PLI Surrender Value Calculator

What is PLI Surrender Value Calculator? 

PLI surrender value calculator is an online tool that helps customers calculate the amount they would receive on surrendering their Postal life insurance. This calculator can make long and tedious calculations accurately in just a few minutes. This PLI Santosh surrender value calculator lets you make quick and simple calculations from home. But before we look at how the surrender value is calculated, let us look at when PLI attains the surrender value.

How To Use the PLI Surrender Value Calculator?

Following is the step-by-step guide to using the PLI Santosh Surrender value calculator:

• Step 1: Visit the official website of the Postal life insurance 

• Step 2: Click on the Life Insurance Surrender Value Calculator

• Step 3: Enter the basic details such as name, mobile number, policy term, plan name, premium payment mode, number of premium instalments paid, etc., 

• Step 4: After submitting these details, the PLI policy surrender value calculator immediately computes the approximate surrender value.

• Step 5: The life insurance surrender value will be displayed on the page.

What Are The Benefits Of Using PLI Surrender Value Calculator Online?

A PLI Surrender Value Calculator is a variable tool that helps quick and easy comparison of plans based on a number of parameters. Using a PLI calculator, insurance buyers can evaluate their requirements and make an informed decision about choosing the right plan. Here are some major benefits of using a PLI surrender value calculator online. Similarly, check the major benefits of term life insurance: 

• It is a user-friendly online tool, accessible anytime and anywhere via your computer, to effortlessly calculate the surrender value of PLI.

• No financial expert assistance is required.

• Compare various PLI policies to identify the best option aligned with your family's financial commitments.

• Make informed decisions to manage your financial needs effectively.

• Evaluate the factors influencing the premium rates of your PLI policy.

How to Calculate the PLI Surrender Value?

PLI policyholders who are looking for different ways to calculate the surrender value can opt for the PLI Surrender Value calculator. One can easily calculate the exact surrender value in a few clicks with the help of an effective online tool called PLI Surrender Value Calculator.

Similarly, term plan calculator can be used to calculate the term insurance premium rates.

Before understanding the Postal Life Insurance Calculator, let’s understand when the PLI policy will acquire a surrender value: 

• If policy term less than 10 years: Surrender value attained after 2 years of premium payments.

• If policy term 10 years or more: Surrender value attained after 3 years of premium payments.

What is the Surrender Value of Postal Life Insurance (PLI)? 

When you surrender your plan, you receive a certain amount of premiums that you paid regularly, which will be returned from the insurer. This payment receipt is known as Surrender value. 

In the case of EA, WLA, YS, and CWLA policies, a surrender facility is available after 3 years. This value depends on the surrendering type, factor, and term of the plan. A bonus on the reduced sum assured amount is paid only if the plan is surrendered after 5 years. 

Policyholders can take out loans against PLI as the interest rates are low and affordable. For example, if the policyholder misses three premium payments, the insurer will start surrendering the plan. The surrender value will then be used to settle the outstanding premium and the remaining loan amount.

How Does the PLI Surrender Value Calculator Work?

PLI Surrender value calculator uses PLI surrender factor table. This gives an estimate of how much you will receive on surrendering a PLI policy. The PLI Surrender Value Calculator determines the Surrender Value using the following formula:

Surrender value = (Paid-up value + Reduced Bonus) X Surrender factor. 

Paid-up value = (Sum assured amount X Number of months/years premium)/Total term of the policy (number of months/years). 

Reduced Bonus = (Paid-up value X Policy Term X existing bonus rate of PLI)/1000

Bonus is added each year in April for the plans that are paid up to March. So, in this way, bonuses will be added for the years for which the premium amount is paid in March. 

The PLI Surrender factor can be calculated from the PLI Surrender factor table. Some details are required to complete the process such as date of surrender application, date of birth of insured, and Age as a factor can be used to compute the PLI factor in terms of days, months, and years. 

PLI Surrender Factor Table To Calculate Surrender Value

Below is the illustration of the PLI Surrender Value Calculation sheet that can help you calculate the surrender amount easily: 

How Can You Buy Postal Life Insurance (PLI)?

You can buy PLI from the following sources:

• Employees of the Department of Posts like the Inspector staff, Clerical staff, Postmen etc.

• Field Officers of Postal Life Insurance

• Gramin Dak Sevaks of Branch Post Office / Gramin Dak Ghar

• Direct Agents

Wrapping Up!

Understanding how this PLI surrender value is calculated at the policy's inception is crucial for making informed financial decisions down the line. The online PLI surrender value calculator simplifies this process with a few easy steps. It is user-friendly, easy to use and tells the value in a couple of minutes and helps in the comparison of various PLI policies for optimal decision-making.

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