SBI Life – Saral Shield

SBI Life Insurance Company is one of the reputed insurance companies in India that was established in the year 2001 as a joint venture bancassurance company. It was started by coming together of State Bank of India, one among the Fortune 500 biggest corporations in the globe and BNP Paribas Cardif, an insurance wing of world’s 8th largest international banking group. Market expertise and excellence of these two companies have contributed hugely to the success of SBI Life Insurance Company. The company offers a diverse range of products that are not just to cater to groups and individual’s insurance needs but also to take care of long-term investment needs. Within a shorter span, the company has been awarded as ‘life Insurance Company of the year’ and many other such awards due to its efficient services and customizable product offerings.

What is Term Life Insurance?

Term life insurance plans are the oldest and purest form of insurance. These plans provide financial coverage for a certain period of time. The entire premium that you pay will be used for providing risk cover/life cover. That means, if the death occurs within the policy term, the sum assured chosen at the time of policy purchase which is a lump sum of money is paid as death benefit. If the life assured survives till the end of a specific term, then the benefits will cease and nothing will be paid in return.

SBI Life’s Saral Shield

Shielding the family and protecting their dreams is of utmost importance for almost everyone. Getting comprehensive protection against future uncertainties worries many people. For such cases, SBI Life’s Saral Shield is the plan that puts your worries at rest. SBI Life’s Saral Shield is a traditional non-participating pure term insurance plan that provides complete financial protection to your family and loved when you are not around.

Features of SBI Life’s Saral Shield

  • Simple, convenient and hassle-free purchase process.
  • Flexibility to choose the coverage option Free your family from liabilities and debts by choosing one of the following options:
    • Level term assurance
    • Decreasing term assurance (loan protection)
    • Decreasing term assurance (family income protection)
  • Complete financial security
  • Special premium discounts for women
  • Large sum assured rebate
  • Enhance the coverage with additional optional riders

Benefits of SBI Life’s Saral Shield

  • Protection at affordable cost: Choose the sum assured based on your insurance needs and family’s future financial requirements. In the occurrence of an insured event during the policy term, sum assured will be paid in a lump sum as a death benefit. Coverage can be availed for as little as Rs. 250 per month.
  • Flexibility to choose the cover options: Keeping in mind the diverse needs of people, Saral Shield offers you three different coverage options to choose from.
    • Level term assurance: In this plan, sum assured chosen by you at the time of policy inception is payable to a beneficiary in an unfortunate event during the policy term.
    • Decreasing term assurance (loan protection): This option is provided to ensure the family is not affected by unpaid debts in an unfortunate event. You can choose the sum assured depending on the loan amount. The schedule will be based on an interest rate of loan repayment. Available interest rates for loan repayments schedules are 6%, 8%, 10%, 12%, 14%, 16%, 18% and 20%. Basically, the plan ensures debt burdens are not laid on the family in case of an unfortunate event.
    • Decreasing term assurance (family income protection): If you want a regular income flow for your family to meet their monthly needs even when you are not around, you can opt for this option. Under this option, the sum assured chosen by you will be divided by total term (in months). In case of an unfortunate event, the benefits will be paid in regular monthly basis till the end of the term.
  • Rebate for high sum assured: Special premium discounts are available on choosing higher sum assured. Details are as below:
    Plan type Rebate on the sum assured ≥ Rs. 15 lakhs
    For level term assurance For Decreasing term assurance
    Regular premium Rs. 0.30 per Rs. 1,000 sum assured Not applicable
    Single premium Rs. 0.95 per Rs. 1,000 sum assured Rs. 0.95 per Rs. 1,000 SA
  • Customization benefit: The plan can be customized and the coverage can be made extensive by adding optional riders available – SBI Life Accidental Death Benefit Rider and SBI Life Accidental Total and Permanent Disability Benefit Rider.
  • Tax benefits: The premiums paid for Saral Shield qualifies for tax deduction under Section 80C of the Income Tax Act, 1961 and the benefits paid out are tax-free under the Section 10(10D) of the IT Act.

Eligibility Criteria for SBI Life’s Saral Shield

Eligibility conditions Minimum Maximum
Entry age 18 years 60 years
Maturity age - 65 years
Plan options Level term assurance
Decreasing term assurance (loan protection)
Decreasing term assurance (family income protection)
Policy term 5 years 30 years
Premium paying term Same as policy term
Premium payment modes
Level term assurance
Decreasing term assurance (loan protection)
Decreasing term assurance (family income protection)

Single/Yearly/Half-yearly/Quarterly/monthly
Single premium

Single premium
Premium range (in multiples of Rs. 100)
Single premium
Yearly
Half-yearly
Quarterly
Monthly


Rs. 10,000
Rs. 2,000
Rs. 1,100
Rs. 600
Rs. 250
-
Sum assured range (in multiples of Rs. 50000) Rs. 7,50,000 Rs. 24,00,000

Please note: If you are choosing the monthly premium mode, three months premium has to be paid in advance. The renewal premium payment can be made through only Electronic Clearing System (ECS) or Standing Instruction.

Eligibility Criteria for Riders

Eligibility conditions Minimum Maximum
Entry age 18 years 60 years
Maturity age - 65 years
Term Less than or equal to base policy term
Sum assured Rs. 25,000 Rs. 24,00,000

Who should buy SBI Life’s Saral Shield Plan?

SBI Life’s Saral Shield plan is suitable for individuals looking for insurance coverage lesser than Rs. 25, 00,000. Basically, if you are looking for smaller coverage or to secure your family against the loans you have taken during eventualities, SBI Life’s Saral Shield plan is an ideal choice for you. You can also customise it according to your requirement with various features and options offered.

When should you buy SBI Life’s Saral Shield plan?

SBI Life’s Saral Shield plan can be purchased anytime between the age of 18 years to 60 years. However, it’s recommended to buy any term insurance plan at your younger age preferably before 30-35 years of age. Buying early not only gives you an advantage over the cost and coverage, but also gives you peace of mind especially when you have availed long-term debts.

Documents required for buying SBI Life’s Saral Shield plan

  • Application form/proposal form
  • PAN card is mandatory
  • KYC documents such as identity proof (Aadhaar card/PAN card/Passport/Driving license etc) and address proof (latest electricity bill/bank account statement etc) and age proof (school certificate/birth certificate/ Passport etc)
  • Income proof: salary slip/income tax return/ employer certificate

Exclusions in SBI Life’s Saral Shield plan

For base policy: Suicide exclusion is applicable. If the life assured, sane or insane commits suicide within a year from the date of commencement or policy or from the date of revival, policy will become void and the death benefit will cease. However, an amount equal to 80% of the total premiums paid as on date of death intimation will be paid to nominee/beneficiary.

Rider exclusions: Under SBI Life’s –Accidental Death Benefit (ADB) rider and Accidental Total & Permanent Disability (ATPD) rider, death/disability arising out of below events are excluded from coverage.

  • Infection
  • Drug abuse
  • Self-inflicted injury
  • Criminal acts
  • War and civil commotion
  • Nuclear contamination
  • Aviation
  • Hazardous sports and pastimes

Conclusion

SBI Life’s Saral Shield plan is simple and affordable policy that can ensure your family’s future financial safety in the event of unforeseen circumstances. With various plan options, benefit of rebates, discounts and many other attractive features, SBI Life’s Saral Shield plan is a best way to insure yourself and keep your family protected.


FAQs

Yes. If you are not satisfied with the terms and conditions of the policy you can make cancellation within the free-look period which is 15 days for offline policies and 30 days for online or policies bought via distance marketing. However, you need to state the reason for objection or cancellation.


If you miss premium payment within due date, you can still make a payment within 30 days grace period given. If you fail to make payment even in the grace period, then the policy will lapse. However, the policy can be revived by paying the premiums due + interest, if any within 2 years from the first unpaid premium. However, revival is subjected to satisfactory proof of insurability.