PNB MetLife Traditional Plans

What are Traditional / Investment Plans?

The investment plans aim to fulfill the savings need of the individuals with a stress on long term saving perspective. The plans come in tow variants of Endowment and Money-Back, both of which aim to secure a saving corpus and provide life insurance policy to individuals. Premiums are to be paid as per the feature of the plans and if the customer does not pay the required premiums, the plans become paid-up in nature. In such a scenario, the Sum Assured under the plan gets reduced and this value is paid either on maturity or death as the case may be. Moreover, the plans can also earn bonuses if they are offered as Participating plans which increase the benefits payable to the policyholder.

PNB MetLife Traditional / Investment Plans

The plans offered by PNB MetLife Insurance Company are varied in nature but all of the given plans have a single aim to provide life insurance coverage to the policyholders along with an avenue to create savings through a traditional savings method. The plans are outlined below in details:

MetLife Money Back Plan

A traditional Money back plan which provides regular cash flows. Other features include:

• Premiums under the plan are payable for the entire tenure of the plan under the Regular Pay option of premium payment

• Money back benefits are paid from the 5^th year till the 9^th year @10% of Sum Assured

• On maturity, 60% of Sum Assured is paid to the policyholder

• On death of the insured a benefit higher of the chosen Sum Assured or annualized premium multiplied by 10 or 105% of aggregate premiums paid is payable to the nominee

• Rebates in premiums for choosing yearly and half-yearly mode of payment @3% and 1.5% respectively

• Discount in premiums for choosing higher levels of Sum Assured of Rs.10 lakhs or above

• Loansare available under the plan @90% of the Special 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

MetLife BachatYojana

A traditional Endowment plan with the following notable aspects:

• Being offered as a plan which participates in the company’s profits, bonus is earned

• Limited Premium is payable under the plan

• On maturity date, the Sum Assured on maturity plus the vested simple reversionary bonuses including any Terminal Bonus is payable

• If death occurs, the Sum Assured on death is payable which is higher of the Sum Assured or 10 times the annual premium or 105% of all premiums paid till the date of death and the vested reversionary bonuses with any Terminal Bonus

• @90% of the Special Surrender Value can be taken as loan

• 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

MetLife Bhavishya Plus Plan

A money back insurance plan which provides cash flows in the last three years of the policy. Other important points are mentioned below:

• The plan earns bonuses through profit particpation

• Money back benefits are payable in the last 3 years of the plan @20% of Sum Assured

• On maturity, 40% of the Sum Assured and the accrued vested bonuses with any Terminal Bonus is payable

• When death happens, a benefit higher of the chosen Sum Assured payable on maturity or 10 times the premium or 105% of total premiums paid is payable to the nominee including the vested reversionary bonuses and any Terminal Bonus

• A value of 90% of the Special Surrender Value is available as loan

• 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

MetLife College Plan

A traditional money back child insurance plan to safeguard the child’s future. 20% of Sum Assured is paid as survival benefits in the last 3 years of the policy. Simple reversionary bonuses accrue from the 3^rd policy year and thereafter till the end of the term. In case of death, a benefit higher of 10 times the annual premium or base Sum Assured or minimum guaranteed Maturity Sum Assured or 105% of all premiums paid till the date of death is payable with the vested reversionary bonuses. All future premiums will be waived off but the plan continues. Survival benefits accrue in the last three years of the plan as and when they accrue. When the term expires, i.e. on maturity, the Maturity Sum Assured including the reversionary bonuses accrued post death and any Terminal Bonus is paid to the nominee. On maturity, the Maturity Sum Assured including the reversionary bonuses accrued and 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

• On the PolicyBazaar homepage, click on Traditional Insurance under the Personal tab.

• Click New Quotes to compare and choose from top insurance providers.

• 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.

• Fill in your name, email address, city, country code, and mobile number. Click Continue.

• 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.

• After reviewing and comparing each life insurance quote, click the premium amount to buy the desired plan.

• 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.

• This will take you to the insurer’s website. Fill in the necessary details to buy the plan.

What are the other factors to consider before buying an endowment plan?

An endowment plan provides cover as well as savings. However, it is more expensive than a term plan. Also, the entire amount of money you put in doesn’t get invested in your fund. An amount is deducted for your insurance fund. So if you purely want to invest the money, you should look at the pure saving platforms such as PPF or mutual funds. Similarly, if you want pure life cover, you could opt for a term plan. However, if you have particular financial goals to meet in the future and want to assure that your family isn’t left in a challenging spot in your absence, buy an endowment plan as it will take care of these issues very effectively.

How Does an Endowment Plan Work?

An endowment plan is one of the easiest insurance plans to understand. It is a traditional insurance policy which combines insurance and savings. So you basically keep paying the premium till a particular period of time and after that, when the policy matures, you get a lump sum amount of money. If during the policy period you happen to die, your beneficiary gets the death benefit. In this way it is similar to a basic term plan. However, unlike a basic term plan, an endowment plan has the return component, i.e. it pays an endowment to the policyholder.

To know about Term Insurance  check at  PNB Metlife Term Insurance