Bajaj Life eTouch II Term Plan

Key Features of Bajaj Life eTouch II Term Plan

Here are the key features of this Bajaj Life term insurance plan: 

• Cover your family in case of your death or the diagnosis of a terminal illness with the Bajaj eTouch II plan

• You get the flexibility to pay the premiums for a regular or limited policy term or as a single premium

• Choose the option to receive all the premiums paid back at the end of the policy as a maturity benefit

• Your nominee can receive an additional amount in case of your death due to an accident

• You can choose how your family will receive the death benefit in your absence, as lump sum, as a monthly benefit, or a combination of lump sum + monthly benefit

• Defer premium payments by up to 12 months with the Auto Cover Continuance Benefit

• Exit the plan early to receive all the premiums paid back as Early Exit Value

• The premium holiday benefit allows you to skip premium payments for 1, 2, or 3 years during the premium payment term

• Add term insurance riders to the base Bajaj eTouch II term plan to enhance protection

• Claim term insurance tax benefits as per the prevailing tax laws

Eligibility Conditions of Bajaj eTouch Term Life Insurance

Here are the eligibility criteria Bajaj eTouch term insurance:

Benefits of Bajaj Life eTouch Term Insurance

1. Plan Options

   The Bajaj Life eTouch term insurance offers the following 3 plan options: 

   • Life Shield, 

   • Life Shield Plus, and 

   • Life Shield ROP

   You can go through the benefits offered under each plan option and choose the one that suits your needs the best.

2. Death Benefits

   The death benefits will be payable in case of the policyholder’s death during the policy term, given that no terminal illness claim has been made, or if the terminal illness claim has been made, then the death benefit payable will be equal to the total sum assured minus the benefit amount paid on terminal illness diagnosis.

3. Terminal Illness Benefits

   The terminal illness benefits will be paid if the policyholder is diagnosed with a terminal illness during the policy term. Then the benefit will be paid as follows:

   • If the sum assured is less than or equal to 2 crores, then the sum assured on terminal illness will be paid, and the policy will terminate.

   • If the sum assured is more than 2 crores, then the 2 crores will be paid on terminal illness diagnosis, and the remaining amount will be paid as a death benefit to your nominee.

4. WOP Benefit on ATPD/TI

   Waiver of premium benefit on Accidental total and permanent disability or terminal illness waives off future premiums under the policy as follows:

   • In case of an accidental total and permanent disability of the policyholder during the policy term, the policy will continue.

   • If the sum assured is more than 2 crores, and the terminal illness benefit is paid on the diagnosis of terminal illness, then the policy will continue for the remaining tenure.

5. Accidental Death Benefits

   Available only in the Life Shield Plus variant, this benefit is payable in case of accidental death of the life assured during the ADB cover tenure. This amount will be paid in addition to the ADB sum assured to the nominee selected by you.

6. Maturity Benefits

   There are no maturity benefits applicable to the Life Shield and Life Shield Plus options, but in the Life Shield ROP plan option, if the policyholder outlives the policy term, then:

   • If no claim is made, then the sum assured on maturity, i.e., the total premiums paid, will be returned at the end of the policy tenure as a one-time lump sum amount.

   • If the terminal illness claim is made before the date of maturity, then the maturity benefit payable will be [1- (sum assured on terminal illness/death)] x total premiums paid and will be paid out on the maturity date.

7. Early Exit Value

   You can choose to exit the plan early before the maturity and receive all the premiums paid till that point, given all the premiums are duly paid. The early exit value will be equal to the total premiums paid plus the underwriting extra premiums paid under the base policy. The option can be exercised within the first five policy years after the policyholder turns 60. 

8. Life Stage Upgrade

   Available with only the Life Shield and Life Shield Plus options, the Bajaj eTouch II allows you to increase the sum assured during the policy term at milestones in your life. Before turning 45 years of age, the policyholder can increase the base sum assured by 50% on marriage, 25% on the birth or adoption of 1st or 2nd child, 25% on a home loan, and 25% on an education loan for children.

9. Premium Holiday

   The Premium Holiday feature allows you to pause premium payments for 1, 2, or 3 policy years while keeping your life cover fully active. You can opt for this at policy inception, and the first holiday becomes available after five completed policy years, provided all premiums are paid up-to-date. Each holiday lasts 12 policy months, and the total premium for that year is waived.

   This feature is available only for policies with both policy term and premium payment term of 20 years or more. Multiple holidays can be used, but each must be spaced five policy years apart. You must notify the insurer within the grace period; otherwise, non-payment will lead to lapse or paid-up status.

   Premiums skipped during this period are not counted in Total Premiums Paid. If any chosen holidays remain unused by the end of the term, the insurer will waive the last one, two, or three premiums accordingly. Note that the Life Stage Upgrade option cannot be used if a premium holiday is selected.

10. Death Benefit Payout Option

    At the start of the policy, you can choose how your nominee will receive the Death Benefit, ensuring the payout structure aligns with your family’s financial needs. There are three options available:

    • 100% lump-sum payout, where the full benefit is paid at once.

    • Combination payout, where 10%–90% of the benefit is paid as a lump sum and the remaining amount is provided as monthly income instalments.

    • 100% monthly income instalments, paid over 5, 10, 20, 30, or 40 years, as selected at policy inception. The first instalment is payable from the date of the insured’s death.

    Your nominee also gets flexibility even after instalments begin. They may choose to convert all future monthly payments into a lump-sum amount, calculated as the present value of the remaining instalments using a 5% discount rate.

    Some payouts, however, are always lump-sum:

    • Terminal Illness (TI) Benefit and Accidental Death Benefit (ADB).

    • Under Life Shield and Life Shield Plus, if the Life Stage Upgrade option was used, the additional Life Stage Sum Assured is paid entirely as a lump sum.

11. Maturity Benefit in Installments

    In case of Life Shield ROP option, you can choose for the maturity benefit to be paid in installments in the following way:

    • The maturity benefit may be paid in installments over the next 5 years

    • The amount of each installments will be [maturity benefit amount/5] hiked up by 20% and paid yearly from the date of maturity

12. Auto Cover Continuance Benefits

    The Auto Cover Continuance Benefit lets you defer premiums for up to 12 months while still keeping full cover under the base plan and riders, without any extra premium. If a claim arises during this period, the insurer will deduct unpaid premiums from the payout (except for WOP on ATPD claims).

    At the end of this period, you must pay the deferred premium along with the next due premium. If both remain unpaid by the end of the next grace period, the policy will move to a lapsed or paid-up status as applicable.

    This option is available only after completing three policy years with all premiums paid and can be used multiple times, provided there is a five-year gap between uses. You must notify the insurer 30 days in advance (15 days for the monthly mode). It cannot be used in the last policy year, and no interest applies on deferred premiums. You may also surrender or terminate the policy during this period.

13. Health Management Services

    When you keep your premiums paid on time, you also unlock access to helpful Health Management Services offered through the company’s registered medical partners. These services include options like getting a medical second opinion, guided case management, or even a medical consultation when you need clarity about a health condition. The idea is simple, support you in getting the right diagnosis and the right care at the right time. For the full list of services and detailed terms, you can refer to the rider policy document available on the company’s website.

14. Add-On Riders

    With these term insurance riders, you can enhance the base protection of the Bajaj Life eTouch term plan by paying nominal additional premiums. The available riders with this life insurance plan are:

    • Bajaj Life Family Protect Rider

    • Bajaj Life New Critical Illness Benefit Rider

Policy Details Under the Bajaj eTouch Term Life Insurance

Option to Change Premium Payment Frequency

You can change the premium payment frequency at any policy anniversary as per your convenience, during the premium payment tenure. 

High Sum Assured Rebates

Higher sum assured rebates will be offered on all policies with sum assured of 1 crore and above.

Preferential Premium Rates

Preferential premium rates will be offered for non-tobacco and female customers, and premium discounts will be provided on policies purchased online.

Premium Rebates/Discounts

This plan offers multiple premium rebates that can help you reduce your overall cost, depending on your profile and how you choose to buy the policy. Below is a clear snapshot of all available discounts:

• Loyalty Rebate
  Existing Bajaj Life Insurance policyholders, whether they have an in-force policy for at least three months or a matured policy, receive a 1% rebate on the premium throughout the entire premium payment term.

• Salary Rebate
  Salaried individuals are eligible for a one-time 5% rebate on the first-year premium.

• Insurance for All Discount
  First-time life insurance buyers receive a 5% discount on the first-year premium when purchasing their very first individual life insurance policy.

• Online / Direct / Web Aggregator Discount
  Purchases made through online mode, direct sales, web aggregators, or ISNP channels get a 6% rebate on the first-year premium.

• Staff Discount
  Company staff members enjoy a 4% rebate throughout the premium payment term.

• SISO (Systematic In Systematic Out) Benefit – Life Shield ROP
  For customers choosing the monthly premium mode at policy inception, a 6% premium discount is applied throughout the premium payment term. This benefit is designed to make the ROP variant more accessible for monthly payers.

• Premium Payment Mode Discount

  • Monthly mode: 6% discount

  • Annual, Semi-annual, Quarterly: Not applicable

Termination Value/Surrender Value

In the Life Shield and Life Shield Plus variants, a Termination Value is available only under the limited premium option and is paid after the PPT ends, calculated as termination factor × total premiums paid (not lower than any Early Exit Value). No value is payable under the regular premium option or during the PPT.

For the Life Shield ROP variant, a Surrender Value becomes available once premiums are paid as required:

• After 1 full year: Policy acquires a Special Surrender Value (SSV)

• After 2 full years: Policy also acquires a Guaranteed Surrender Value (GSV)

• Value payable: Higher of GSV or SSV, capped at 100% of total premiums paid

• GSV factors: Guaranteed; SSV factors: Non-guaranteed and reviewed annually

• Policy terminates immediately upon surrender

Free Look Period

You can review the terms and conditions of your policy from the date of receipt of policy documents for 30 days, and in case you are unsatisfied with the T&Cs, you can return the policy. However, keep in mind that there may be nominal charge deductions.

Grace Period

In case you fail to pay the premiums on the due date, the insurer provides a grace period of 30 days for half-yearly, quarterly, and yearly premiums and 15 days for monthly premiums. You can make the premium payment during this period without worrying about policy lapse.

Non-payment of Premiums

If you miss paying premiums even after the grace period, the Life Shield and Life Shield Plus variants simply lapse and do not offer any paid-up value. In the Life Shield ROP variant, the policy will also lapse with no benefits if you have paid less than one full year’s premiums. 

However, once you’ve completed one full year, the policy acquires a surrender value, and if future premiums remain unpaid, it automatically converts to a paid-up policy instead of lapsing. In this case, the paid-up benefits are reduced proportionately to the premiums paid, with no paid-up value for the WOP benefit, and the death benefit will never be lower than 105% of total premiums paid. You can choose to revive the lapsed or paid-up policy anytime as per the revival rules.

Policy Revival 

A lapsed or paid-up policy can be revived within five years of the first unpaid premium by paying all pending premiums with applicable taxes and interest. You may also need to undergo medical checks and meet the insurer’s underwriting requirements. Revival can be approved on revised terms, and the insurer may accept or decline the request; if declined, any amount paid for revival is refunded. The policy is considered revived only once the insurer confirms it, after which all benefits are reinstated.

Exclusions

Suicide Exclusion
If the life assured passes away due to suicide within 12 months from the policy’s start date or the latest revival date (whichever is later), the nominee will receive the higher of:

• 80% of Total Premiums Paid, or

• Surrender Value/Termination Value (as applicable)
  This applies only if the policy is active.

Accidental Death Benefit – Exclusions
The accidental death benefit will not be payable if death results from:

• Breach of law with criminal intent

• Influence of alcohol or non-prescribed drugs

• Self-inflicted injuries

• Participation in naval, military, or air force operations during peace time

• Hazardous sports, competitions, racing, or training for such activities

• Suicide

• Any aerial flight except as a fare-paying passenger on a scheduled commercial airline

• War, invasion, civil war, rebellion, riots

• Ignoring medical advice

• Nuclear contamination or radiation-related incidents

Accidental Total Permanent Disability – Exclusions
The Waiver of Premium benefit will not apply if disability occurs due to:

• Breach of law with criminal intent

• War, invasion, civil war, rebellion, or riots

• Influence of alcohol or drugs unless prescribed and taken as directed by a registered medical practitioner

• Participation in any naval, military, or air force operation

• Engaging in or training for hazardous sports, competitions, races, or similar high-risk activities

• Aviation, gliding, or aerial flight other than as a fare-paying passenger on a scheduled civilian airline

• Attempted self-injury

• Exposure to poison, gas, or fumes (whether voluntary, involuntary, accidental, or otherwise)

• Failure to follow medical advice

• Nuclear contamination or any incident involving radioactive or explosive nuclear materials