SBI Life Smart Shield Plan
Life is full of uncertainties. To cope with these unforeseen circumstances, you need a powerful solution that meets different expectations and gives financial protection to your family. In this case, you have to be careful it is all about your family’s safety and protection. To ensure this security, SBI Life Insurance Company has come up with a magnificent plan, SBI Life – Smart Shield, that will help you maximize your family’s protection. It is an Individual, Non-linked Non-participating life insurance pure risk premium product which is a one-stop solution that meets all your insurance needs. This is designed with options and benefits specially tailored for those who want financial protection at an affordable cost so that your family stays protected, even when you are not around. To know more about this plan, have a look at the following mentions.
Eligibility Criteria
| Parameters | Descriptions |
| Age at entry | Minimum – 18 years, Maximum – 60 years |
| Maximum age at maturity | 80 years |
| Plan options | Level Term Assurance, and Increasing Term Assurance |
| Basic sum assured | Minimum – Rs. 25,00,000 (In multiples of Rs. 1,00,000) Maximum – No upper limit. The maximum basic sum assured shall be as per the board approved underwriting policy. |
| Premium payment term | Single Premium (One-time payment at policy inception)/Regular Premium (same as policy term) |
| Premium modes | Single Premium (SP) or Regular Premium (RP) (Yearly, Half-yearly, Quarterly, or Monthly) |
| Premium frequency loading | Half-Yearly: 51.00% of Annual Premium Quarterly: 26.00% of Annual Premium Monthly: 8.50% of Annual Premium |
| Minimum premium amount | Single Premium: Rs. 11,000 Regular Premium: Yearly: Rs. 3,000, Half-Yearly: Rs. 1,500 Quarterly: Rs. 750, Monthly: Rs. 300 |
| Maximum premium amount | It would depend on the sum assured is offered subject to the board-approved underwriting policy. |
What Are The Benefits of SBI Life Smart Shield?
This plan has come up with a sack full of benefits and facilities that takes care of your family’s need even when you are not around.
Level Term Assurance: If you want to go for a level cover throughout the entire term of the plan, then this is this option is suitable for you. To ensure that your family can maintain the standard of living they currently enjoy, you can choose a Sum Assured, keeping in mind their requirements.
Increasing Term Assurance @ 5% Simple per annum: When you consider that over time, factors like inflation, a higher standard of living, etc., this option would seem more reliable to you. This option increases your insurance coverage year on year for a small additional premium. To put it in simple terms, when you opt for an increasing cover option, you do not need a fresh policy even if your liabilities increase.
Death benefit – In case of death of the life assured, the effective sum assured as of the date of death will be paid to the nominee or the beneficiary.
- Effective Sum Assured for the level term as of the date of death will be the level sum assured opted.
- Effective Sum Assured for Increasing Term Assurance as on date of death will be the sum assured increased at simple 5% per annum as per the schedule given to the policyholder at the time of commencement of the policy.
Survival benefits – No Survival benefit is available under this product.
Maturity benefits – Not available.
Grace period – 30 days for yearly, half-yearly, and quarterly premiums, and 15 days for a monthly premium.
Free look period – 15 days for policies sourced through any channel mode other than Distance Marketing and electronic policies, and 30 days for electronic policies and policies sourced through Distance Marketing.
Tax exemption benefits – With this plan, you may be eligible for Income Tax benefits/exemptions as per the applicable income tax laws in India, which are subject to change from time to time.
Key Highlights of SBI Life Smart Shield
Apart from the above benefits and facilities, this policy has also presented some special features and advantages that have made the policy unique and popular among consumers. To know about these, keep an eye on the following mentions.
Non-smoker Rate:
You are eligible to get discounts on premiums for being a non-smoker under this Plan. it is subject to the terms and conditions of the policy.
Special Premium Discounts:
Special premium discounts are available when you opt for a large Sum Assured, delivering further value. Details are as below:
| Sum assured slab | Discount as a percentage of premium |
| Rs. 55 lakhs to Rs. 99 lakhs | 10% |
| Rs. 100 lakhs to Rs. 4.99 crores | 25% |
| Rs. 5 crores and above | 30% |
Staff Discount:
The product also provides a 5% discount on the tabular premium for regular premium policies and a 6.5% discount on the tabular premium for single premium policies for employees, retired employees, VRS holders, minor children & spouses of employees of SBI Life Insurance Co. Ltd, State Bank of India, RRBs sponsored by State Bank of India and subsidiaries of State Bank group.
Rider Benefits:
You have the option to avail following riders for complete protection at an affordable cost. Riders can be availed only at the inception.
| Parameters | Details |
| Rider options |
|
| Age at entry | Minimum – 18 years Maximum – 65 years |
| Maximum age at maturity | 75 years |
| Policy term | Minimum: 5 years Maximum: 75 less entry age Note: The rider policy term cannot be more than the base policy term. |
| Basic sum assured | Minimum: Rs. 25,000 Maximum: Rs. 50,00,000 Note: The rider sum assured cannot be more than the basic sum assured. |
| Conditions |
|
Surrender Value:
Surrender is allowed only for single premium cases. Surrender benefits will be paid immediately on the request, surrender is allowed from the first policy year. The surrender value is paid, as per the plan option opted by you:
| Plan options | Surrender value |
| Level Term Assurance | Single Premium x 75% x Outstanding Term to maturity/Total Term. |
| Increasing Term Assurance | Single Premium x 80% x {Outstanding term to maturity/Total Term} x {Average of effective Sum Assured at surrender and effective Sum Assured at the time of maturity/Average of initial Sum Assured and effective Sum Assured at maturity} |
What Are The General Exclusions of SBI Life Smart Shield?
You don’t fully understand a policy until you clearly know its exclusions. Therefore, to offer you a better idea of the policy, and avoid future complications, here are the general exclusions of the SBI Life Smart Shield Policy.
- Anything that does not follow the terms and conditions of the company as well as of the policy will fall under the category of exclusions.
- Any kind of breach of law with criminal intent will be permanently excluded from the policy.
- In case of death 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 of the policyholder will be entitled to 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, provided the policy is in force. After paying the benefit as stated above, the contract will be terminated. The premium to be considered for the purpose would be the base premium only.
- Exclusions for the Riders – The following exclusions will be considered:
- Infection: Death caused or contributed to by any infection, except infection caused by an externally visible wound accidentally sustained.
- Drug Abuse: Life assured under the influence of Alcohol or solvent abuse or use of drugs except under the direction of a registered medical practitioner.
- Self-inflicted Injury: Intentional self- Inflicted injury, including the injuries arising out of attempted suicide.
- Criminal acts: Life assured involvement in Criminal and/or unlawful acts with unlawful or criminal intent.
- War and Civil Commotion: War, invasion, hostilities (whether war is declared or not), civil war, rebellion, revolution, or taking part in a riot or civil commotion.
- Nuclear Contamination: The radioactive, explosive, or hazardous nature of nuclear fuel materials or property contaminated by nuclear fuel materials or accident arising from such nature.
- Aviation: Life assured participation in any flying activity, other than as a passenger in a commercially licensed aircraft.
- Hazardous sports and pastimes: Taking part or practising for any hazardous hobby, pursuit, or any race not previously declared and accepted by the Company.
How Does SBI Life Smart Shield work?
Once you know about the policy’s inclusions and exclusions, the next important thing to understand is how this policy works. For a comprehensive idea of the policy, here is an example.
Mr. Gautam, a 36-year-old businessman, bought SBI Life Smart Shield Policy. Let us find out how much premium amount he has to pay to avail of the benefits of the policy for the given credentials.
| Parameters | Credentials |
| Age | 36 years |
| Smoker | No |
| Plan variant | Level Term Assurance |
| Policy Term | 15 years |
| Premium Frequency | Single |
| Sum Assured | Rs. 50 lakhs |
| Rider Option | SBI Life Accidental Death Benefit Rider |
| Term for ABD Rider | 5 years |
| Sum assured for ABD Rider | Rs. 25000 |
| Premium amount excluding taxes | Rs. 79,849 |
Frequently Asked Questions
The conditions for the monthly premium payment mode are as follows:
- Up to 3 Months’ premium has to be paid in advance and renewal premium payment must be through an Electronic Clearing System (ECS) or Standing Instructions (where payment is made either by direct debit of a bank account or credit card).
- For the Monthly Salary Saving Scheme (SSS), up to a 2-month premium has to be paid in advance and renewal premium payment is allowed only through Salary Deduction.
These riders are available with both Level Term Assurance and Increasing Term Assurance Plan Options. The riders will have a level cover even if they opt for the Increasing Term Assurance.
Riders may be canceled on any policy anniversary with advance notice in writing.
In case your policy has lapsed, you can start enjoying the benefits of the policy by reviving it. For that, you need to write to the company, and ask for the revival of your policy, along with the applicable options and riders. A lapsed policy may be revived within 5 consecutive years from the date of the first unpaid premium and before the date of maturity while the life assured is still alive. It is subject to satisfactory proof of insurability as required by the company from time to time. The revival of the base policy and riders will be affected as per the prevailing board-approved underwriting policy.
The plan does not offer any survival benefit or paid-up value.
In case of the unfortunate demise of the life assured during the term of the policy, the nominee will receive the benefits, depending on the plan option you have chosen. To get this financial security, you need to pay as little as Rs. 3,000 per annum for regular premium and Rs. 11,000 in case you want to go for the Single Premium Option.
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