PNB Metlife Money Back Plan

*Please note that the quotes shown will be from our partners

PNB Metlife Money Back Plan is a Non-Linked Money Back Life Insurance Plan, designed to give back to the investors, a percentage of the Sum Assured from the fifth policy year onwards. Therefore, the double advantage of this plan is that, the policyholders are not only protected in case of an unseen eventuality, they also receive their money back at regular intervals.

PNB Metlife Money Back - Key Features

  • The policyholder receives regular Survival Benefits.
  • When the policy matures, the policyholder receives Maturity Benefits.
  • A lump sum Death Benefit is paid in the event of the demise of the life insured, even if the Survival Benefits are already paid. 

PNB Metlife Money Back - Benefits

  • The policyholder receives 10% of the Sum Assured as a Survival Benefit from the fifth to the ninth years.
  • If the Life Insured survives until the policy matures, then 60% of the Sum Assured is received at the policy term end.
  • If the Life Insured passes away before the policy term ends, PNB Metlife pays the nominees the highest of the following: (a)the chosen Sum Assured or (b) ten times of the Annualized Premiums, or (c) 105% of all the premiums paid or (d) Maturity Benefit or (e)Death Benefit.
  • The policyholder can avail of a policy loan that is a maximum of 90% of the Special Surrender Value of the policy at the end of the relevant policy year.
  • Income tax benefit is received on the premium paid as per Section 80C and 10 (10D) of the Income Tax Act.

PNB Metlife Money Back - Product Specification:

 

Minimum

Maximum

Entry Age (Last Birthday)

13 years

55 years

Maturity Age (Last Birthday)

-

65 years

Policy Term (PT) in years

10 years

Premium Paying Term (PPT) in years

Regular

Premium Paying Frequency

Half-yearly

Yearly

Yearly Premium

Rs. 23,119

Rs. 51,63,875

Sum Assured

Rs. 250,000

Rs. 5 crore

 

Details About Premium

Annual premium in Rupees

Age

Policy term (yrs)

Annual Premium (Rs.)

Sum Assured (Rs.)

13

10

23834

250000

20

10

23882

250000

30

10

23932

250000

13

10

410462

4500000

20

10

398022

4500000

30

10

398894

4500000

 

PNB Metlife Money Back - Policy Details

Grace Period: PNB Metlife provides a span of 30 days to pay all dues, starting from the due date of the unpaid premium. If the due payments are made during the Grace Period, the payable amount will be without interest. In the case of premium payments via monthly payment modes the grace period allowed is 15 days. If the insured fails to pay his premiums even by the allowed grace period then the plan is subject to lapse and immediately enables non-forfeiture options to it.

Policy Termination or Surrender Benefit: The policy shall be terminated at the earliest of the following:

(1) The date of surrendering the policy.

(2) On the payment of the death benefit.

(3) On the payment of the maturity benefit when the policy matures.

(4) If the policy is not reinstated within three years from the date of policy lapse.

If all policy premiums have been paid for three policy years, then the policy acquires a Surrender value. The maximum Guaranteed Surrender Value (GSV) and the Special Surrender Value (SSV) is as same as this value. The GSV depends on a percentage of the total Premiums paid and the rebated value of accrued Simple Reversionary Bonus. The SSV completely depends on the prevailing market conditions and is not guaranteed.

Free Look Period: The policyholder is allowed to review his plan within the free look period, where he judge whether he should buy the policy depending on the features and benefits it offers. If, within 15 days of receiving the plan documents, the insured feels that he is not happy with the plan provisions, then he can cancel it by returning the policy documents. After this, the company shall return the premiums paid towards it after making required deductions of any medical costs, stamp duty charges etc.

Inclusions

The Paid-Up Value is acquired if premiums are paid for at least three policy years, and no further due premiums are paid. It will then be eligible for a Reduced Paid-Up Value.

A lapsed policy can be reinstated by submitting a written request within two years from the date of the first unpaid premium. Reinstatement is subject to sufficient evidence being provided of insurability to the company. Furthermore, the policyholder has to pay all due premiums and interest accrued up to the date of reinstatement.

Exclusions

Suicide: If the insured commits suicide within first year of the policy inception, then his nominees are paid 80% of the premiums paid till the date of death and the term insurance cover remains void. If the insured commits suicide within first year of the plan, then his nominees shall be paid the higher of, the Surrender Value as on the date of death or 80% of the premiums paid till death.

PNB Metlife Money Back - Documents Required

The policyholder has to fill up an ‘Application form’ with identity proof, address proof, bank account proof and a recent photograph. Policyholder might also be required to provide income proof.    

You May also like to read: PNB MetLife Investment Plan

Frequently Asked Questions:

1.    What is the Reduced Paid-Up Value under the plan?

If the insured pays his regular premiums for at least 3 consecutive years, with no further premium dues, then the policy becomes eligible for a Reduced Paid-Up Value. The Reduced Paid-Up Value is equal to 110% of the Sum Assured multiplied by the ratio of the total number of Regular Annual Premiums paid to the total number of Regular Annual Premiums payable and subtracting the total Survival Benefits under the plan.

2.    What are the conditions for termination of the plan?

The plan shall be terminated immediately on the occurrence of any of the below events:

  • Policy surrender date
  • On expiry of 3 years from the date of policy lapse, given the policy has not been renewed or has not acquired any paid-up value.
  • On payment of death benefits
  • On payment of maturity benefits 

3.    How are the taxes levied under this plan?

All the taxes are levied depending on the current ruling body or regulatory authority that are subject to change.  However, under sections 80C and 10(10D), the policyholders can enjoy income tax benefits.