What Makes SBI Pension Plans Different from its Peers?

*Please note that the quotes shown will be from our partners

SBI Life Insurance Pension Plans

As per a survey performed by The Economic Times in 2013, SBI has been chosen as “The Most Trusted Private Life Insurance” brand in India.

It should be noted that there are approximately 57 insurance providers in India, among which 24 of these companies deal in life insurance schemes & plans and rest of the 33 insurance companies deal in non-life insurance schemes. These insurance companies further offer hundreds of insurance plans for the buyers. Hence, acquiring the best brand’s position amongst such as vast country is recognition in its own.

SBI Life Insurance offers an extensive range of insurance plans catering to the individuals’ needs which include child plans, protection plans, wealth creation plans, online plans and last but not the least, pension plans.

Why Do You Need a Pension plan?

If you are not planning to get a pension plan, it means that you are sure and confident about being able to cover your monetary needs in your sunset years. 

What if you have to spend all the money you have set aside. Or, you have certain liabilities or responsibilities to fulfill that will cost a significant portion of your savings. Anything may trigger a situation that will hamper the financial plan that you’ve mapped for your old age. 

I’m sure you’ve heard stories of millionaires going penniless in their old age due to an unfortunate accident, or a disease, or some boardroom politics. It’s always a good decision to keep some amount separated from all you have, for your sunset years. 

All you need is a pension or retirement plan. Get it, live happily and sleep soundly.

SBI Insurance Pension Plans

The different pension schemes that SBI Life insurance offers are:

  • SBI Life – Saral Pension
  • SBI Life – Annuity Plus
  • SBI Life – Retire Smart

SBI Life – Saral Pension

This is a traditional pension plan. SBI Saral Plan offers benefits on policy surrender, maturity and on annuities, as well. These payments follow taxation rules. Here is a chart for SBI Life Saral Plan:

 

Minimum

Maximum

Starting Age

18 yrs

60 yrs (for Regular Pay)

65 yrs (for Single Pay)

Vesting Age

40 yrs

70 yrs

Policy Length in Year

10 yrs (Regular Pay)

5 yrs (Single Pay)

70 yrs

Assured Sum in Lakh

Rs 1 Lakh

No Limit

Premium Amount to Pay Per year

Rs. 7000

No Limit

Payment Schedule

Pay Monthly, Quarterly, Half-yearly, or once in a year. 

Same

 

Benefits

Vesting

Sum Assured, plus Simple Reversionary Bonuses, plus Guaranteed Bonuses

Annuity

2/3 of the vested amount will pay annuity, 1/3 will be tax free

Or, pay a single premium and enjoy annuity for the full fund.

Vesting

Can be postponed at the age 55 or below, or finally in 70 years.

Death Benefit

105% of all premiums is payable to the nominee till his/her death

Or, can be taken out as a lump sum

Preferred Term Rider

Can be added

5 years guaranteed bonus

2.50% for first 3 years, and 2.75% for the last 2 years (of the Sum Assured amount)

 

SBI Life Retire Smart Plan Withdrawn

For this plan, you have to start investing from Rs 24,000 onwards. Minimum age for policy holders is 30 years. You receive a “safeguard against market volatility” enforced by an Advantage Plan. Policy holders also get a Minimum Time Span for Maturity Amount.  

 

Minimum

Maximum

Starting Age

30 yrs

70 yrs

Vesting Age

40 yrs

80 yrs

Policy Length in Year

10 yrs

 

35 yrs

Assured Sum in Lakh

Rs. 1 Lakh

No Limit

Premium Amount to Pay Per year

Rs. 24,000 (Regular pay)

Rs. 40,000 (Single pay)

No Limit

Payment Schedule

 Pay Monthly, or Quarterly, or Half-yearly, or once in a year. 

Same

  

Benefits

Guaranteed Additions

On 10% of the annual premium starting from 15th year till end

Vesting withdrawal

1/3 of the corpus can be withdrawn

Death Benefit 

 

105% of all premiums is payable to nominee till his/her death or can be withdrawn as a lump sum

Funding

3 Fund Options are available under this plan

 

SBI Life – Annuity Plus

Just pay a single premium amount and you get a range of annuity options for the rest of your life. You can add your family members to share your annuity and can get it on a regular basis.

 

 

Minimum

Maximum

Starting Age

40 yrs

80 yrs

Vesting Age

Not applicable

Not applicable

Policy Length

5 years minimum

Till Death

Annuity received

2400

No Limit

Premium Amount to pay

Depends upon the annuity you are expecting and the age of investment

Same

Payment Schedule

 Pay Monthly, or Quarterly, or Half-yearly or once in a year. 

Same

  

Benefits

Duration

5 year to life time

Partner

1 or joint

Annuity Increased by

3-5% every year

Last Survivor gets

50-100% Refund on policies

 Insurance for a Better Old Age

There is no guaranteed way to avoid the issues associated with old age. However, investing in these SBI pension plans can assure you that you have the resources to tackle any unforeseen financial eventuality and live your life to the fullest.