SBI Life Smart Champ Plan

SBI Life Smart Champ plan is a non-linked, individual, and participating life insurance plan, which is specifically designed to fit your child’s educational needs and protect them from unknown future events. You may assure a bright future for your child and save money for their future schooling with the aid of this plan.

The plan provides guaranteed benefits that are paid out exceptionally early in the insurance period. The plan accrues bonuses at the conclusion of each insurance year until the kid reaches the age of 18.

Eligibility Criteria

Minimum Entry Age	Life Assured: 21 Years, Child: 0 Years
Maximum Entry Age	Life Assured: 50 Years, Child: 13 Years
Minimum Age At Maturity	Life Assured: 42 Years, Child: 21 Years
Maximum Age At Maturity	Child: 70 Years
Policy Term	8 To 21 Years
Basic Sum Assured	Rs. 1 Lakh To Rs. 1 Crore

Basic Features Of SBI Life Smart Champ

Following are some of the key features of the SBI Life Smart Champ plan:

Grace Period	For yearly, half-yearly, and quarterly policies: 30 days For monthly mode policies: 15 days
Free Look Period	For manually purchased policies: 15 days For policies purchased via distance marketing: 30 days
Policy Revival	Within two years of the policy’s expiration, it may be reinstated.
Premium Frequency	Single Premium/Yearly/Half-Yearly/Quarterly/Monthly
Premium Frequency Loading	Half-Yearly: 51.00% of Annual Premium Quarterly: 26.00% of Annual Premium Monthly: 8.50% of Annual Premium

Benefits Offered By SBI Life Smart Champ

Some of the reasons why you should choose the SBI Life Smart Champ plan are discussed below:

Death Benefit

Depending on which occurs first, the SBI Life – Smart Champ Insurance plan covers death payments in the event of accidental total permanent disability (ATPD). As death benefits, the policy offers either the basic sum assured or 105% of all premiums paid up until death.

Smart Benefit

After the child turns 18, 19, 20, and 21, Guaranteed Smart Benefits are payable in four equal annual installments. The basic sum assured+ plus any simple reversionary bonuses, if any, are divided into four equal payments as part of the Smart Benefits. If declared, the terminal bonus will be paid with the final Smart Benefits payment.

Triple Protection

With your SBI-Life Smart Champ Insurance plan, you will have three levels of protection in the event that a terrible circumstance arises during the policy’s term.

The following benefits are provided by the policy in the situation: Immediate Payment, Waiver of Due Premium, and Smart Benefits. When something unpleasant occurs to the life assured, the Immediate Premium option provides the basic sum assured. With the Waiver of Due Premium option, you can prevent leaving a financial burden on your family. As a result, you won’t have to pay any more premiums. When the child reaches the age of 18, the policy guarantees Smart Benefits in 4 equal installments.

Flexibility

The policy gives you a lot of flexibility when it comes to making premium payments. Depending on your preferences, you can pick between a single premium insurance and a limited premium payment policy. You have the option of making a one-time premium payment or a limited premium payment.

Tax Benefits

You may be eligible for income tax benefits by purchasing the SBI Life – Smart Champ Insurance policy under section 80C of the Indian Income Tax Act, 1961. However, depending on how Indian tax laws evolve, these benefits could change.

How Does SBI Life Smart Champ Plan Work?

Let’s assume that the age of the life assured is 30 years and of the child is 0 years. The policy term is 21 years and the premium payment term is 18 years. The basic sum assured is Rs. 10 lakhs and the basic premium is Rs. 51,790 per annum exclusive of applicable taxes.

The life assured pays Rs. 51,790 per annum for 18 years or till his child turns 18. Therefore, the smart benefits payable under the plan after 18 years will be as follows:

Year	Smart Benefit Instalments @ 4%	Smart Benefit Instalments @ 8%
18	Rs. 3,08,500	Rs. 4,16,500
19	Rs. 3,08,500	Rs. 4,16,500
20	Rs. 3,08,500	Rs. 4,16,500
21	Rs. 3,43,600	Rs. 5,16,400

Exclusions Under SBI Life Smart Champ Plan

Within a year of the policy’s initiation, 80% of the premiums paid will be distributed to the nominee if the life assured commits suicide. 80% of premium payments or the surrender value, whichever is higher, would be reimbursed in the event of suicide within a year of the revival date, and the policy would be canceled.

Frequently Asked Questions

1. Is there any rider with the plan?

No. There is not any rider available under the plan.

2. What are the minimum and maximum premiums paid under the plan?

The minimum premiums paid under the SBI Life Smart Champ plan are as follows:

Premium Payment Mode	Minimum Premium
Monthly	Rs. 500
Quarterly	Rs. 1500
Half-Yearly	Rs. 3000
Annual	Rs. 6000
Single	Rs. 66,000

The maximum premium is based on the maximum basic sum assured.

3. Is the nomination accepted under the plan?

Yes. Nomination is accepted under the plan.

4. When can I surrender the policy?

After three years of coverage, the policy may be surrendered because it will have accrued some value that can be repaid. The greater of the Special Surrender Value (SSV) or Guaranteed Surrender Value (GSV) will be paid upon surrender.