Shriram Group Term Life Insurance in lieu of EDLI Plan

Introduction/Overview

Shriram Group Term Life Insurance in lieu of EDLI is a plan specifically designed for employer-employee groups where employers are mandated to provide life insurance coverage to employees linked to their Provident Fund account under the Employee’s Deposit Linked Scheme. The plan enables employers to provide more than sufficient cover to employees without worrying about the balance in Provident Fund accounts or years of service

Key Features

• It is a yearly renewable plan
• The plan can be availed by employer-employee groups
• A Master Policy held by the group’s head is issued covering the members for a pre-determined amount.
• The minimum coverage is for Rs.132,000 thereby covering the mandated limit of Rs.130,000
• Any member can be covered if he is an employee and member of the Employee Provident Fund Scheme

Benefits

• The nominee gets the Sum Assured on death of the policyholder during the term of the plan
• Income tax benefit on the premium paid by the employer as per Section 37 and on the claims received as per Section 10(10D) of the Income Tax Act.

Product Specification:

Policy Details

Grace Period: 15 days grace period is allowed for payment of premium in monthly mode and 30 days in other modes.

Policy Termination or Surrender Benefit: the policy cannot be surrendered.

Free Look Period: If you would not be pleased with the coverage, and terms and conditions of the policy, you have the option of canceling the policy within 15 days of receipt of the policy documents, provided there has been no claim.

Additional Features or Riders

• There is the Accident Benefit Rider for increased protection

Documents Required

Policyholder has to fill up a Master Proposal form and submit employees’ date, copy of the scheme rules along with the proposal form.