SBI Life – Smart Power Insurance Plan

SBI Life – Smart Power Insurance Plan

SBI Life Insurance Company is a joint venture between State Bank of India, India’s largest bank and BNP Paribas Cardif, a leading global insurer.SBI life insurance offers many groups and individual insurance products at a competitive rate. With many attractive new age plans, SBI life helps its customer to find the right product as per their specific needs.

Features of SBI Life – Smart Power Insurance Plan

• Two fund strategies with 7 investment fund options to invest in
• Two plan options to choose for life cover
• Inbuilt accelerated total and permanent disability benefit

Benefits of SBI Life – Smart Power Insurance Plan

• Flexibility : SBI life’s smart power insurance offers many flexible options
  • Switching from one investment fund to another depending on market conditions and your changing needs. Two switches are free in a policy year.
  • From 2^nd year onwards, you can redirect your premium among the seven investment fund options available. One premium redirection is free per year.
  • Two free partial withdrawals are allowed in a policy year from 6^th year onwards.
  • Your investment portfolio can be shifted from one fund strategy to another (among trigger fund and smart fund option) at any policy anniversary date.
• Death benefits : Higher of the sum assured or the fund value is paid out to the nominee in case of death of the policyholder during the policy term.
• In-built benefits : Accelerated total and permanent disability benefits cover offered in the policy advance the benefits to the life assured to cover hospitalisation cost in case he/she suffers total permanent disability due to an injury or illness.
• Maturity benefits : Fund value of the policy is paid out to the policyholder on maturity if he/she survives the policy term. Fund value depending on the NAV (net asset value) of the fund in which the investment is made.
• Tax benefits : For the premium paid and the benefits received, tax deduction and exemption benefits can be enjoyed under Section 80C and Section 10 (10D) of the Income Tax Act, respectively.

Eligibility Criteria for SBI Life – Smart Power Insurance Plan

Premium range depending on the premium payment frequency

Who can buy SBI Life – Smart Power Insurance?

Any individual investor looking for investment options that can provide financial security and long-term wealth maximization can consider buying SBI life –smart power insurance. It is suitable for long-term investors of any risk profile as there are fund options to fit into every investor type. However, it’s important to meet the eligibility conditions for investing.

When should you buy SBI Life’s Smart Power Insurance?

Anytime is a good time to buy SBI Life’s smart power insurance as long as your goals are set right. You can choose the investment fund in the plan depending on your goal, risk appetite and market situations.

Documents required for buying SBI Life’s Smart Power Insurance

• PAN card is mandatory
• Identity proof : Aadhaar card/PAN Card/Passport/Driving license etc
• Address proof : Bank Statement/latest electricity bill etc
• Age proof : Birth certificate/school certificate/ Passport etc
• Income proof : Employer certificate/IT return

Discontinuance of premium in SBI Life’s Smart Power Insurance

If you discontinue the premium payment, you can revive the policy or completely withdraw it or convert the policy into paid-up policy. There are two scenarios in this.

1. If the premium is discontinued within the first five years of policy
   1. Fund value as on date will be disinvested and transferred to ‘discontinued policy fund’ which invests in money market instruments and government securities.
   2. The policy can be revived within two years from the date of discontinuance.
   3. If revival is not done, the discontinued policy fund value will be paid out on the 1^st business day of the 6^th policy year.
2. If the premium is discontinued after five years of policy
   1. The policy can be revived within two years. If revival is not done, the policy is converted into paid-up value status and the fund value will be paid out on the date of maturity.

Surrender of SBI Life’s Smart Power Insurance

Surrender can be initiated anytime during the policy term. If the surrender is initiated within the first five years, fund value as on date is transferred to discontinued policy fund and the proceeds are paid only on the 1^st working day of the 6^th policy year. If surrender is initiated after five years of the policy, the surrender value is paid immediately.

Loan facility in SBI Life’s Smart Power Insurance

Loan facility is not available for this plan.

Exclusions in SBI Life’s Smart Power Insurance

If the life assured, sane or insane, commits suicide within the first year of commencement of policy or from the date of policy revival, the policy shall be void. Only fund value as on date of death intimation is paid to the beneficiary.

Conclusion

SBI Life’s smart power insurance is a competent product that offers investment and insurance benefit under one umbrella with greater flexibility, transparent charge structure and liquidity. With varying fund options and strategies, the plan is suitable for the investor of diverse goals and risk appetite.

FAQ’s