SBI Term Insurance: Major Plans and their Benefits

Updated: 22-01-2024 11:23:18 AM

SBI term insurance plans are offered by the State Bank of India under a joint venture named SBI Life with BNP Paribas, a French banking organization. State Bank of India is a public sector bank in India and one of the largest banks in the country. SBI has more than 20,000 branches across the country, and it also has a presence in 37 countries abroad.

It is always a smart option to have a backup for the unfortunate situations, especially if you have a family depending on you. Life insurance provides financial coverage to the dependents in case of untimely demise of the insured. This way you can assure financial stability for your family in your absence also. When it comes to life insurance, SBI Life has just the right options to cater to all types of customers and their insurance needs. The major plans by SBI life insurance is explained here for your better understanding.

SBI Life Smart Shield

SBI Life Smart Shield is a SBI Term Plan that is affordable, flexible and secure. The plan ensures a comprehensive advantage to customers and also provides various coverage options to choose from. There are two sub-options to choose from.

• Increasing Term Insurance: Under this option, the sum assured increases every year by 5%. On the unfortunate death of the insured during the tenure, the death benefit is the increased sum assured at the time of death.
• Level Term Insurance:In this option, the insured is promised the same sum assured throughout the policy tenure. The death benefit is the total sum assured and is paid as a lump-

Rider Policies

• Accelerated Critical Illness Cover
• SBI Life Accidental Total and Permanent Disability Rider
• SBI Life Accidental Death Benefit Rider

Eligibility

Parameters	Minimum	Maximum
Entry Age	18 years	60 years
Maturity Age	–	65 years
Policy Tenure	5 years	30 years
Sum Assured	25 lakh	No limit

Features and Benefits

• Policyholder can get rebates in premium,if he/she chooses a larger sum assured
• Rebates in premium are also provided to healthy individuals
• The insured is eligible for tax benefits under the Income Tax Act
• The option of choosing riders in this insurance policy increases the comprehensiveness in the plan
• The SBI Life Accidental Death Benefit Rider provides additional benefit in case the insured dies in an accident
• SBI Life Accidental Total and Permanent Disability Rider ensure comprehensive coverage in case of a permanent total disability that results from an accident.
• The Accelerated Critical Illness Cover is a rider that provides extra coverage if the insured suffers from any of the critical illnesses listed in the policy
• The premiums are either paid regularly during the policy term or as a single consolidated premium
• If the premium is not paid in a single consolidated installment, it can be paid monthly, quarterly, half yearly or annually.

SBI Life Saral Shield

SBI Life Saral Shield is yet another SBI term insurance plan designed especially to provide your family with maximum coverage. It keeps the family of the insured safe in financial aspects in case of his or her untimely demise. There are three sub-options to choose from.

• Level Term Protection:Here, the insured is promised the same sum assured throughout the policy tenure. The death benefit is total sum assured and is paid as a lump-
• Decreasing Term Insurance (Loan Protection):This option includes the decline of sum assured every year. In a situation of the unfortunate death of the insured during the policy tenure, the death benefit is the decreased sum assured at the time of death.

Eligibility

Parameters	Minimum	Maximum
Entry Age	18 years	60 years
Maturity Age	–	65 years
Policy Tenure	5 years	30 years
Sum Assured	7.5 lakh	24 lakh

Features and Benefits

• There are special rebates for females
• Rebates can be availed, if the customers opt for higher sum assured levels
• There are tax benefits under the Income Tax Act
• The option of choosing riders increases the comprehensiveness of the plan
• The SBI Life Accidental Death Benefit Rider provides additional benefit in case the insured dies in an accident
• SBI Life Accidental Total and Permanent Disability Rider ensures comprehensive coverage in case of a permanent total disability resulting from an accident
• Premiums are paid either regularly during the policy term or as a single consolidated premium
• If the premium is not paid in a single consolidated installment, it can be paid monthly, quarterly, half yearly or annually.

SBI Life eShield

As the name suggests, SBI Life eShield is a specialized online term plan and is one of the popular SBI term plans. This policy is available in different with little variations. They are:

• Level Cover:In this option, the insured is promised the same sum assured throughout the tenure of the The death benefit is total sum assured and is paid as a lump-sum.
• Increasing Cover:Under this option, the chosen sum assured increases every year by 10%. On the unfortunate death of the insured during the policy tenure, the death benefit paid is the increased sum assured at the time of death.

Eligibility

Parameters	Minimum	Maximum
Entry Age	18 years	65 years
Maturity Age	–	75 years
Policy Tenure	5 years	30 years
Minimum Sum Assured	35 lakh	No limit

Features and Benefits

• It is an online plan that can be bought at lower premiums as the documentation costs are excluded
• There are special rebates for females
• Rebates are also provided if the customers opt for higher sum assured levels
• There are tax benefits under the Income Tax Act
• The option of choosing riders in this insurance policy increases the comprehensiveness of the plan
• SBI Life Accidental Death Benefit Rider provides additional benefit in case the insured dies in an accident
• SBI Life Accidental Total and Permanent Disability Rider ensure comprehensive coverage in case of a permanent total disability that results from an accident.
• The premiums are either paid regularly during the policy term or as a single consolidated premium.
• If the premium is not paid in a single consolidated installment, it can be paid annually.

SBI Life Grameen Bima

SBI Life Grameen Bima is another specialized SBI term insurance plan, made especially for customers from lower income groups. The plan focuses on the provision of coverage at highly affordable costs. The major terms and conditions of the plan are explained here.

Eligibility

Parameters	Minimum	Maximum
Entry Age	18 years	50 years
Policy Tenure	5 years	–
Sum Assured	Rs. 10,000	Rs. 50, 000
Minimum Installment	Rs. 3,500	No limit

Features and Benefits

• The plan is especially designed for the lower income customer group
• The plan aims to fulfill the welfare and insurance requirements of the rural population of the country
• The customers are requested to select a given amount that he/she is willing to pay against the coverage
• The sum assured is declared as per the selected premium amount by the insured
• There is no need for any medical test
• The policyholder has to fill a registration form and provide a medical declaration
• For the premium payment, there is only a single payment option available
• The plan involves a death benefit, i.e., the promised sum assured will be provided to the nominees in case of insured individual’s unfortunate demise.

FAQs

Q1. What is the procedure to be followed for making a claim for SBI Life term plans?

Ans. The nominee/s have to ensure that all the required documents are submitted to the nearest SBI insurance branch. On receiving the documents, the claims are settled as soon as possible.

Q2. How can one cancel an SBI Life term plan?

Ans. A term plan by SBI can be cancelled by filling up the surrender form and submitting it in the nearest SBI Life Insurance branch. The form is submitted along with other requested documents by the company.

Q3. What is the process of checking policy status online?

Ans. For checking the status of your policy, visit  of SBI Life Insurance. After the one-time registration by filling in the required details, you can login to the portal through your login name and password. Click on ‘View Policy’. After feeding in the correct policy number, you get to see the details of your policy like maturity, renewal date and premium amount.