SBI Life Smart Shield Plan

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SBI Life Smart Shield is a non-participating term plan which enables the policyholder to provide protection for his family at affordable rates. 

SBI Life Smart Shield - Key Features

  • This is a pure term insurance plan with single pay and regular pay premium paying option
  • It has 4 protection options to suit universal needs:
    • Level Term Assurance
    • Increasing Term Assurance
    • Decreasing Term Assurance (Loan Protection)
    • Decreasing Term Assurance (Family Income Protection)
  • Single and Regular Premium payment option for plans 1 & 2 and Single Pay option for plans 3 & 4 

SBI Life Smart Shield - Benefits

  • The nominee gets the Sum Assured amount on the death of the policyholder.
  • In case of Increasing Term Assurance, the coverage increases every year @ 5%.
  • Tax Benefits: All the premiums paid and the claims received are eligible for tax deductions under the Income Tax Act as per section 80C and 10(10D). 

SBI Life Smart Shield - Product Specification:

 

Minimum

Maximum

Entry Age (Last Birthday)

18 years

60 years

Maturity Age (Last Birthday)

-

65 years

Policy Term (PT) in years

5

30

Premium Paying Term (PPT) in years

Equal to policy term

Premium Paying Frequency

Annual, half-yearly, quarterly, monthly

Yearly Premium

Single pay – 15,000

Regular Pay :

Yearly – 5000

Half-yearly – 2500

Quarterly – 1250

Monthly - 450

No limit

Sum Assured

25,00,000

No limit

 

Details About Premium

Annual premium in Rupees for a policy tern of 25 years and SA of 50 Lakhs

Age

30

35

40

Premium

9161

12,675

18,408

 

SBI Life Smart Shield - Policy Details 

Grace Period: On failure of monthly premium payments the policyholder is allowed for a grace period of 15 days and on the failure of premium payments of any other payment modes a grace period is of 30 days is allowed. If the policyholder fails to pay his premiums even within the premium payment grace period, then the policy is subject to lapse. 

Policy Termination or Surrender Benefit: The policyholder is allowed to surrender his insurance plan after its second year. The surrender value of the insurance plan depends on the plan option chosen. 

Free Look Period: If the policyholder feels that he is not happy with the insurance coverage and the benefits provided under it or the policy terms and conditions, then he has the option to cancel his plan within 15 days of receiving the policy documents, given that no claims have been done yet. 

Additional Features or Riders

  • Rebates are offered for Large Sum Assured ranges
  • Premium discounts for non-smokers
  • There are riders available under the plan namely:
    • Accidental Death Benefit Rider
    • Accidental Total and Permanent Disability Rider
    • Accelerated Critical Illness Cover Rider 

Exclusions

  • If the policyholder commits suicide within first 12 months of the policy inception or the policy renewal, then 80% of the total premiums paid till date are refundable to the entitled beneficiaries of the insurance plan.
  • In the accidental death of the policyholder due to an Infection except for the infections caused by any external wound and accidentally sustained, insured person under the influence of drugs except under the prescription of a registered medical practitioner, self-inflict injury, involvement in any criminal acts or unlawful activity, during any war or invasion or a riot or civil commotion, nuclear contamination, radioactive or involvement in hazardous activities.
  • For Critical Illness Rider, diseases which are pre-existing or occur within 90 days of inception or are due to HIV infection, alcohol abuse, congenital, etc. are excluded from the cover.
  • Taking part in any naval or military or air force operations during the peace time.
  • Failure to seek the medical advice
  • Solvent use, or taking of drugs or narcotics or psychotropic substance unless under the guidance and prescription of the medical practitioner.
  • Any disease occurring within 90 days of the policy inception or from the last policy renewal. 

Documents Required

The policy seeker has to submit the duly filled insurance application form or the policy proposal form with correct medical history report and other important KYC documents. In some cases based on the sum assured amount chosen and the age of the policy seeker an Income Proof has to be submitted. 

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

Frequently Asked Questions: 

Q.  What is the illness covered under the critical illness rider cover?

Below are the illnesses covered under the critical illness rider cover:

  • Cancer
  • Heart Attack
  • Coronary Artery Bypass Surgery
  • Kidney Failure
  • Major Organ Transplant
  • Paralysis
  • Stroke
  • Major Burns
  • Surgery of Aorta
  • Coma
  • Motor Neuron Disease
  • Multiple Sclerosis 

Q.  What are the prohibitions of rebates under the plan?

  • No insured individual shall be allowed to offer, either directly or indirectly as an inducement to any person to take or renew or continue an insurance in respect to any kind of risks relating to lives or the property in India, any rebate of the whole or part of the commission payable or any rebate, except such rebate as may be allowed in accordance with the published brochures or the tables of the insurer; 

Provided the acceptance by an insurance agent of the commission by an insurance agent of commission in the connection with a policy of the life insurance taken out by himself on his own life shall not be deemed to be acceptance of rebates of premium within the meaning of this subsection, if at the time of such acceptance the insurance agent satisfies the prescribed conditions establishing that he is bona fied insurance agent employed by the insurer.

  • Any individual found making defaults in complying with the provisions of this section shall be punishable with fine which may extend to Rs.500. 

Q.  What are the conditions for policy nominations?

The nominations under the policy shall be allowed as per section 39 of the Insurance Act 1938. 

Q.  What are the conditions for policy Assignment?

The assignments under the policy shall be allowed under section 38 of the Insurance Act 1938. 

Q.  What are the rewards for maintaining a healthy lifestyle?

This insurance plan rewards for maintaining a healthy lifestyle with lower premium rates on the insurance plan.