HDFC Life Sanchay Plus Plan
We all have dreams and responsibilities to fulfill in life. However, the unpredictability of life and the sky-rocketing inflation has often put a financial burden on our shoulders that can create hindrances to achieving our dreams. For this, HDFC Life Insurance Company has come up with the Sanchay Plus plan that ensures financial security through meticulous planning for key life stages such as marriage, parenthood, retirement, etc. this non-participating, non-linked, savings insurance plan can not only help you to achieve financial security but also it safeguards your family against the unforeseen events of life, even when you are not around. To know more about this plan, have a look at the following mentions.
|Minimum entry age|
Guaranteed Income – 5 years, Guaranteed Maturity – 5 years
Life Long Income – 50 years, Long Term Income – 5 years
For POSP Variant – Same
|Maximum entry age|
In general, for all the plan options – 60 years
For POSP Variant:
Guaranteed Income – 54 years, Guaranteed Maturity – 55 years
Life Long Income – 59 years, Long Term Income – 59 years
|Minimum maturity age|
Guaranteed Income – 18 years, Guaranteed Maturity – 18 years
Life Long Income – 56 years, Long Term Income – 18 years
For POSP Variant – Same
|Maximum maturity age|
Guaranteed Income – 73 years, Guaranteed Maturity – 80 years
Life Long Income – 71 years, Long Term Income – 71 years
For POSP Variant – 65 years
|Minimum installment premium|
Annual: Rs. 30,000, Half-yearly: Rs. 15,000
Quarterly: Rs. 7,500, Monthly: Rs. 2,500
For POSP Variant – Same
|Maximum installment premium|
No upper limit, subject to Board Approved Underwriting Policy (BAUP)
For POSP Variant:
It is subject to a maximum Sum Assured on Death of Rs. 25,00,000. The acceptance of any case is subject to Board approved underwriting policy.
|Premium payment frequency||Annual, half-yearly, quarterly, and monthly|
|Plan options||Premium paying term||Policy term|
|Guaranteed maturity||5 years||10 to 20 years|
|6/7/8/9/10 years||12 to 20 years|
|Guaranteed income||7 years||7 to 12 years|
|8 years||8 to 13 years|
|9 years||9 to 14 years|
|10 years||10 to 15 years|
|11 years||11 to 16 years|
|12 years||12 to 17 years|
|Life long income||5 years||6 years|
|6 years||7 years|
|10 years||11 years|
|12 years||13 years|
|Long term income||5 years||5 to 10 years|
|6 years||6 to 11 years|
|7 years||7 to 10 years|
|8 years||8 to 11 years|
|9 years||9 to 11 years|
|10 years||10 to 12 years|
|11 years||11 and 12 years|
|12 years||12 and 13 years|
Benefits of HDFC Life Sanchay Plus
This plan has come up with a sack full of benefits and facilities to offer your protection and safety. The following table gives you a brief detail about the same.
Guaranteed maturity – You are eligible to avail of a guaranteed maturity benefit payable as a lump sum amount at the end of the policy term upon payment of all due premiums and the life assured surviving the policy term. The maturity benefit is equal to Guaranteed Sum Assured on Maturity plus accrued Guaranteed Additions.
Guaranteed income – You will get this maturity benefit in the form of Guaranteed Income for a fixed term of 10 or 12 years upon payment
of all due premiums and the life assured surviving the policy term. The amount of guaranteed income depends upon the Premium Payment Term.
Life long income – This option offers a benefit of a guaranteed income up to age 99 years and a return of premium at the end of the payout period.
Long term income – This option offers the benefit of guaranteed income for a fixed term of 25 or 30 years and a return of premium at the end of the payout period.
For all the plan options – In case of death of the Life Assured during the policy term of an active policy, the death benefit equals to Sum Assured on Death plus
Accrued Guaranteed Additions shall be payable to the nominee.
Sum Assured on Death is the highest of:
HDFC Life Income Benefit on Accidental Disability Rider – A benefit equal to 1% of Rider Sum Assured per month for the next 10 years, in case of an Accidental Total Permanent Disability. No maturity benefit is available under this rider.
HDFC Life Critical Illness Plus Rider – A lump sum benefit equal to the Rider Sum Assured will be payable in case you are diagnosed with any of the 19 Critical Illnesses and survive for a period of 30 days following the diagnosis. There is no
maturity benefit available under this rider.
|Policy loan||Once your policy has acquired the surrender value, you may avail of a policy loan up to 80% of the surrender value of your policy that is subject to the applicable terms and conditions of the company.|
|Tax benefits||Tax exemption benefits are available as per the prevailing tax laws.|
Key Highlights of HDFC Life Sanchay Plus
Apart from the above general benefits, this plan has come up with many unique advantages which have made the plan quite popular among consumers. The mentions are as follows.
Lapsed Policy – If you fail to pay the premium amount even within the grace period, the policy will lapse and the benefits will cease and nothing is payable on death, maturity, or surrender.
Paid-up Benefit – If a due premium is unpaid upon the expiry of the grace period, the policy will become reduced paid-up if it has acquired a Guaranteed Surrender Value upon the payment of at least the first two years’ premiums. Once the policy becomes reduced paid-up, the maturity and death benefit payouts will be computed by multiplying the death/maturity payouts. Under the Guaranteed Maturity option, no further Guaranteed Additions will accrue in the future.
Surrender – The policy shall acquire a Guaranteed Surrender Value (GSV) upon the payment of at least the first two years’ premiums. The minimum GSV shall be the sum of the GSV of the total premiums paid and the Surrender Value of the Guaranteed Additions already accrued to the policy, if applicable.
Revival – You can still revive your lapsed/paid-up policy within the revival period. For that, you will need to pay all the outstanding premiums and interest on the outstanding premiums and taxes and levies as applicable. The current rate of interest for revival is 9.5% per annum. The revival period shall be of five years from the due date of the first unpaid Premium and before the expiry of the Policy Term.
Cancellation within the free look period – If you are not satisfied with the terms and conditions of the policy, you can cancel the policy at any time within the free look period. The free look period is 15 days from the date of receipt of the policy, and for the policies purchased through Distance Marketing is 30 days. In that case, you need to submit a written application to the company stating the reason for cancellation.
Enhanced Benefit For High Premium Policies – The company also offers enhanced benefits for the policies with an Annual Premium of more than Rs. 1.5 lakhs. It depends on various factors.
Income Payout – The policyholder can choose to receive the Annual income under the Guaranteed Income, Lifelong Income, and Long Term Income options at less frequent intervals. Income other than annual frequencies will be allowed. The amount of income will be as given below:
|Frequency||Income (Per frequency)|
|Semi-annual||98% of Annual Income x 1/2|
|Quarterly||97% of Annual Income x 1/4|
|Monthly||96% of Annual Income x 1/12|
Exclusions of HDFC Life Sanchay Plus
Understanding a policy is not completed unless and until you go through the exclusions of it thoroughly. Therefore, to provide you with a comprehensive idea about HDFC Life Sanchay Plan and to avoid future complexities, here are its general exclusions of it.
- Anything that does not fulfill the terms and conditions of the company will fall under the category of exclusions.
- Any kind of breach of the law will not be permitted.
- In case of death of the life assured due to suicide within 12 months from the date of commencement of risk under the policy or from the date of revival of the policy, as applicable, the nominee or beneficiary will be eligible to avail of at least 80% of the total premiums paid till the date of death or the surrender value available as on the date of death whichever is higher, only if the policy is an active policy.
Calculate Premium For HDFC Life Sanchay Plus Policy
After having a comprehensive idea about the plan, the next important thing is to know the premium value that you have to pay for availing of the benefits of the policy. So, here is an example.
Suppose Mr. Agarwal, a 36-year-old business bought the HDFC Life Sanchay Plus plan. Let us find out how much premium amount he has to pay for the given data under this policy.
|Plan option||Long Term Income|
|Premium payment frequency||Annual|
|Policy term||13 years|
|Premium paying term||12 years|
|Guaranteed income frequency||Annual|
|Income period||25 years|
|Guaranteed Payout Amount||Rs. 145488|
|Sum assured||Rs. 1225700|
|Sum Assured on Death (at the inception of the policy)||Rs. 1572386|
|Installment Premium without GST||Rs. 1 lakh|
|Installment Premium with First Year GST||Rs. 1,04,500|
|Installment Premium with GST 2nd Year Onwards||Rs. 1,02,250|
Frequently Asked Questions
The premium payable at other than Annual frequency shall be calculated by multiplying the Annual Premium by Conversion Factor as per the following:
Guaranteed Additions (GA) will accrue at every policy anniversary as detailed below
- For PPT 5 years GA will start accruing from year 6 onwards
- For PPT 6, 7 & 8 GA will start accruing from year 7 onwards
- For PPT 9 & 10 GA will start accruing from year 8 onwards
On the death of the Life Assured during the payout Period, the nominee will continue receiving Guaranteed Income as per Income Payout Frequency & benefit option chosen till the end of the Payout Period. The nominee will have an option to receive the future income as a lump sum, which will be the present value of future payouts, discounted at a rate that is computed using the prevailing interest rates.
The grace period under this policy is of 15 days for the monthly frequency of premium payment and 30 days for other frequencies.
Change of Premium Payment frequency and Change of Income Payout frequency is allowed even after the inception of the policy. Plan Option, once chosen at the time of purchase cannot be changed throughout the policy term.