Life Insurance Policy Options

Convertible Whole Life Insurance Policy

• Can be converted into an endowment assurance policy after taking the policy for 3 years.
• Minimum age limit for entry is 19 years.
• Maximum age limit for entry is 55 years.

Children Policy in PLI

• The maximum sum assured under the children policy in PLI is not specified.
• Options for the policy include joint life insurance, children insurance, endowment insurance, and convertible whole life insurance.

Gram Suvidha Policy

• Minimum age limit for entry is 19 years.
• Maximum age limit for entry is 45 years.
• After conversion, the bonus will be payable from the Gram Suraksha policy.

Gram Priya Policy

• Survival benefits are given by paying 4.5% of the gross premium during the first year and 2.25% for the subsequent years.

Non-Medical Scheme

• Conditions for exemption of medical examination:
  • PLI: age on next birthday does not exceed 40 years, aggregate sum assured does not exceed Rs 500000/-, or a PLI policy up to Rs 2 lakh sum assured.
  • RPLI: age on next birthday does not exceed 35 years, aggregate sum assured does not exceed Rs 100000/-, or aggregate sum assured does not exceed Rs 25000/- for non-standard age proof.

Premature Claim

• Payment restrictions in case of claim before maturity:
  • Before completion of 1 year: 35% of the sum assured along with the accrued bonus.
  • After completion of 1 year but before completion of 2 years: 60% of the sum assured along with the accrued bonus.
  • After completion of 2 years but before completion of 3 years: 90% of the sum assured along with the accrued bonus.
  • After completion of 4 years: full sum assured with accrued bonus.

Rebate on Advance Premium

• Incentives for paying premia in advance:
  • 12 months: 2% of total premium for PLI and RPLI, 50% of monthly premium for Yugal Suraksha.
  • 6 months: 1% of total premium for PLI and RPLI, 10% of monthly premium for Yugal Suraksha.
  • 3 months: nil for PLI, 0.5% of total premium for RPLI, 2% of monthly premium for Yugal Suraksha.

Incentive Structure

• PLI incentive structure:
  • Premium paying term up to 15 years: 4% incentive for all schemes except AEA, 5% for AEA policies.
  • Premium paying term 15-25 years: 10% incentive for all schemes except AEA, 7% for AEA policies.
  • Premium paying term above 25 years: 20% incentive.
• RPLI incentive structure:
  • Procurement incentive @ 10% of procurement premium for all types of RPLI policies.
  • Development Officer will be paid procurement incentive @ 1% of total RPLI new business premium.