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SBI Life - Shubh Nivesh

Smart Shield

Introduction:

SBI Life - Shubh Nivesh is a non- linked, with profit Endowment Assurance product with an option of Whole Life coverage. The basic purpose is to provide Savings, Income and Insurance Cover to you and your family. Not only you can save regularly for your future but you also have the flexibility to receive the maturity amount as a lump sum or as a regular income for a chosen period, depending upon your needs.

Key Features:

  • A savings plan with flexibility of availing whole life insurance as an add-on benefit
  • Benefits including Wealth Creation, Insurance cover and Regular flow of income
  • Flexibility to choose between Single or Regular premium payment
  • Additional rider benefits at an affordable cost
  • Option to receive the Basic Sum Assured at regular intervals over a stipulated time period of 5/10/15/20 years
  • Comprehensive risk coverage through 3 Riders:
    • SBI Life - Preferred Term Rider
    • SBI Life - Accidental Death Benefit Rider
    • ’SBI Life - Accidental Total & Permanent Disability Benefit Rider
  • Tax benefits as per prevailing norms under the Income Tax Act, 1961

Shubh Nivesh at a Glance:

Age* at Entry Min.: 18 years Max.: Endowment Option:
RP - 58 years
SP - 60 years
Endowment with Whole Life option - 50 years
Maximum Age* at Maturity 65 years, which increases to 100 years if the Endowment with Whole Life option is taken
Sum Assured Min: Rs.75,000 (x 1,000/-) Max: No Limit
Policy Term Min.:
Endowment Option
7 (RP) / 5 (SP) years
Endowment with Whole life option
15 (RP) / 15 (SP) years
Max.: 30 years (Endowment Term)
Premium Frequency Single Premium / Yearly / Half-yearly / Quarterly / Monthly#
Premium Paying Term Same as policy term
Premium Frequency Loading Half-Yearly: 52% of annual premium
Quarterly: 26.5% of annual premium
Monthly: 8.9% of annual premium
Premium Min. Max.
Single Premium: Based on the minimum Sum Assured No Limit
Yearly: Rs.6,000 No Limit
Half yearly: Rs. 3,000 No Limit
Quarterly: Rs. 1500 No Limit
Monthly: Rs. 500 No Limit

* All the references to age are age as on last birthday.

#For Monthly mode, 3 Months premium to be paid in advance and renewal premium payment through Electronic Clearing System (ECS) or Standing Instructions (where payment is made either by direct debit of bank account or credit card)

For Monthly Salary Saving Scheme (SSS), 2 month premium to be paid in advance and renewal premium payment is allowed only through Salary Deduction

How does it work?

SBI Life - Shubh Nivesh has two options:

    Endowment Option:

  • The base plan is a traditional endowment plan with simple reversionary bonuses which accrue till the end of the endowment term. The sum assured with all accrued bonuses will be paid on survival till the end of the endowment term or on earlier death.

    Endowment with Whole Life Option:

  • If you opt for a policy term of 15 years or more you also have an option to extend your cover for the whole life (or 100 years of age). The option gives you an Endowment + Whole life plan whereby, in addition to the Endowment plan benefits you are entitled to an additional amount equal to the basic sum assured on survival till age 100 years or on earlier death during the extension period.

Benefits:

  • Maturity Benefit: Depending upon the plan option chosen:

    1.Endowment Option:

  • After completion of endowment term, the Basic Sum Assured + Vested Simple Reversionary Bonuses + Terminal bonus, if any will be paid, provided the policy is in-force.
  • Deferred Maturity Payment option is available: Can be selected at the end of the endowment term

    2.Endowment with Whole Life Option:

  • After completion of endowment term the Basic Sum Assured + Vested Simple Reversionary Bonuses + Terminal bonus, if any will be paid, provided the policy is in-force.
  • Deferred Maturity Payment option is available: Can be selected at the end of the endowment term
  • On attainment of 100th birthday: Basic Sum Assured will be paid

  • Death Benefit: In the unfortunate death of the Life Assured, depending upon the plan option chosen:

    1.Endowment Option:

  • Death before the completion of endowment term provided the policy is in-force :
    • For Regular Premium: Higher of A or B is paid to the nominee, where:

    A. Sum Assured on death + Vested Simple Reversionary Bonuses + Terminal bonus, if any.


    Sum assured on death is higher of Basic Sum Assured or a multiple of annualised premium; where multiple is:
    Policy Term Age at entry of Life Assured less than 45 years Age at entry of Life Assured 45 years or more
    Less than 10 years 5 5
    10 years or more 10 7

    B. 105% of all the premiums paid.

  • For Regular Premium: Higher of A or B is paid to the nominee, where:

  • Sum assured on death is higher of Basic Sum Assured or a multiple of single premium; where multiple is:
Age at entry of Life Assured < 45 years Age at entry of Life Assured >= 45 years
1.25 1.10

    2. Endowment with Whole Life Option

  • Death before the completion of endowment term provided the policy is in-force:
    Death Benefit as defined under point 1 of Endowment option, will be paid to the nominee.
  • Death after completion of the endowment term and up to 100 years of age:
    • Basic Sum Assured benefit will be paid to the nominee.
    • Balance amount of Deferred Maturity Payment Option, if availed and if any, will be paid to the nominee. However, the nominee has an option to take the remaining installments in lump sum which will be equal to the discounted value of the remaining installments.

    Other Benefit:
  • Deferred Maturity Payment OptionYou can use this option to get income at regular intervals. At the end of the endowment term you can either withdraw the full sum assured along with accumulated bonuses or you can withdraw only the bonus, leaving the basic sum assured to be drawn as income at regular intervals over a stipulated time period of 5 , 10 , 15 or 20 years. Income will be paid at a frequency (Yearly/Half-Yearly/Quarterly/Monthly) of your choice.

  • Three sets of riders: -
  • SBI Life - Preferred Term Rider: The Preferred Term rider Sum Assured is payable in addition to normal death benefit
  • SBI Life - Accidental Death Benefit Rider: In case death due to an accident, the rider Sum Assured is payable in addition to normal death benefit
  • SBI Life - Accidental Total & Permanent Disability Benefit Rider: The rider Sum Assured will be paid on the Life Assured being found eligible for the Total Permanent Disability Benefit as defined in the policy document.

  • Other Benefit:
  • Deferred Maturity Payment OptionYou can use this option to get income at regular intervals. At the end of the endowment term you can either withdraw the full sum assured along with accumulated bonuses or you can withdraw only the bonus, leaving the basic sum assured to be drawn as income at regular intervals over a stipulated time period of 5 , 10 , 15 or 20 years. Income will be paid at a frequency (Yearly/Half-Yearly/Quarterly/Monthly) of your choice.

  • Tax Benefits: -
  • Tax deduction under Section 80(C) is available. However in case the premium paid during the financial year, exceeds 10% of the sum assured, the benefit will be limited up to 10% of the sum assured.
  • Tax exemption under Section 10(10D) is available, subject to the premium not exceeding 10% of the sum assured in any of the years during the term of the policy.
  • Tax benefits, are as per the Income Tax laws & are subject to change from time to time. Please consult your tax advisor for details
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