SBI Life – Saral Swadhan Plus

SBI Life Insurance Company is a well-established player in the Indian insurance market. The company was formed by coming together of the two biggest financial services companies, State Bank of India and BNP Paribas Cardif. SBI Life Insurance Company gets its excellency and global expertise from these two market experts. The company offers a wide array of insurance plans that not just provide financial protection and assistance but also helps its customers to build wealth for a better future. With its efficient processes, innovative products and high-quality services, SBI Life Insurance Company has emerged as one of the strongest leaders in the insurance market.

What are Term Life Insurance Plans?

Term life insurance is a life insurance product that provides life cover for a defined period of time. For the premium that you pay, an agreed amount of sum assured (lump sum benefit) would be paid to the policyholder’s family in case of his/her untimely demise during the policy term. If the policyholder survives the policy term, nothing would be paid in return on the maturity of the policy. However, there are many variants of the term insurance plan available today. There is a type of term insurance that pays back the total premium paid on maturity if the policyholder survives the term. This is called ‘’return of premium term insurance plans’’.

SBI Life’s Saral Swadhan Plus

SBI Life’s Saral Swadhan Plus is a non-participating, non-linked term assurance plan with return of premium offered for individuals. This term plan offers a fixed amount of coverage throughout the policy term along with the facility of return of premium on maturity. This plan is affordable and easy to understand. In case of untimely demise of the policyholder, lump sum, sum assured agreed at the time of taking policy would be paid out to the beneficiary. In case the policyholder survives the policy term, premiums paid by him would be returned to him on maturity.

Features of SBI Life’s Saral Swadhan Plus

  • Guaranteed benefit of 100% or 115% of the total premium paid based on the policy term
  • Comprehensive coverage at an affordable rate
  • The simplified and easy enrolment process

Benefits of SBI Life’s Saral Swadhan Plus

  • Death benefit: In the event of an unfortunate event like the death of the policyholder during the policy term, sum assured will be payable to the beneficiary.
  • Maturity benefit: If the policyholder survives till the end of the policy term, the following benefits are payable to you:

    • For 10 years policy term: 100% of the total premium paid
    • For 15 years of policy term: 115% of the total premium paid
  • Tax benefits: The annual premium that you pay on SBI Life’s Saral Swadhan Plus, qualifies for tax deductions under Section 80C of the Income Tax Act, 1961. The lump sum benefits payable are also tax-free under Section 10 (10D) of the Income Tax Act. Tax benefits are as per the provisions of Income Tax Law and conditions laid down in the Act. Tax benefits are subjected to change from time to time depending on the change in tax provisions under the IT Act.
  • Benefits offered for lapsed policies (converted to paid-up value policies): After payment of premium for the first three years, the policy acquires paid-up value status. The sum assured and maturity benefits will be reduced proportionately.
    Here are the benefits paid out for paid-up value policies

    Policy term (in years) Maturity benefit Death benefit
    10 100% of total premiums paid Sum assured X number of premiums paid/total number of premiums payable
    15 115% of total premiums paid Sum assured X number of premiums paid/total number of premiums payable

Eligibility Criteria for SBI Life’s Saral Swadhan Plus

Eligibility conditions Minimum Maximum
Entry age 18 years 55 years
Maturity age 70 years
Policy term 10 years 15 years
Premium paying term 10 years
Premium payment frequency Annual
Premium range (in multiples of Rs.500) Rs. 1,500 Rs. 5,000
Sum Assured Rs. 30,000 Rs. 4,75,000

Under this plan sum assured is defined as a multiple of annual premium paid depending on age and policy term.

Entry age (in years) Sum assured multiples
10 years term 15 years term
18-30 80 95
31-35 65 70
36-40 50 55
41-45 35 40
46-50 25 30
51-55 20 20

Who should buy SBI Life’s Saral Swadhan Plus plan?

SBI Life’s Saral Swadhan Plus plan is suitable for individuals seeking life protection for shorter tenure of 10 to 15 years with return of premium benefit on maturity. This is also suitable for individuals seeking lesser amount of insurance coverage.

Documents required for buying SBI Life’s Saral Swadhan Plus plan

  • PAN card is mandatory
  • Identity card: Aadhaar card/PAN card/Passport/ Driving license or any other document with photograph issued by government/ statutory/ regulatory authorities or by public sector undertakings.
  • Proof of residence: Municipal tax receipts/ utility bills/ passport/bank statement etc.
  • Income proof: salary certificate/ income tax return
  • Age proof: PAN card/Passport/Birth certificate/School certificate etc.

Surrender of SBI Life’s Saral Swadhan Plus plan

SBI Life’s Saral Swadhan Plus policy can be surrendered during the policy term. When you surrender, higher of guaranteed surrender value (GSV) or non-guaranteed surrender value (realistic value at the time of surrender) will be payable. Please find below the GSV factor applicable.

Surrender year Policy term
10 years 15 years
1,2 Nil Nil
3 30% 30%
4 to 7 50% 50%
8 to 10 60% 60%
11 onwards NA 65%

Loan facility in SBI Life’s Saral Swadhan Plus plan

There is no loan facility available under SBI Life’s Saral Swadhan Plus plan.

Exclusions for SBI Life’s Saral Swadhan Plus

Suicide exclusion: If the life assured, sane or insane, commits suicide, within one year from the date of commencement of risk or within one year from the date of revival/reinstatement of the policy, the policy is treated void and the benefits will cease. However, 80% of the premium paid will be given back to the beneficiary or nominee.


SBI Life’s Saral Swadhan Plus plan is a simple term insurance plan with return of premium on maturity feature. With lesser sum assured cap, shorter term coverage and special rates for women makes SBI Life’s Saral Swadhan Plus plan a competent product among return of premium term insurance plans.


Yes. The policy can be revived within a period of two years from the date of the first unpaid premium. You need to make payment of arrears of premium with applicable interest. The interest rate applicable will be decided by SBI Life Insurance Company from time to time.

If you forget to make premium payment within the premium payment due date, the policy will not get lapsed with an immediate effect. There will be a grace period of 30 days given from the premium due date for making a missed premium payment. If you fail to make premium payment even within the grace period provided, then the policy will get lapsed.

Yes. You can terminate the policy within the free look period of 15 days (policies bought offline) and 30 days (for policies bought through distance marketing channels). You have to state the reason for termination.

No. Additional riders are not offered under SBI life’s Saral Swadhan Plus plan

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