The customer can choose the one that suits their needs the best.
Some of the plans provided by SBI under the 5-year category are –
All of these are five-year tenure plans. Some are investment plans and provide several investment benefits. Shubh Nivesh is an endowment plan, and Grameen Bima is a pure-term micro-insurance plan.
The eligibility for getting the SBI Life Insurance 5-year plan depends on the plan that the customer chooses. However, there are a few basic qualifications. The eligibilities are discussed below:
The entry age depends on the plan that the customer chooses. The minimum entry ages are listed below:
- Smart Elite, Shubh Nivesh, Saral Pension, and Grameen Bima – 18 years.
- Smart Privilege Plan – 13 years.
- Smart Wealth Builder Plan – 7 years.
The policy term is 5 years. Thus, this insurance provides more benefits within a short period.
Premium Payment Term
The premium can be paid yearly, half-yearly, quarterly, or monthly according to the customer's convenience. Thus, depending upon the premium amount that is to be paid, the customer can decide whether they are eligible or not.
Total Sum Assured
The total Sum assured starts from a minimum of 25 lakhs to a maximum no limit. Thus, the customer can choose a plan that gives the best benefit while getting a lower premium.
Premium Payment Mode
Payment of premium can be made via – Net banking, credit or debit card, and offline modes.
The key features offered under SBI Life Insurance 5-Year Plan
- Affordable: - This is one of the features that can be highlighted as the best feature among the others. This plan comes with a low and affordable premium rate. This premium rate depends on the age of the policyholder. The customer has the flexibility to select payment modes and premium amounts.
- Planning: - With the help of a 5-year plan, the customer can plan their future expenses in advance. The Sum assured will be increased to the rate of 10% at the end of the 5th year of the plan. Thus, the customer can relax and dream about their future plans.
- Riders: - The policyholder can enhance the overall protection offered by the current term plan by opting for additional riders.
As discussed above, the plans under the 5-year scheme are designed based on the idea of providing more benefits to the customer in a less period. This is a reliable plan with a short-term layout. It offers reliable coverage benefits with a small amount paid as a premium.
Apart from this, there are a few other benefits of getting the SBI Life Insurance 5-year plan.
- Death Benefits: - Upon the policyholder's unfortunate death during the policy term, the policyholder’s nominee will receive a Death Benefit. The Death Benefit will be equal to the Chosen Sum Assured at the time of policy purchase.
- Tax Benefits: - The premium paid towards a 5-year life insurance policy is eligible for tax benefits. It will get tax deductions as per Sec 80C of the Income Tax Act, 1961.
- *Tax benefits are subject to change as per tax laws. Standard T&C Apply.
- Commutation Benefits: - The policyholder can take up to one-third of the benefit as a lump sum amount. He can utilize the remaining amount to receive a regular stream of income.
- Investment Benefits: - The SBI 5-year investment term plans provide a simple reversionary bonus and terminal bonus, if any, along with the Sum Assured on maturity. Premium savings on higher Sum Assured are available.
The Process to buy the SBI Life Insurance 5-Year Plan
The SBI Life Insurance can be easily bought online. The process for buying the Life Insurance plan is discussed below:
- Calculate the Premium – Calculate the premium amount on the online calculator and then decide on the policy that suits them best.
- Personal details – Enter all the personal information like Name, Date of Birth, Age, Marital status, Employment status, Address, Mobile Number, etc.
- Medical details – Enter the medical conditions of an individual or other bad habits like smoking etc.
- Make Payment – Finally, the customer can make the payment for buying the policy online.
For the under-mentioned processes, the policyholder has to visit the official website of SBI Life Insurance and choose a policy first.
If the customer cancelled a policy because of any personal reason or any other reason, then they can no longer enjoy the maturity benefits that come along with the policy. All the premium amounts that have been collected from the policyholder up to the date of cancellation will be refunded.
No more premiums will be collected from the customer after cancellation.
A1. The minimum age for getting a 5-year plan is 18, and the maximum age is 65.
A2. Upon any unfortunate death of the policyholder within the maturity period, the nominee of the policyholder's policy can enjoy the Sum assured amount as a death benefit without any further premium payments.
A3. Of course. The plan can be cancelled in between the 5-year term if the customer is not satisfied with the policy's terms and conditions. This cancellation can be made even after several premium payments.
A4. Yes. There are various options available for paying the premium. It can be paid monthly, quarterly, half-yearly, and yearly.
A5. The SBI Life Insurance Calculator can be found online on the official website of SBI.
A6. The online calculator can be used by entering a few basic details like Name, DOB, Address, Mobile Number, and an estimated sum assured amount.
A7. The best benefit is – short-term premium with a substantial assured amount.
A8. These are conventional insurance plans where the policyholder's money is invested as per prescribed guidelines for a longer time duration. The insurer may offer them participating or non-participating insurance plans.
A9. Partial withdrawal is the facility offered by ULIPs to withdraw money from the accumulated fund value of the insured for his needs once the lock-in period is over.
Written By: PolicyBazaar