HDFC Life Personal Pension Plus Plan

The following are the salient features and benefits of HDFC Life personal pension plus.

1. Death Benefit – If the policyholder passes away prior to the policy’s maturity, they will receive an Assured Death Benefit equal to 101% of all premiums (taxes excluded) paid up until the time of death. Additionally, the policy’s accrued bonuses will be given to him or her. It should be emphasized that the death benefit will always be at least 105% of the premiums paid for the duration of the insurance. The policyholder’s nominee may purchase an immediate annuity from HDFC Life with all or part of the death benefit.

The nominee also has the option of withdrawing the entire death benefit as a lump sum.

2. Surrender – To reap the greatest benefits from your insurance policy, it is crucial to keep it in effect until the conclusion of the term. But occasionally, you can find yourself unable to. After three years of premium payments, the policy will earn a Guaranteed Surrender Value (GSV). As stated in the terms and conditions, the GSV is a portion of all premiums that have been paid. The surrender value of the bonuses will be applied when the policy gets GSV. The section under “Policy Proceeds” contains information on the sum that will be given to you upon surrender.

3. Grace Period – This is the period of time following the premium due date when the policy will be in full force and effect. The grace period for the annual, semi-annual, and quarterly premium due dates under the HDFC Life Personal Pension Plus policy is 30 days. A monthly frequency policy has a grace period of 15 days after the due date of the premium. The insurer will honor any valid claims you make during this time if they are covered by the policy.

4. Lapsation – If the policyholder doesn’t pay the required premium before the grace period’s conclusion, the policy will become lapsed, assuming it hasn’t already gained a surrender value. The risk cover won’t exist in the case of expired insurance, and benefits won’t be paid out. If necessary, a lapsed policy may be reinstated.

5. Free-Look period – Within 15 days of the day the policy was received, you have the option of returning it to the insurer with the appropriate justifications if you do not agree with the terms and conditions stated in the policy. The free-look period will be 30 days if the policy was obtained by distance marketing, or through methods where there is no face-to-face connection, like the phone or the internet.

The premium must be refunded once the stamp duty has been subtracted to the insurer when they receive the cancellation letter and original policy document. The policy cannot be revived, reinstated, or restored once it has been returned.

6. Flexible Investment Horizon: You can select your investment horizon from 10 to 40 years when you buy the HDFC Life Personal Pension plus insurance. Additionally, you will get an assured payout at death or vesting equivalent to 101% of the total premiums paid to date.

7. Revival Benefit: Depending on the terms and conditions set forth by the insurer, a lapsed or paid-up policy may be reinstated during the revival period. You must pay all past due premiums, interest on past due rates, and all necessary taxes in order to be reinstated. 9.5% per year is the current interest rate for resurrection. For handling the revival, a fee of Rs. 250 will be charged. Before the policy term expires and five years after the first unpaid premium was due, there will be a revival period.