived off and paid for by the company. The Guaranteed Annual Payouts will accrue as and when they fall due and on maturity, the vested reversionary bonuses including any Terminal Bonus is paid to the nominee

Applying for a Traditional / Investment 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.

Applying For Traditional Insurance through PolicyBazaar

  1. On the PolicyBazaar homepage, click on Traditional Insurance under the Personal tab.
  2. Click New Quotes to compare and choose from top insurance providers.
  3. Fill your date of birth (DOB), whether you are a smoker/non-smoker, and the payout amount. On the basis of your payout amount, you will get an estimate of your premium. Next click Continue.
  4. Fill in your name, email address, city, country code, and mobile number. Click Continue.
  5. You will be taken to the Life Insurance quotes page where you will see life insurance quotes of more than 10 insurers. Next, choose the plan as per payment schedule – One Time Payout and Monthly Payout Plans.
  6. After reviewing and comparing each life insurance quote, click the premium amount to buy the desired plan.
  7. You will see a pop-up on the screen which will give you an overview of the chosen plan like premium, plan features, exclusions, additional riders, etc. Click Proceed.
  8. This will take you to the insurer’s website. Fill in the necessary details to buy the plan.

IDBI Federal Life Traditional Plans - FAQs

1. How to pay premium? What are the modes of payment available?

You can choose from ANY of the following premium modes from IDBI Life Insurance

  • Online Payment
  • Payment through IDBI & Federal Bank Branch
  • ECS
  • Payment through Advisor
  • Cheque facility

For payment through online, policyholder must visit e-portal of company.

  • Enter your policy number and date of Birth
  • Then verify your policy details
  • Select payment options and pay payment.

2. How can I check policy status for IDBI Federal Life traditional plans?

As a registered user, please visit the site

and provide the relevant policy information to enter the site and check the current status of your policy.

You can track you application from the above link in case you have recently applied. 

3. What is the policy renewal process for IDBI Federal Life traditional plans?

As an existing IDBI customer, you can convert all your paper policies into e-Policy to conveniently pay online premiums for renewals. You can fill the e-Policy Conversion Form and submit it to your nearest IDBI Federal branch. Once done, the renewal process remains the same as paying premium online.

4. What is the company’s process to settle claim for IDBI Federal Life traditional plans?

IDBI Federal Insurance company guarantees to settle your claims within 8 working days, provided all your documents are in order. For every delay thereafter, the company will pay a penalty charge of 8% to the beneficiary.

The process is simple. Fill the suitable claims form and submit the medical bills and reports and other documents as requested by the company to the nearest branch. The claim amount will be directly deposited in your bank account.

5. What is the policy cancellation process for IDBI Federal Life traditional plans?

It will take maximum 30 days for policy cancellation process. The IDBI policyholders must attach all the relevant policy documents along with a duly filled surrender form at any of the branch locations in their city. After receiving the documents and scrutinizing them, the refund is credited into the policyholder’s bank account as per the policy’s records, and the policy is cancelled.

IDBI Federal Life Traditional Plans Reviews

TOTAL REVIEWS (2)
Tarun
Kanpur
August 25, 2016

Traditional Policy

The traditional plan of idbi federal insurance is great with big benefits. Policy coverage is good approx. 89% and claims are high. Service facilitate by the staff members is fantastic with good behaviour. Updates are mailed regularly to me and online portal makes easy renewals of the insurance policy.

Rijool
Ahmedabad
May 13, 2016

Good Policy Coverage

I purchase idbi federal life traditional plan. The policy coverage is high and the permium is low. The service providers are doing very great job because the claims are easily sanctioned without any waiting and paperwork. Good future investment and it save my taxes too. Good job.