Life Insurance HDFC Life Insurance Systematic Retirement Plan

HDFC Life Insurance Systematic Retirement Policy

HDFC Life Systematic Retirement Plan

Every person wishes to retire with financial freedom and a steady stream of income throughout their retirement years. Therefore, methodological preparation for the golden years of retirement is extremely pivotal to leading a stress-free life.

HDFC Life Systematic Retirement Plan is an individual/group, non-linked, non-participating, and savings deferred plan that enables the policyholder to build his/her retirement corpus. The plan gives you the flexibility to select the deferral period so you can lead a comfy life.

Continue reading to know more about the plan!

Eligibility Criteria

Minimum Entry Age	45 Years
Maximum Entry Age	75 Years
Policy Term	Whole Life
Minimum Premium Payment Term	5 Years
Maximum Premium Payment Term	15 Years
Deferment Period	Up To 15 Years

HDFC Life Systematic Retirement Plan Coverages

The following aspects are included under the plan:

Annuity Options	Option 1: Life Annuity Option 2: Life Annuity with Return of Premiums
Guaranteed Income	Covered
Grace Period	If you pay your premiums annually, half-yearly, or quarterly, you have a grace period of 30 days; and for monthly premiums, you have a grace period of 15 days.
Paid-Up	The insurance will become paid-up if a due premium is not paid when the grace period expires and it has accrued a Guaranteed Surrender Value (GSV).
Revival	The amount of time after the first unpaid premium is due is to be 5 years, unless otherwise permitted by applicable product regulations.
Free Look Period	15 Days
Maturity Benefit	Not Covered
Guaranteed Surrender Value	Covered
Loan Facility	Available

Reasons To Choose HDFC Life Systematic Retirement Plan

You should consider buying HDFC Life Systematic Retirement Plan because of the following benefits:

Death Benefit:

In case of the policyholder’s death during the deferment period, the death benefit will be higher of:

Total premiums paid accumulated at compounding interest of 6% p.a. till the date of death

105% of total premiums paid up to the date of death

Survival Benefits:

During the deferment period, no survival benefit will be paid. However, on survival after the completion of the deferment period, survival benefits will be paid as per the annuity payment frequency chosen by the policyholder.

Annuity Payouts:

Your yearly frequency annuity will be determined as follows:

Annuity Payout = Annuity Rate X Annualised Premium

After the deferment period, your annuity will be payable in arrears at the conclusion of the set annuity payment frequency.

Higher Premium Benefits:

Higher annualized premiums would result in benefits in the form of an additional annuity that would be paid as a percentage of the annuity rates.

Surrender Benefits:

In case you wish to surrender the plan, the insurer offers you the following surrender benefits:

On surrender during the Deferment Period	Higher of Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV)
On surrender after the Deferment Period	SSV shall be payable under the “Life Annuity with Return of Premiums” option

Premium Illustration Of HDFC Life Systematic Retirement Plan

You might be wondering how much HDFC Life Systematic Retirement Plan will cost you. Therefore, we have calculated the premium amounts for the plan in accordance with different parameters. Let’s take a look at the premium table below:

Name	Age	Gender	Premium Paying Terms	Annuity Amount	Premium Amount
Devika Kumari	52 Years	Female	5 Years	Rs. 35,081	Rs. 1 Lakh
Shivam Singh	55 Years	Male	7 Years	Rs. 1,06,828	Rs. 2 Lakhs
Avantika Rathore	62 Years	Female	10 Years	Rs. 2,47,272	Rs. 3 Lakhs
Kamal Gupta	72 Years	Male	5 Years	Rs. 1,43,537	Rs. 4 Lakhs

What’s Not Included Under HDFC Life Systematic Retirement Plan?

There is no maturity benefit under the plan.

You cannot avail loan against the policy.

Individuals below the age of 45 years are excluded from the plan.

No benefit will be paid upon the policy’s expiration.

Frequently Asked Questions

1. What is a deferment period under the HDFC Life Systematic Plan?

The deferment period will start when the policy is first issued. The first annuity payment is made to the annuitant in arrears at the conclusion of the deferment period at the frequency that the annuitant has selected. The annuitant must select the deferment time in the beginning, and it may be different from the term for paying premiums.

2. During the policy's deferment period and premium payment term, can I make changes?

The policy cannot be changed in any way. Once chosen, the premium payment term and deferment period will not change for the duration of the insurance.

3. What are the annuity payout options under the plan?

The plan offers you three annuity payout options: half-yearly, quarterly, and monthly.

4. Can I make a minor my nominee under the plan?

Yes. However, if the nominee is a minor, the policyholder may designate any individual to be the beneficiary of the funds secured by the policy in the event that the policyholder passes away while the nominee is still a minor.