SBI Life Kalyan ULIP Plus Plan

About SBI Life Kalyan ULIP Plus Plan

SBI Life Kalyan ULIP Plus Plan is a unit-linked, non-participating ULIP plan for the employer-employee groups that offers a perfect balance between financial protection and wealth creation. This plan aims to provide a unique blend of features benefiting both the Master Policyholder (employer) and individual Group Members (employees).

SBI Life Kalyan ULIP Plus Plan is tailored for groups like:

• Employers

• Trustees

• State Governments

• Central Government

• PSUs/ Banks/ Financial Institutions

• Other Group Administrators

In this ULIP plan, the employer-employee groups entrust SBI Life Insurance to manage the following- 

• Gratuity

• Leave Encashment

• Superannuation Schemes

SBI Life - Kalyan ULIP Plus serves as a comprehensive one-stop solution for all your fund management needs like Defined Benefit (DB) schemes, Defined Contributions (DC) schemes, or a combination of both.

Key Features of SBI Life Kalyan ULIP Plus Plan

SBI Life Kalyan ULIP Plus Plan offers various features as listed below:

• Diverse Fund Options: You can choose from a variety of fund options with different risk profiles. It provides you the complete flexibility to invest according to your preferences.

• Easy Asset Management: This ULIP group plan allows you to enjoy the freedom to manage your investments by switching assets between funds anytime. Online switches are unlimited, and you get 4 offline switches per policy year, all at no extra cost.

• Contribution Redirection: You can redirect your contributions to a fund of your choice, deviating from the initial investment pattern. You get the benefit of total free online redirections and up to 4 offline redirections per policy year.

• Superannuation Scheme Restrictions: Amount redirection and switching are not allowed for Superannuation Schemes.

• Flexible Payment Options: You can pay contributions at your convenience throughout the year based on the actuarial valuation report.

• Systematic Transfer Option (STO): The plan safeguards you against market volatility with the STO. It automatically invests your funds in Group Growth Plus Fund II through 12 equated instalments over three policy months. This helps in minimizing your risk at no extra cost.

• Loyalty Units: The plan allows you to earn loyalty units for continued investment. These units accrue annually and are credited after completing two policy years and subsequently every policy year.

Types of Accounts in SBI Life Kalyan ULIP Plus Plan

The SBI Life Kalyan ULIP Plus Plan offers you with the following three types of accounts:

1. Master Policyholder Account (MPA):

   • An account where contributions from the master policyholder are allocated.

   • Master policyholder manages fund switching or redirection.

2. Group Member Account - 1 (GMA-1):

   • Account for individual group members' contributions from the master policyholder.

   • Group members handle fund switching or redirection; the master policyholder can also manage if allowed by scheme rules.

3. Group Member Account - 2 (GMA-2):

   • Account for individual group members' contributions in contributory schemes.

   • Default fund switching or redirection is managed by the group member.

   • Master policyholders can manage switching or redirection on behalf of group members if allowed by scheme rules.

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Eligibility Criteria of SBI Life Kalyan ULIP Plus Plan

The following table mentions the eligibility criteria you need to fulfil to buy this best ULIP Plan in India 2024:

IMPORTANT NOTE:

• Premiums paid by the Master Policyholder must align with the funding valuation report.

• Payment should adhere to the funding requirements outlined in the scheme rules.

• The Master Policyholder is responsible for premium payments, following the accounting standard for long-term employee benefits measurement.

Benefits of SBI Life Kalyan ULIP Plus Plan

The major benefits offered by SBI Life Saral InsureWealth Plus Plan are listed below:

1. Death Benefits for Leave Encashment and Gratuity Scheme Members:

   • Payment of death benefit to your beneficiary as per scheme rules.

   • Life cover of Rs. 1,000 is provided in case of a member's demise.

2. Exit Benefits (Except Death):

   Benefits are paid in accordance with the scheme rules for exits due to any reason, excluding death.

3. Limitations on Benefit Amount:

   Benefit amount constrained to the availability of funds in specific accounts:

   • MPA (Maintained Policy Account).

   • GMA-1 (Guaranteed Minimum Account-1).

   • GMA-2 (Guaranteed Minimum Account-2).

   • MPEA (Minimum Policy Exit Account).

4. Fund Availability Considerations:

   • Benefits are always linked to the funds in MPA, GMA-1, GMA-2, and/or MPEA accounts.

   • This ensures the financial sustainability of payouts.

5. Loyalty Additions:

   • You can earn loyalty units for staying invested with the SBI Life Kalyan ULIP Plus Plan.

   • Loyalty units accumulate annually and are credited after completing two policy years and subsequently each year.

   • The loyalty additions amount is calculated as the average Aggregate Fund Value (AFV) for the policy year multiplied by the Loyalty unit allocation rate.

   • Aggregate Fund Value (AFV) is the total sum of fund values across all accounts under your policy.

   Avg. of AFV (Rs. in Crores)	% of Avg. AFV
   < 1	0.05%
   1 to < 5	0.10%
   5 to < 20	0.15%
   20 to < 50	0.20%
   50 to < 100	0.25%
   ≥ 100	0.30%

6. Tax Benefits:

   • Deduction on premiums paid: You can claim a deduction for the premiums paid towards the Kalyan ULIP Plus plan under Section 80C of the Income Tax Act, 1961. The maximum deduction allowed is Rs. 1.5 lakh in a financial year.

   • Tax-free maturity benefit: If you hold the policy for at least 5 years and continue till maturity, the maturity benefit you receive will be completely tax-free under Section 10(10D) of the Income Tax Act.

   • Tax-free death benefit: The death benefit received by the nominee is exempt from tax under Section 10(10D) of the Income Tax Act.

Policy Details of SBI Life Kalyan ULIP Plus Plan

The key policy details of the SBI Life Saral InsureWealth Plus ULIP plan are listed below:

1. Surrender Process (DB Schemes):

   • Surrender values above the threshold limit (currently ` 3 Crores) are paid in staggered instalments.

   • Redemptions are processed every 15 days.

   • Claims during this period were deducted from subsequent surrender instalments.

2. Surrender (DC and Other Schemes):

   • Allowed based on Scheme Rules and Company Terms and Conditions.

3. Limitation on Unit Withdrawals:

   • SBI Life may limit daily unit withdrawals to 5% under specific conditions.

4. Free-Look Period:

   • The Master Policyholder has 15 days to review and return the policy for a refund.

   • Refund includes fund value minus policy administration charges and stamp duty.

5. Exclusions:

   • No exclusions are applicable under this plan.

6. Nomination:

   • Compulsory nomination per section 39 of the Insurance Act, 1938.

   • Details are maintained by the master policyholder/group administrator.

7. Assignment:

   • Assignment is not allowed under the master policy.

8. Policy Termination:

   • The company reserves the right to terminate the policy annually with 30 days' notice.

   • Termination of fund value falls below INR 25,000 from the 2nd policy year onwards.

9. Life Cover Termination:

   • Life cover ends on the earliest of:

     • Normal retirement age/exit age.

     • Cessation of employment/membership.

     • Attainment of maximum maturity age/cover ceasing age.

     • Death of the member.

     • Termination of the master policy.

Investment Fund Options Offered by SBI Life Kalyan ULIP Plus Plan

SBI Life invests in various fund options of SBI Life Kalyan ULIP Plus Plan for top-quality corporate debt. It emphasizes on duration management and interest rate considerations. You can adopt an active management policy for both debt and equity markets to optimize returns. The equity investments of the plan focus on sound fundamentals, sustained economic earnings, and return on investments.

SBI Life Kalyan ULIP Plus Plan offers 5 investment funds and one STO Plus fund, which are as follows:

IMPORTANT NOTE:

• Premiums for Superannuation Schemes must be allocated exclusively to the 'Group Money Market Plus Fund'.

• The company may close or add fund options with IRDAI approval.

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Charges under the SBI Life Kalyan ULIP Plus Plan

The SBI Life Saral InsureWealth Plan levies the following type of charges on you:

* Any charges may change with prior notice and IRDAI approval.

Steps to Invest in SBI Life Kalyan ULIP Plus Plan

As SBI Life Kalyan ULIP Plus is a group insurance plan for employers and employees, the actual investment process will differ slightly depending on your role in the group. Here is a general overview of the steps involved for both parties:

1. For Employers:

   • Contact SBI Life: Reach out to SBI Life representatives or visit their website to express your interest in the Kalyan ULIP Plus plan.

   • Proposal and Consultation: Discuss your employee benefit needs and desired plan configurations with SBI Life representatives. They will provide a proposal outlining premiums, coverage details, and fund options.

   • Approval Process: Obtain necessary approvals from internal stakeholders and legal teams within your organization to proceed with the plan implementation.

   • Policy Documentation: Review and finalize the policy documents with SBI Life, including the master policy schedule and individual employee certificates.

   • Premium Payment: Establish a system for collecting or deducting employee contributions towards the plan and make regular premium payments to SBI Life.

2. For Employees:

   • Enrollment: Understand the plan details and benefits provided by your employer through the Kalyan ULIP Plus plan.

   • Contribution Selection: Choose your preferred contribution amount within the defined limits and select your desired fund allocation for investments.

   • Online Portal Access: Register for online access to the SBI Life portal, where you can view your account value fund performance and manage your investment choices.

   • Fund Switching and Redirections: Utilize the online portal to switch your fund allocations or redirect contributions for leave encashment and gratuity schemes as needed.

   • Staying Informed: Keep yourself updated on policy updates, fund performance, and any changes in terms and conditions communicated by your employer or SBI Life.

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