SBI Life Smart Power Plan
SBI Life- Smart Power Insurance is an Individual, Unit linked, Non-Participating Life Insurance plan that takes care of your insurance and investment needs. The product is aligned with the current investment environment and is offered at a fair premium. It is a versatile solution that meets your liquidity needs as well. The plan also addresses any additional protection needs that alter personal and financial situations.
SBI Life Smart Power Insurance offers two fund alternatives, namely (Trigger Fund Option and Smart Funds Option), giving you the freedom to manage investments of your choice actively or to take advantage of the knowledge to stabilize your portfolio against market volatility. Read more about SBI Life Smart Power Insurance’s eligibility criteria, features and benefits, exclusions, premium calculation, and more.
Here is the eligibility criteria for SBI Life Smart Power Insurance:
Minimum: 18 years, Maximum: 45 years
|Maximum Age at Maturity||65 years|
|Policy Term||10 to 30 years (both inclusive)|
|Basic Sum Assured|
Annualized Premium^ X 10
The Maximum Basic Sum assured shall be as per Board approved underwriting policy
Sum assured at any point in time, both level & Increasing cover options, will not
exceed Rs. 50,00,000
|Premium Payment Term||Same as Policy Term|
|Premium Frequency||Yearly / Half-yearly / Quarterly / Monthly|
|Premium (in multiples of Rs 100)|
Yearly: Rs. 15,000
Half-yearly: Rs. 9,500
Quarterly: Rs. 5,500
Monthly: Rs. 2,000
No limit, subject to Board approved underwriting policy
Key Features & Benefits of SBI Life Smart Power Insurance
Here is the list of key features and benefits of SBI Life Smart Power Insurance.
- Death Benefit – The nominee will get the life cover benefit if the life insured passes away during the policy term. The benefit amount is equal to the higher sum assured or fund value at the time of death. However, the candidate is given at least 105% of the total premium sum.
- Maturity Benefit: If the life insured survives until the end of the term, they will get a maturity benefit. The policyholder receives a lump sum payment for the maturity amount, representing the fund value. The maturity benefit can be paid out to a policyholder in installments, with each payment made five years following the policy’s maturity. Depending on the situation, he or she can decide whether to get money annually, half-yearly, quarterly, or monthly.
- Income Tax Benefit – Under section 80C, annual life insurance premium payments up to Rs. 1,50,000 are eligible for a deduction from taxable income.
- Accelerated Total & Permanent Disability Benefit: SBI Life will pay the life insurance benefit to the policyholder/nominee in the event of the policyholder’s total and permanent disability as a result of a disease or accident. The insurance policy expires after being paid.
- Partial Withdrawal – After five full policy years have passed or the life insured has reached the age of 18, you are permitted to make partial withdrawals from this policy. In a policy year, two free partial withdrawals are permitted. In a policy year, a maximum of four partial withdrawals are permitted. The minimum and maximum amounts for partial withdrawals should be Rs. 2,000 and 15% of the Fund Value, respectively.
- Policy Revival: The policy will expire if policyholders do not make premium payments within the grace period. A lapsed insurance can be reinstated within two years of the first missed premium. The board’s permission and the company’s underwriting policy must be met for the revival to proceed. After being approved, the policy will be reinstated as of the policy revival date.
- Free-look Period: If clients are dissatisfied with the features and policy terms, SBI Life offers a 15-day free trial period. Customers may choose to terminate the Smart Power Insurance Plan during this free-look period by giving the business written notice and a compelling argument. The business has the right to deduct stamp duty and other pertinent fees from the refundable amount. Those who bought the coverage through a distant marketing channel are entitled to a 30-day free look period.
- Grace Period: The grace period of 15 days (for monthly premium payment mode) is provided if the policyholder fails to pay the premium on or before the due date. In cases where the premium payment method is different from a monthly basis, policyholders are offered a grace period of 30 days. The insurance is still in effect throughout the grace period, and policyholders or nominees are still able to receive all the benefits outlined in the policy document.
What Things Are Not Covered Under SBI Life Smart Power?
The nominee or beneficiary of the policyholder shall be entitled to the fund value, as available on the date of intimation of death, if the life guaranteed dies by suicide within 12 months of the date of commencement of the policy or from the date of revival of the policy, as applicable. Additionally, any costs other than FMC collected after the date of death must be added back to the fund value that was available on the day the death was notified.
Disability resulting from, caused by, happening during, or as a result of the events listed below is not covered.
- Intentional self-harm, suicide attempts, mental illness, immoral behavior, or while the life assured is under the influence of alcohol, drugs, or narcotics.
- Criminal activity: Consistently engaging in illegal or criminal behavior with the desire to do so.
- War and Civil Commotion: Participating in a riot, war, invasion, hostilities (whether or not war is declared), civil war, rebellion, or revolution.
- Nuclear Contamination: a nuclear fuel source’s radioactive, explosive, or dangerous properties polluted by nuclear fuel components or an accident of that kind.
- Aviation: Life-guaranteed involvement in any flight activity, save from as a passenger in an aircraft with a commercial pilot’s license.
- Dangerous pastimes and sports: Participating in or training for any dangerous pastime, activity, or race that has not been previously disclosed and accepted by the Company.
- Any pre-existing diseases.
- Drug Abuse: Life is not guaranteed under the influence of alcohol, drugs, or narcotics unless a licensed medical professional supervises.
- Occurring as a result of the Life Assured’s employment in the military or military service of any nation at war (regardless of whether or not war has been declared), or as a result of performing responsibilities for any paramilitary, security, navy, or police organization.
Pre-existing disease means any condition, ailment, injury or disease:
- a) that a doctor has diagnosed within 48 months of the insurance policy’s effective date or the date of its renewal,
- b) For whom a physician suggested or received medical advice or treatment within 48 months before the start date of the insurance or its renewal.
- c) A condition for which any symptoms or signs have appeared and have been associated with a diagnosable sickness or medical condition within three months of the policy’s issue or its renewal.
How Does the SBI Life Smart Power Insurance Work?
Let’s take an example to understand!
Mr. Yudhveer Dagar is a serviceman by profession and a 30-year-old engineer looking to meet his increasing liabilities, and his short-term financial goals and secures his young family with SBI Life Smart Power Insurance. After getting many suggestions from friends and searching on the internet, he stumbled upon this plan and found it a great deal of investment.
|Policy Term||Premium Mode||Sum Assured||Premium||Maturity Benefit|
|20 years||Half-Yearly||Rs. 1,00,00,000||Rs. 5,00,000|
At an assumed rate of returns
Frequently Asked Questions
Before the first five years have passed, policyholders are not entitled to withdraw money from the insurance. Only starting with the sixth policy year are partial withdrawals permitted.
During a policy year, two free partial withdrawals are permitted. Over the allowed free withdrawals, there is a 100-rupee fee for each withdrawal.
Within 15 days of the policy issuance date, you have the option to terminate your SBI Life – Smart Power Plan if you are dissatisfied with its terms and features. The free-look period, often known as the trial period, is increased to 30 days if the insurance is acquired through a distance marketing channel.