SBI Life Protection (Term) Insurance & Health Insurance Plans

SBI Life Insurance Company is a reputed name in the Indian insurance industry as it is backed by one of the largest banks, the State Bank of India. As different individuals have different financial needs for which they need different insurance products, SBI Life offers a range of insurance plans. All categories of life insurance products are sold by the company with protection being the core element in all plans. In terms of protection plans, SBI Life has a host of term insurance plans with varying features. The company also offers a health insurance plan which covers cancer. Let’s understand protection and health insurance plans and the list of plans offered by SBI Life –

What are protection plans?

Protection plans are the basic types of insurance plans which cover the premature death of the insured. If the insured dies during the term of the policy, protection plans pay the insured’s family a lump sum benefit so that they can take care of their financial obligations. Protection plans primarily cover mortality risk and so the premiums are low. As the premiums are low policyholders can opt for higher levels of coverage ensuring that they can provide financial security to their families if they are not around.

What are health plans offered by life insurers?

Health plans which are offered by life insurance companies are insurance plans which cover specified illnesses. These plans pay a lump sum benefit to the insured if he/she suffers from the illness which is covered by the plan. These plans, therefore, help policyholders meet the high medical costs and other financial obligations that they might face when they suffer a medical contingency.

Salient features of protection and health plans

Protection and health insurance plans have the following salient features –

  • Pure term plans pay only a benefit if the insured dies during the term of the policy. No maturity benefit is paid under these plans
  • There are also return of premium term plans wherein the premiums paid during the policy tenure are returned back on maturity of the policy
  • Besides pure term and return of premium plans, protection plans can also be offered as increasing term plans and decreasing term plans. In increasing term plans the sum assured increases every year while in decreasing term plans the sum assured decreases every year
  • Premiums are very low in protection plans
  • Health plans offered by life insurance companies are disease-specific plans covering heart related ailments, cancer, etc.
  • A fixed benefit is paid in a covered medical contingency irrespective of the actual costs incurred
  • Health plans have a tenure ranging from 5 years to up to 30 years
  • Premiums for health plans are low compared to the benefits promised

Protection plans offered by SBI Life

SBI Life offers a wide variety of protection plans which are as follows –

  • SBI Life – eShield
    This is an online pure term plan which has the following features –

    • The policyholder can choose between two coverage benefits of level sum assured and increasing sum assured
    • An accelerated terminal illness benefit rider is inbuilt under the plan which ensures claim payment if the insured is diagnosed with a terminal illness during the term of the policy
    • Free medical second opinion benefit is also available in case of a terminal illness
    • Two optional riders are available with the plan
  • SBI Life -Poorna Suraksha
    This is a unique protection plan which combines term insurance and health insurance. The plan’s features are as follows –

    • Coverage is allowed for premature death as well as for critical illnesses
    • The sum assured is split between term insurance cover and critical illness cover. The percentage of coverage changes with a change in the policy term
    • Premium waiver benefit is available in case of a critical illness
    • The premium remains fixed during the policy tenure
  • SBI Life – eIncome Shield
    This is a pure term plan where the death benefit is split into lump sum payment as well as monthly incomes. The features of the plan are as follows –

    • The plan is available online
    • Monthly incomes are payable for four years after death
    • Different premium rates are charged from women and non-smokers.
  • SBI Life – Smart Shield
    This is a simple term insurance plan which comes with a choice of two coverage options. The plan benefits are as follows –

    • Coverage can be chosen for a level sum assured or an increasing sum assured
    • Three additional riders are available at minimal premiums for additional coverage
  • SBI Life – Saral Shield
    Another pure term plan, Saral Shield offers the following benefits –

    • Three plan options are available and the death benefit depends on the coverage option selected
    • Premiums can be paid in one lump sum or throughout the policy tenure
    • Two additional riders are available for optional additional coverage
    • Premium discounts are allowed for choosing high levels of sum assured
  • SBI Life – Saral Swadhan+
    This is a return of premium term plan which offers a maturity benefit if the insured survives the term of the policy. The plan’s features include the following –

    • 100% or 115% of the total premiums paid during the term are refunded back on maturity of the plan
    • Policyholders can choose the most suitable premium amount based on which the sum assured is calculated
  • SBI Life – Smart Swadhan Plus
    This is also a return of premium plan which has the following benefits –

    • The entire premium paid during the policy tenure is refunded on maturity
    • Three premium payment options are available – regular premiums, limited premiums or single premium
  • SBI Life – Grameen Bima
    This is a microinsurance plan which is meant for the rural population of the country. The plan’s features are as follows –

    • Premium is payable only once
    • No medical check-ups are required to buy the policy
    • Premiums are very low starting at INR 100

Health insurance plans offered by SBI

SBI offers only one standalone health plan called SBI Life Sampoorn Cancer Suraksha. The plan has various features and benefits which include the following –

  • Minor, major and advanced stage cancers are covered under the plan
  • A fixed benefit is paid in case of diagnosis of cancer during the policy tenure. The payout depends on the stage of cancer diagnosed
  • Three plan options are available which are Standard, Classic and Enhanced and the coverage depends on the plan option selected
  • Premiums are waived on diagnosis of minor stage cancer
  • Free medical second opinion is also offered under the plan


Yes, the premium paid for health plans is allowed as a deduction under Section 80D. The limit of deduction available under this section is up to INR 25,000 for individuals below 60 years of age and INR 50,000 for individuals aged 60 years and above.

Health plans have no maturity benefit. The benefit is paid only if the covered illness occurs during the policy tenure.

Yes, the entire amount of death benefit received under a term insurance plan is completely tax-free under Section 10 (10D).

Policyholders can choose to buy as many riders as they want. However, the total premium of riders should not exceed 30% of the premium of the base plan.

Insurance plans usually allow policyholders to select riders at the time of buying the policy. However, many plans also allow rider additions at any policy anniversary.

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