SBI Life – Smart Shield

SBI Life Insurance Company was formed by coming together of the two biggest multinational financial services companies. State Bank of India, the largest public-sector multinational bank in India holds 62.1% of total capital and 22% of the capital is being held by BNP Paribas Cardif, French multinational bank and financial services company. SBI Life insurance company has won many awards for its excellence in the field of insurance. SBI life insurance offers a comprehensive range of customizable products starting from pure protection plans to investment and pension products to meet the diverse range of customer needs.

What is term life insurance?

Term life insurance plans are the traditional and pure protection plans offered by insurance companies. It is basically a life insurance plan that provides life cover for a specific period of time in return of the premium paid. In the event of death during the policy term, sum assured guaranteed by the policy will be payable to the beneficiary. If the policyholder survives the period, nothing will be paid in return at the end of the term. The best part is, term insurance plans provide the highest life cover at a cheaper rate in comparison to other life insurance products.

SBI Life’s Smart Shield

SBI Life’s Smart Shield is a traditional non-participating, pure term life insurance plan that helps you plan for your uncertain future. For every breadwinner of the family, securing the family financially against unforeseen circumstances is the foremost requirement before starting any other investment. SBI Life’s Smart Shield is a well-crafted product to meet your insurance needs. It provides comprehensive protection at an affordable rate. Availing complete protection ensures your family’s financial security even when you are not around.

Features of SBI Life’s Smart Shield

  • Provides complete financial protection to the family at an affordable cost
  • Reward for maintaining a healthy lifestyle
  • Rebates on the large sum assured
  • Two plan options to choose from depending on your family’s needs
  • Option to customize by adding various riders to the base plan – SBI Life’s accidental death benefit rider, SBI life’s Accidental total and permanent disability rider and SBI life’s critical care 13 non-linked rider

Benefits of SBI Life’s Smart Shield

  • Flexibility benefit: There is a flexibility to choose between two plans available depending on your individual insurance needs.

    • Level term assurance: For this premium and the coverage will remain the same throughout the term. You can choose a sum assured keeping in mind your family’s future requirements.
    • Increasing term assurance @ 5% p.a.: This option increases your insurance cover on a yearly basis.
  • Cost effective protection: Death benefit in a lump sum will be paid to the nominee in case of an unfortunate event depending on the plan option chosen by you. You can get financial security of Rs. 25,00,000 just by paying Rs. 3,000 p.a. in regular premium policies and Rs. 11,000 in single premium policies. However, premium amount may differ depending on your age, lifestyle and health related information and many other factors.
  • A reward for non-smokers: Being a non-smoker, you can get discounts on premium. Below is the premium (exclusive of taxes) for smoker and non-smoker male of 35 years ago for Rs. 50 lakh coverage.

    Category/ policy term 15 years 20 years 25 years
    Smokers Rs. 8,451 Rs. 10,071 Rs. 11,975
    Non-smokers Rs. 6,687 Rs. 7,785 Rs. 9,126
  • Death benefit: Sum assured opted for will be paid to the nominee in an unfortunate event of policy holder’s death. If increasing term assurance option is chosen, then sum assured will be increased at a simple 5% per annum rate for the specific term.
  • Rebate for a large sum assured: Here are the special premium discounts for a large sum assured chosen.

    Sum Assured (in Rs.) Rebate (% of premium)
    50 lakhs to 99 lakhs 10%
    1 cr. to 4.99 cr. 25%
    5 cr. and above 30%
  • Customization benefit: You can customize your plan depending on your unique insurance needs. Below riders can be added at an additional cost to enhance the coverage.

    • SBI Life’s accidental death benefit ride
    • SBI life’s Accidental total and permanent disability rider
    • SBI life’s criti care 13 non-linked rider
  • Tax benefits: Tax deduction can be claimed under Section 80C of the Income Tax Act, 1961 for the premiums paid. And, benefits paid out are tax-free under Section 10 (10D) of the IT Act.

Eligibility Criteria for SBI Life’s Smart Shield

Eligibility conditions Minimum Maximum
Entry age 18 years 60 years
Maturity age 80 years
Plan options Level term assurance
Increasing term assurance
Plan term 5 years 80 years less entry age
Plan types Single premium or Regular premium
Premium payment frequency Single/Yearly/Half-yearly/Quarterly/Monthly
Premium paying term Same as policy term
Premium frequency loading Half-yearly: 51% of the annual premium
Quarterly: 26% of the annual premium
Monthly: 8.5% of the annual premium
Premium range
Single premium
Rs. 11,000
Rs. 3,000
Rs. 1,500
Rs. 750
Rs. 300
Based on the sum assured
Sum assured Rs. 25,00,000 (in multiples of Rs. 1,00,000) No limit

Please note:For the monthly mode of premium payment, three months premium has to be paid in advance. Renewal premium payment can be made through only the electronic clearing system (ECS) or Standing instructions

Eligibility Criteria for Rider Benefits

For SBI Life’s accidental death benefit rider, SBI life’s Accidental total and permanent disability rider

Eligibility conditions Minimum Maximum
Entry age 18 years 60 years
Maturity age 70 years
Policy term 5 years 30 years
Basic sum assured Rs. 25,000 Rs. 50 lakhs

For SBI life’s criti care 13 non-linked rider

Eligibility conditions Minimum Maximum
Entry age 18 years 55 years
Maturity age 64 years
Policy term 64 years- entry age
Basic sum assured Rs. 25,000 Rs. 20 lakh

Premium Illustration

Below are the premium rates for a 30 year old male/female based on the plan option chosen and lifestyle.

Sum assured: Rs. 1Cr.
Policy term: 30 years

Plan option Gender Lifestyle Annual premium (in Rs.)
Level term assurance Male Smoker 16,560
Non-smoker 12,788
Female Smoker 14,258
Non-smoker 11,153
Increasing term assurance Male Smoker 28,238
Non-smoker 21,195
Female Smoker 23,948
Non-smoker 18,128

Who should buy SBI Life’s Smart Shield plan?

Every earning individual of the family or someone who has dependents on him/her should buy SBI life’s Smart Shield plan with necessary coverage to protect the family from any unforeseen eventualities. If you are looking for a term life cover with added benefits and riders at reasonable cost, SBI Life’s Smart Shield is an ideal option.

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

SBI life’s Smart Shield plan can be bought from 18 years of age to 60 years. However, it’s recommended to buy at young age as soon as you start earning to get the comprehensive coverage at a lesser cost.

Documents required for buying SBI Life’s Smart Shield plan

  • PAN card is mandatory
  • Identity proof: PAN card/Passport /Voter ID card/Driving license, etc.
  • Proof of address: Aadhaar card/Passport/ Bank account statement/Utility bills, etc.
  • Income proof: IT returns/ salary slip/ employer’s certificate etc.
  • Age proof: Driving license/ Birth certificate/PAN card/Passport, etc.

Surrender of SBI Life’s Smart Shield plan

Plan option Surrender value
Level term assurance Single premium amount paid*75%* outstanding term to maturity/total term
Increasing term assurance Single premium * 80% (outstanding term to maturity/total term)*(average of effective sum assured at surrender and effective sum assured at time of maturity/ average of initial sum assured sum assured and effective sum assured at maturity)

For example, you have bought SBI Life’s Smart Shield plan for single premium with level term assurance option for 30 years term. Let’s say you have paid, Rs.30, 000 as single premium. After 10 years of policy, you chose to surrender, then the surrender value would be: Rs. 30,000 * 75% * 10 years/ 20 years = Rs. 11,250.

Exclusions in SBI Life’s Smart Shield plan

Suicide exclusion: under this, if policyholder commits, sane or insane, commits suicide within a year of policy purchase, then no benefits will be paid to the beneficiary. Only 80% of the premium paid is given back to nominee or beneficiaries provided policy is in force.


SBI Life’s Smart Shield plan is a comprehensive policy to meet all your insurance needs. With attractive features, plan options and additional rider benefits, SBI Life’s Smart Shield plan can be perfect solution for securing your family’s future completely even when you are not around.


Yes. You can get your policy revived to enjoy all the benefits offered in the plan. When a policy lapses for not paying the premium within the grace period of 30 days’ time, revival can be done within two years from the date of first unpaid premium.

Yes. Policy can be cancelled during the free look period in case you are not satisfied with the terms and conditions of the policy. Free look period is 15 days for offline policy and 30 days for policies bought through distance marketing channels. However, it’s important to state the reason for cancellation.

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