Whole Life Insurance

Whole life plan is a unique life insurance plan. The main objective of a whole life insurance is to help the life assured live a worry-free life while being able to create a legacy for their heirs.

The reason being, it comes with not only death benefits, but also with maturity and survival benefits along with bonuses, if any. The life assured is covered until the death, and also has the maturity benefit feature.

There are different types of whole life insurance policy variants. The policyholder can opt for a traditional whole life plan or a unit linked plan. Traditional Whole Life plans are further categorized as participating and non-participating.

Cover For Life

Whole life plan provides coverage until the death of the life assured. The insured is covered against the risk of death for his entire life or up to the age of 100 years.

Assurance Of Coverage

If you – the breadwinner, were to pass away, who will take care of your dependents? The coverage of whole life insurance promises to be the financial source for the family.

Periodic Payments

Upon maturity of the policy, you get the promised sum together with the accrued bonuses as a lump sum under the endowment option. Alternatively, some plans also give you survival benefits in the form of periodic payments. This means that the total accrued bonus till the completion of the premium payment term is given as lump sum and then a percentage of the sum assured is paid out till the life insured survives or completion of the policy term.

Tax Benefits

The premium paid towards the policy is tax exempted under the Section 80C of Income Tax Act, 1961. The payout paid to the nominee is tax free under the Section 10(10D) of Income Tax Act, 1961.

Serves as A Source of Cash

Experts believe that people should usually keep aside six to nine months of expenses in liquid form to be utilised in times of emergency such as illness, or job loss. While it is not easy to maintain such a large repository of money, a whole-life plan delivers a large amount which is received at the end of the premium payment term.

Loan Option Available On Your Whole Life Plan Policy

Since, the whole life covers the life assured for the entire life, one can opt for loan against the whole life insurance plan. Moreover, with time the surrender value increases, which means you can borrow against the policy’s surrender value - a better option than mortgaging home.

Your Dependents Will Benefit from This Plan

Whole life plans are a great option at helping you leave a legacy for tomorrow. For instance, a whole-life plan on both the spouse will deliver an extra financial resource that can be depended upon at a later part of retirement. In case one of the spouse dies, the policy death benefit will go to the surviving spouse.

Further, the policy of the spouse will go on to deliver a minimum bequest to children or grandchildren after the insured person's death. This makes whole-life plans a good idea for future planning of wealth creation and its passing to the heirs.

Max Life Whole Life Super

Max Life Whole Life Super plan is a participating whole life insurance policy that allows sure shot protection up to 100 years of age together with bonus additions that contribute to growth of investment. The plan is a limited premium paying policy which gives the option of including extra riders and raising the risk cover.

The features of this plan are as under:

• Maturity Benefit: On completion of the policy term you will get a guaranteed payout along with applicable bonuses as the Maturity Benefit.
• Death Benefit: On death during the policy term, your nominee will receive a guaranteed payout along with applicable bonuses as the Death Benefit and the policy will terminate.
• Bonus Payout Options: You have the option to receive the annual cash bonus announced by Max Life Insurance in three different ways depending on your needs.
• Terminal Illness Benefit: In case of any terminal illness, 50% of the Guaranteed Maturity Sum Assured is paid immediately upon policyholder’s request.
• Tax Benefit: You may be entitled to certain applicable tax benefits on your premiums and policy benefits.

The eligibility criteria of this plan is

• Minimum Age at Entry (Age at Last Birthday): 18 years
• Maximum Age at Entry (Age at Last Birthday): 50 years
• Policy Term: Upto age 100 years of Life Insured
• Premium Payment Terms: - 10/15/20 years
• Guaranteed Maturity Sum Assured: Minimum - Rs. 50,000 / Maximum - No limit
• Premium Limits: Minimum - Rs. 8,500 / Maximum - No limit (subject to underwriting)

SBI Life Shubh Nivesh

The SBI Life Shubh Nivesh is a non-linked profit endowment assurance policy that has full life coverage option. This is a savings income - insurance cover plan put together, to allow you to save regularly for the future and to also receive maturity benefits as lump sum/regular payments.

The features of this plan are as under:

• Avail life cover for up to 30 years or whole life depending on your insurance needs
• Simple reversionary bonuses throughout the policy term
• Two plan options – endowment option and endowment with whole life option
• Option to receive the basic sum assured as a lump sum or as regular income, at maturity
• Get comprehensive coverage at an affordable cost with three rider options

The eligibility criteria of this plan is

HDFC Life Sampoorn Samridhi Plus - Whole Life Insurance

HDFC Life Sampoorn Samridhi Plus Plan gives an option to choose between an endowment- Lump sum amount payable at the end of policy term, and endowment with whole life -Lump sum amount payable at the end of policy term plus sum assured that is payable upon survival until 100 years of age/death.

The features of this plan are as under:

• Sampoorn Samridhi Plus plan is part of Par (Life) fund, 22% of which was invested in Equities as at 31st March 2017. This equity proportion is at the fund level and would be different for an individual policy and would vary during the term of the policy.
• Limited premium endowment plan with an option to extend life coverage up to 100 years under whole life coverage
• Limited premium payment term equal to policy term less 5 years
• You have the flexibility to choose a policy term from 15 to 40 years
• Guaranteed Additions up to 5% p.a. of “Sum Assured on Maturity” for first 5 years
• The plan participates in the profit of the participating fund by way of bonuses from the 1st year
• Get an additional sum assured in case of accidental death during the policy term
• You have the flexibility to choose the premium payment frequency i.e. monthly/quarterly/half-yearly/annual
• Tax Benefit under Section 80C and Section 10(10D) of Income Tax Act, 1961
• Get additional protection by opting for HDFC Life Critical Illness Plus Rider that provides Rider Sum Assured in case diagnosed with any of the 19 Critical Illnesses

The eligibility criteria of this plan is

• ENTRY AGE - MIN 30 days / MAX 60 yrs
• MATURITY AGE - MIN 18 yrs / MAX 75 yrs
• POLICY TERM - MIN 15 yrs / MAX 40 yrs
• PREMIUM PAYMENT TERM - Policy Term less 5 years
• GUARANTEED ADDITION - 3% p.a for policy term equal to 15-19 years 4% p.a for policy term equal to 20-24 years 5% p.a for policy term equal to 25 years or more

IDBI Federal Lifesurance - A Whole Life Savings Insurance Policy

IDBI Federal life insurance has brought the whole life savings insurance plan as an all-weather plan that allows for you to live life to the fullest and live your dreams with a couple of massive pay-outs. The first of these pay outs happens at the end of your premium payment term and second when your age is hundred years of age. Besides, this policy allows you to leave behind a legacy for your family as well as financial security in case of your absence.

The features of this plan are as under:

• Safeguard your savings with guaranteed additions
• Added Bonus to boost your savings
• Get double protection with Accidental Death Benefit
• Enjoy discount on premium
• Get tax benefits on premiums paid

• Maturity benefit: On maturity of your policy, you receive maturity sum insured plus vested guaranteed additions plus vested reversionary bonuses, if any, plus terminal bonus, if any.

• Death Benefits : On death of the life insured during the policy term, the payout includes death sum insured plus vested guaranteed benefits plus accrued till date of death plus vested reversionary bonuses accrued till date of death plus interim bonus, if any plus terminal bonus, if any.

The eligibility criteria of this plan is

• Age at entry of life insured (last birthday) - 18 Years (Min)|55 Years (Max)
• Age at Maturity: 55 years -75 years (Max)
• Premium (in Rs.): 10,000 (Yearly) / 5,000 (Half Yearly) / 2,500 (Quarterly) / 1,000 (Monthly) (MIN) / Max No limit (subject to underwriting)
• Premium Payment Term: 5 yrs. (Min) / Equal to policy term (Max) (If Policy Term – 15 / 20 / 25 years) Fixed 5 yrs./ (If Policy Term – 10 years)
• Premium Payment Frequency: Monthly/Quarterly/Half yearly/Annually