Rural Postal Life Insurance

About Rural Postal Life Insurance (RPLI)

Rural Postal Life Insurance (RPLI) was introduced on 24 March 1995 to extend insurance coverage to people living in rural areas of India. In 1993, a special committee named Malhotra Committee reported that insurance created a very small percentage of the gross household savings of India i.e., life insurance funds accounted for only 10% of the total household savings and only 22% of the population eligible for insurance coverage in India had been insured. The Indian Government approved all the committee’s recommendations and allowed Postal Life Insurance to increase its insurance coverage to the rural areas. This helped in generating a life insurance business, mainly because of the large number of post offices in the rural areas and involving low operational costs.

The aim of this rural postal life insurance scheme is to offer insurance coverage to the rural population and to provide benefits to the women workers of rural regions and weaker sections of society. Also, RPLI is creating awareness about insurance among rural masses.

Benefits of Rural Postal Life Insurance Schemes

Rural Postal Life Insurance (RPLI) policies come with several practical benefits that add flexibility and security for policyholders:

• Lapsed policies can be revived by paying the pending premiums within the permitted period.

• Policyholders can avail loans against their RPLI policy, providing financial support in times of need.

• Plans can be converted from one type to another, such as switching from a Whole Life Assurance policy to an Endowment Assurance policy after a specific duration.

• Nominee details can be updated anytime by submitting a request to the postal department.

• If the original policy document is lost or damaged, a duplicate can be easily obtained.

You can also check the benefits of term insurance.

Rural Postal Life Insurance Schemes

There are currently 6 different types of plans under Rural Postal Life Insurance scheme designed for people specifically living outside the municipal boundaries of a city or a town. Rural Postal Life Insurance Policy Plans

1. Whole Life Assurance (Gram Suraksha):

   Under this scheme, the assured amount along with an accrued bonus is paid to the policyholder either upon acquiring 80 years of age or to their legal representatives/assignees on the assured’s death (whichever occurs earlier), provided the plan is in force on the claim date.

   Parameters	Minimum	Maximum
   Entry Age	19 years	55 years
   Sum assured limit	Rs. 10,000	Rs. 10 Lacs
   Policy Term/Maturity	80 years or death (whichever is earlier)
   Loan Facility	After 4 years
   Surrender	After 3 years (if it surrendered before 5 years, bonus is not payable in the policy)
   Conversion Facility	Plan can be converted into endowment assurance plan upto the maximum age of 59 years
   Premium payment ceasing age	May be opted for as 55, 58 or 60 years
   Bonus	Rs. 60/-per Rs. 1000 sum assured per year

2. Convertible Whole Life Assurance (Gram Suvidha)

   This scheme comes with an added feature to convert the whole life assurance plan to an endowment assurance plan at the end of the 5 years of buying a policy.

   Parameters	Minimum	Maximum
   Entry Age	19 years	45 years
   Sum assured limit	Rs. 10,000	Rs. 10 Lacs
   Policy Term/Maturity	80 years or death (whichever is earlier)
   Loan Facility	After 4 years
   Surrender	After 3 years (if it surrendered before 5 years bonus is not payable)
   Conversion Facility	Plan can be converted into endowment assurance plan after 5 years, but later than 6 years of buying the policy. In case of non-conversion, the plan will be continue as Whole Life Assurance.
   Premium payment ceasing age	May be opted for as 55, 58 or 60 years
   Bonus	Rs. 60/-per Rs. 1000 sum assured per year as on 01.04.2023

   Note: Bonus of Endowment Assurance will be paid in case of conversion.

3. Endowment Assurance (Gram Santosh)

   In this, an assurance is given to the proponent to the extent of the Sum Assured and accrued bonus till he/she acquires the pre-determined maturity age (35 years to 60 years of age). Legal heir/nominee/assignee is paid the total Sum Asssured with accrued bonus in case of life assured’s death.

   Parameters	Minimum	Maximum
   Entry Age	19 years	55 years
   Sum assured limit	Rs. 10,000	Rs. 10 Lacs
   Loan Facility	After 3 years
   Surrender	After 3 years (if it surrendered before 5 years, bonus is not payable)
   Bonus	Rs. 48/-per Rs. 1000 sum assured per year as on 01.04.23

4. 10 Years Rural RPLI (Gram Priya)

   This plan is a money back plan for the people living in rural areas only

   Parameters	Minimum	Maximum
   Entry Age	20 years	45 years
   Sum assured limit	Rs. 10,000	Rs. 10 Lacs
   Policy Term	10 years
   Loan Facility	Not Available
   Surrender	Not Available
   Bonus	Rs. 45/-per Rs. 1000 sum assured per year as on 01.04.23
   Survival Benefits	20% of sum assured on completion of 4th and 7th year of policy and the remaining 60% with a bonus at maturity age

5. Anticipated Endowment Assurance (Gram Sumangal)

   This is a money back plan which has a maximum Sum Assured of Rs. 10 Lakhs. This plan is best suitable for those people who need returns periodically. The survival proceeds are paid to the policyholder on a periodic basis. These types of payments will not be considered in case of an unforeseen policyholder’s death. In this case, the total Sum Assured with accrued bonus is paid to the nominee/legal heir/assignee.

   Parameters	Minimum	Maximum
   Entry Age	19 years	40 years for 20 years term plan 45 years for 15 years term insurance plan
   Sum assured limit	Rs. 10,000	Rs. 10 Lacs
   Policy Term	15 years and 20 Years
   Loan Facility	Not Available
   Surrender	Not Available
   Bonus	Rs. 45/-per Rs. 1000 sum assured per year as on 01.04.23
   Survival Benefits	For 15-year term policy- 20% of sum assured on completion of 6th, 9th and 12th year of policy and balance 40% with bonus on maturity.
   	20% of sum assured on completion of 8th, 12th and 16th year of policy and balance 40% with bonus on maturity.

6. Children Policy (Gram Bal Jeevan Bima)

   Parameters	Minimum	Maximum
   Insurance cover	Maximum of 2 children of EA/WLA policyholders
   Entry Age (child)	5 years	20 years
   Entry Age of parent (policyholder)	-	45 years
   Sum assured limit	Rs. 20,000	Rs. 1 Lacs
   Medical Examination	Not necessary for child
   Loan Facility	Not Available
   Surrender	Not Available
   Bonus	Rs. 48/-per Rs. 1000 sum assured per year as on 01.04.23

Rural Postal Life Insurance Scheme Bonus Rates 2023-24

Here are the bonus rates of Rural Postal Life Insurance schemes:

Bonus Rates of RPLI over the years

Citizen Charter

What Documents are Required for Rural Postal Life Insurance Policy Issuance?

• Proposal Form

• Self-attested or thumb impressed age proof such as:

  • Birth Certificate

  • School Certificate/Mark sheet

  • PAN Card / PRAN Card

  • Passport

  • Driving Licence

  • Aadhar Card

  • Voter-id

  • Elder’s declaration

  • Approximate age certificate from the Medical Examiner

  • Declaration by the life assured, and then signed by a Panchayat Member

• Self-attested or thumb impressed address proof and identity proof such as:

  • Aadhar Card

  • Voter-id

  • Passport

  • Driving License

  • Ration Card

  • Electricity Bill or Water Bill

• Medical Report

  • Declaration of Medical Examiner

  • Declaration in cases wherein the proposer is illiterate

• Certificate and Confidential Report by DO/FO(PLI)/AGENT

Note: Check all the best term insurance plan in India.

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