SBI Term Life Insurance
SBI Life Endowment Policy

SBI Life Endowment Plans

SBI endowment plans offer a perfect blend of investment and insurance which makes them a unique financial instrument. These plans are designed to provide policyholders with both the security of insurance coverage and the benefits of investment returns. If the policyholder survives until the plan reaches its maturity date, they will receive the sum assured along with any accumulated bonuses as a maturity benefit. 

In the unfortunate event that the policyholder passes away before the plan’s maturity, the endowment plan ensures that the beneficiaries receive a death benefit. It offers significant financial protection to the policyholder’s loved ones, which may provide them with a secure financial future. Furthermore, SBI’s endowment plans are a lucrative option due to their dual features of savings and insurance. These plans typically have higher premiums than standard insurance policies, but they also yield higher returns.

Key Features and Benefits of SBI Endowment Plans

Here is a list of the features and benefits of endowment plans by SBI. 

  • Coverage from Risks 

One of the major benefits of choosing SBI endowment plans is that they provide a significant safety net by paying a lumpsum as a death benefit to the nominees if an unexpected event occurs. With such plans, your family is financially protected and can navigate monetary difficulties in your absence. 

  • Maturity Benefits 

Another major highlight of SBI endowment plans it come with maturity benefits which means if the policyholder survives throughout the policy term, they receive a guaranteed maturity benefit. The lump sum amount is designed to help you meet both long-term and short-term financial needs and aspirations which may provide financial stability and flexibility for multiple goals. 

  • Tax Benefits 

Another major reason to invest in endowment plans by SBI is that they offer attractive tax returns under Section 80C of the Income Tax Act, of 1961. Whatever premiums you pay towards endowment plans can be claimed as tax deductions which can reduce your taxable income. Additionally, the maturity benefits received are also eligible for tax exemptions which allow you to save on taxes when the policy matures.

Top SBI Endowment Plans Offered

Listed below are the types of SBI endowment plans offered.

1. SBI Life- Smart Future Choices

SBI Life- Smart Future Choices is an individual, non-linked, participating life insurance savings product designed to cater to both your personal aspirations and your family’s needs. Furthermore, this endowment plan by SBI enables you to balance your dreams and responsibilities seamlessly. With SBI Life- Smart Future Choices, you can get cash bonuses that can be utilized to fulfil your personal goals, whether they are related to buying a home, travelling, children’s education, and more.

ParametersDetails
Age at Entry

Minimum- 18 Years

Maximum- 50 Years

Age at Maturity70 Years
Policy Term

Minimum- 12 Years

Maximum- 30 Years

Premium FrequencyYearly, half-yearly, and Monthly

Key Features & Benefits: 

  • Cash Bonus

One of the major highlights of the plan is that it offers a cash bonus if declared and provides regular income throughout the policy term. Furthermore, you will have the flexibility to either receive the bonus as it is declared or defer it to earn interest. 

  • Survival Benefit 

Another major benefit of the plan is that it comes with the Flexi Choice Benefit Option. Under this option, you are entitled to receive a survival benefit of 10% of the basic sum assured at specific intervals, depending on the policy term and premium payment term chosen. Furthermore, these benefits can be taken as scheduled payouts or deferred to accumulate interest, which allows you to withdraw them when needed. 

  • Auto Cover Period 

One of the plan’s biggest highlights is its Auto Cover Period, which provides continued coverage under certain conditions. If at least the first two full years’ premiums have been paid and a subsequent premium is missed, an Auto Cover Period of one year from the due date of the first unpaid premium will be available.

2. SBI Life- Shubh Nivesh

SBI Life-Shubh Nivesh is a comprehensive individual, non-linked, participating life insurance savings product designed to address your financial and protective needs historically. With Shubh Nivesh by SBI Life, you can now achieve these goals with greater ease and confidence. Furthermore, the plan offers a unique blend of protection, savings, and a steady income source while helping you build a robust financial foundation for the future.

Parameters Details 
Age at Entry

Minimum- 18 Years

Maximum-

Endowment Plan

Regular Premium: 55 Years

Single Premium: 60 Years

Endowment With Whole Life Option: 50 Years

(For Both Single/regular premium)

Maximum Age at Entry65 Years
Basic Sum Assured

Minimum- Rs. 75000

Maximum- No Limit

Premium FrequencySingle Premium/Yearly/Half-yearly/Quarterly/Monthly

Key Features and Benefits: 

These are as follows:

  • Flexible Life Cover 

One of the biggest benefits of the plan is that it enables you to choose a life cover duration of up to 30 years or opt for whole life coverage based on your specific insurance needs and preferences. Furthermore, this flexibility ensures that your policy aligns with your long-term financial goals and protection needs. 

  • Reversionary Bonuses 

Another major reason to invest in this plan is that it may allow you to enjoy simple reversionary bonuses throughout the policy term. These bonuses contribute to increasing the value of your policy, which can enhance your overall returns and financial security. 

  • Affordable Comprehensive Coverage 

Another major highlight of the plan is that it offers comprehensive coverage at a cost-effective rate with the option to enhance your protection through three available rider options.

3. SBI Life- Smart Bachat

SBI Life- Smart Bachat is an individual, non-linked, participating life insurance savings product that is designed to support you through different stages of life. Furthermore, the plan is designed to help you accumulate savings to meet your financial needs at every stage while ensuring the protection of your loved ones. The plan allows you to build a financial cushion for your future aspirations, whether you’re planning to secure a comfortable life or invest in a home purchase.

ParametersDetails
Age at Entry

Minimum: Option A- 6 years

Option B- 18 Years

Maximum- 50 Years

Maximum Age At Maturity65 Years
Basic Sum Assured

Minimum: Rs. 1,00,000 (in multiples of Rs. 1000)

Maximum: No Limit

Premium FrequencyYearly, half-yearly, quarterly, monthly

Key Features & Benefits: 

These are as follows:

  • Life Insurance Coverage 

One of the major highlights of the plan is that it allows you to choose from two different plan options to tailor the life insurance coverage according to your needs. Thus, you can receive the protection that best suits your financial goals. 

  • Reversionary Bonuses

With this plan from SBI, the policyholder can easily enjoy such bonuses during the policy term. 

  • Built-in Premium Waiver Benefit 

Another major benefit of the plan is that it enables you to enjoy the added advantage of a built-in premium waiver benefit. Furthermore, it ensures that your policy remains active and continues to provide coverage even if you are unable to pay the premiums due to unforeseen circumstances.

Functioning of SBI Endowment Plans

This can be explained with the help of an example. 

Mr. Garry Sandhu, who is just 35 years old, and working as a senior software consultant in New Delhi, decided to choose the SBI Life- Smart Bachat policy with coverage designed to fit his long-term financial needs. At the age of 35, he opted for a policy term of 12 years with a premium payment term of 6 years which ensures a stable and manageable investment. Furthermore, his annualized premium stands at Rs. 15,382. The basic sum assured under the plan is Rs. 1,00,000. In the event of his demise, the death benefit is structured to provide substantial support at an assumed rate of 4%; the benefit will then amount to Rs. 1,59,570 and at an 8% rate, it increases to Rs. 1,73,945 which offers significant financial assistance for his beneficiaries.

How To Buy an SBI Endowment Plan?

If you are looking to buy an SBI Endowment plan, follow these steps.

  • In the first step, you will need to visit the official website of SBI Life Insurance.
  • After that, you will need to hover your cursor over the “Products” section at the top, then take your cursor over “Individual Life Insurance Plans,” and then click on “Savings Plan.”
  • When you scroll down a bit, you will need to choose an endowment plan. For example, if you choose SBI Life—Shubh Nivesh Plan, click on it to open the plan page.
  • Then, you will need to enter your name and date of birth, select your gender, and fill in all the details, like policy term, premium frequency, and more. Once you are done entering all the details, you need to click on the “Calculate Button.”
  • After that, you will receive a message “Success! Your results are displayed to the right. You may choose to meet one of our advisors or send the detailed result to your email address”. Click on close and you will see the premium details on your right-hand side.
  • If you are happy with the details, you will need to click on “Give a Missed Call” in the orange-coloured button. After that, the company will call you and guide you in buying the plan.

Frequently Asked Questions

Listed below are the frequently asked questions related to the SBI endowment plans.

Yes, SBI endowment plans are a good investment for building savings over time. Furthermore, they can help you achieve your long-term financial goals by encouraging disciplined savings.

Yes, you can receive tax benefits with the SBI endowment plan.

The minimum basic sum assured is Rs. 6,55,000 and there is no maximum limit.

The following are the riders available under SBI Life- Shubh Nivesh. 

  • SBI Life- Preferred Term Rider 
  • SBI Life- Accidental Death Benefit Rider
  • SBI Life- Accidental total and permanent disability benefit rider.

Yes, you can select the policy term based on your insurance needs. 

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