Pramerica Life Smart Income Plan

Eligibility Criteria for the Pramerica Life Smart Income Plan

Features of Pramerica Life Smart Income Plan

Here are the key features of the plan:

• Guaranteed Annual Income: The scheme offers fixed payouts at the end of the year, providing a constant, predictable flow of income.
• Deferred Income Structure: The payments of income commence at the expiry of the policy period and continue for the duration of the premium payment period.
• Policy Structure Customisation: Policy term and premium payment terms are options that let you select your financial objective.
• Life Insurance Protection: The Pramerica Life Traditional Plans provide you with life cover throughout the policy term, ensuring financial stability in the event of unforeseen circumstances in the family.
• Lump Sum Conversion Option: You will have the option of making the residual payouts as lump sums during the payout period.

Benefits of the Pramerica Life Smart Income Plan

Below are the benefits of the Pramerica Life Smart Income Plan:

• Guaranteed Annual Income: The scheme offers fixed payouts at the end of the year, which is guaranteed to be a constant and predictable flow of income.
• Deferred Income Structure: Payments of income commence at the expiry of the policy period and continue for the duration of the premium payment period.
• Policy Structure Customisation: Policy term and premium payment terms are options, with which you can select your financial objective as part of the best investment plan.
• Life Insurance Protection: The plan provides you with life cover throughout the policy term, ensuring financial stability in the event of unforeseen circumstances in your family.
• Lump Sum Conversion Option: You will have the option of making the residual payouts as lump sums during the payout period.

Riders Under the Pramerica Life Smart Income Plan

The plan offers optional riders to enhance protection:

• Accidental Death Benefit Rider: Provides an additional payout in case of accidental death
• Critical Illness Rider: Offers financial support on diagnosis of specified illnesses

Policy Details of the Pramerica Life Smart Income Plan

1. Grace Period

   The plan provides 30 days grace period to the annual and half-yearly premium mode and 15 days grace period to the monthly mode. The policy is still active during this period, and benefits are still enforced on the condition of providing the due premiums.

2. Revival of Policy

   In case the policy is not being paid, and in 5 years since the date of the initial unpaid premium, then it can be renewed. Revival can be done against payment of all the outstanding premiums and with interest and underwriting approval.

3. Free Look Period

   The policyholder is allowed 30 days free look period since the policy document has been received. Failure to satisfy will result in cancellation of the policy and payment of the premium less deductions.

4. Surrender Value

   The policy obtains a surrender value when it has paid not less than a full year's premium. Depending on the terms of the policies, the guaranteed surrender value (GSV) or the Special Surrender Value (SSV) will be the larger amount between them.

5. Paid-Up Value

   Upon cancellation of premiums, if at least a full year of premiums has been paid, the policy becomes paid-up with reduced benefits. The benefits are modified based on the amount of premiums paid compared to the amount of premiums payable.

6. Loan Facility

   A policyholder may borrow some of the policy's cash value as a loan after it has attained a surrender value. The maximum loan value is 80 per cent of the interest rate on the loan on the surrender value, depending on terms and interest rates.

7. Premium Discontinuance

   The policy can lapse in case the premiums are not paid during the period of grace.

   Once payment of at least a year of premiums has been made, the policy is renewed with reduced (paid-up) benefits rather than being immediately terminated.

8. Payout Structure

   The payouts commence annually upon policy term (maturity) and are payable to a specified period (the same duration as the premium payment period).

Exclusions Under the Pramerica Life Smart Income Plan

Suicidal Cover

If death occurs due to suicide within 12 months from policy commencement, only a portion of premiums paid or surrender value is payable.