Max Life Super Term Plan

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Max Life Super Term Plan is a traditional Term Insurance plan which provides lump sum benefits if the policyholder passes away and this provides a strong financial support to the policyholder’s family at a very reasonable cost.

Max Life Super Term Plan - Key Features

  • This Plan is pure term insurance plan that offers regular options paying the premium.
  • There are 2 Sum Assured options 1 & 2 where Level Sum Assured is offered in Option 1 & Increasing Sum Assured in Option 2
  • In Option 2, the Sum Assured increases by 5% p.a. at a simple rate every year

Max Life Super Term Plan - Benefits

  • On death of the policyholder, Guaranteed Death Benefit is payable which is higher of 10 times the annual premium or 105% of all premiums paid till death or Guaranteed Maturity SA or Sum Assured effective on the policy year before or in the year of death.
  • The nominee can avail the entire death benefit in a lump sum amount or avail 50% of the benefit in a lump sum and the rest 50% in equal monthly instalments @ 0.42% of the Guaranteed Death Benefit for 10 years post death.
  • The monthly instalments increase at a simple rate of 8.5% p.a. and they can also be withdrawn in lump sum any time by the nominee in which case the amount will be paid after discounting it @ 6.5%. As a policyholder, you get to leverage Income tax benefits as per Income Tax Act.

Max Life Super Term Plan - Product Specification

 

Minimum

Maximum

Entry Age (Last Birthday)

18 years

65 years

Maturity Age (Last Birthday)

-

75 years

Policy Term (PT) in years

10

35

Premium Paying Term (PPT) in years

Equal to policy term

Premium Paying Frequency

Annual, half-yearly, quarterly, monthly

Yearly Premium

5000

No limit

Sum Assured

25,00,000

No limit

 

Details About Premium

Annual premium in Rupees for a SA of 50 lakhs and 25 year term under Options 1 – Level SA and Option 2 – Increasing SA

Age (in years)

Option 1

Option 2

Non-smoker

Smoker

Non-smoker

Smoker

30

6500

8700

9250

13,000

35

8200

11,550

12,450

18,200

40

11,300

16,500

17,800

26,700

45

16,300

24,450

26,050

39,700

50

23,950

36,550

38,650

59,350

 

Max Life Super Term Plan - Policy Details

Grace Period:

A grace period of 15 days is allowed for paying the premium in monthly mode and 30 days in other modes.

Surrender Benefit: There is no surrender value offered under this plan.

Additional benefits or Riders

Non-smokers are given premium discounts

High sum assured levels get rebates

Low premium rates for female insurance taker

Exclusions:

There are unfortunate cases when the policyholder commits suicide within a year of taking up then in these cases the nominee receives the total premiums paid.

Documents Required:

To take the policy, you need to submit KYC documents along with address proof to support the proposal form. Moreover, a medical examination is necessary in a case of the amount assured and the age of the person who wishes to take the policy.

Free Look Period:    

There are certain times when we wish that we would not have made certain choices. This is not possible in most of the cases, but it is possible in this case as this policy allows you to revoke it after fifteen days of receiving the policy documents, on the condition that no claim was made till date.

You may also like to read: Max Life Term Insurance Plans

Frequently Asked Questions:

Question: Does the policy offers any Maturity Benefit?

Answer: Yes, there are maturity benefits offered under this plan

Question: What is the Death Benefit offered?

Answer: Death benefit is payable on the death of the policyholder within the active term of the policy or when it has a Reduced Insurance Cover. The policyholder enjoys the Guaranteed Death Benefit which is payable to the person nominated at the time of the death of the policyholder.

Question: What is the Guaranteed Death Benefit?

Answer: Guaranteed Death Benefit is defined as the sum higher of:

  • 10 times of  the Yearly Premium,
  • 105% of each and every Premium paid till the Date of Death,
  • Maturity Sum Assured  is paid the policyholder on Maturity Date,
  • Sum assured is presentable if the Anniversary of the Policy or coincides with the death date.

Question: What are the surrender benefits of the policy?

Answer: If your Policy does not get any surrender value throughout the Policy Term and thus there is no amount given to you when you wish to surrender your policy.

Question: Can I get Loans against this plan?

Answer: No, the Policyholders are not entitled to take any loans under this policy.

Question: When does a policy lapses?

Answer: If the policyholder fails to pay the premium within the grace period during the first fifteen years of commencing the policy and no benefits will be paid to the policyholder.

Question: What is the process of reviving a Lapsed Policy?

Answer: If the policy is still under the revival period, then a lapsed Policy or a Policy acquiring a Reduced Paid Up Mode can be revived.  For this, you need to:

  • Submit a written request to revive the policy.
  • The policyholder needs to produce the proof of Life insurability at your own cost which is accepted by the company.
  • Payment of all the overdue Premiums including service tax and other taxes, levies or cesses along with late fee determined by the company.

If the insured fails to revive the lapsed Policy within the Period of Revival, then the Policy terminates without any value if the Revival Period expires.

If a Policy acquires a Reduced Paid Up Mode and the policyholder fails to revive it within the Revival Period, then the policy will remain in the Reduced Paid Up Mode for the rest of the Policy Term. 

Question: Can the policyholder revive the policy if the term gets over?

Answer, No, the Policyholder cannot revive the policy once the Policy Term gets over.