HDFC Life Sanchay Plus

It is important to achieve the personal milestones that you have planned for your future to maintain life. But these milestones usually come along with added responsibilities, expenses, and the financial burden of unfortunate events. It is essential to have the proper financial security to achieve his/her long and short-term goals. HDFC Life Sanchay Plus is offers guaranteed returns for you and your family.

HDFC Life Sanchay Plus is a non-participating, non-linked savings life insurance plan. We will read the plan in detail in the section below for more clarity and better understanding.

Key Features of HDFC Life Sanchay Plus

The features of HDFC Life Sanchay Plus have been explained below:

1. Guaranteed Benefits

   Under this plan, the insured gets rest assured of the returns.

2. Flexibility

   When the insured under the HDFC Life Sanchay Plus policy claims for guaranteed benefit, he/she gets the flexibility to use it either in the form of the lump-sum amount or as regular income.

3. Life-Long Income Option

   The plan offers guaranteed income until the age of 99 years.

4. Long Term Income Option

   HDFC Life Sanchay Plus policy provides long-term income options under which the insured can get guaranteed income for a fixed term of 25 to 30 years.

5. Optional Riders

   These riders allow the policyholders to enhance the protection coverage on payment of additional premiums.

6. Free Look Period

   The policy buyer of the HDFC Life Sanchay Plus plan gets a free look period of 15 days under which he/she can finalize the policy and in case of any dissatisfaction can cancel the policy too.

Benefits of HDFC Life Sanchay Plus

Options of Income Payout

The plan offers the flexibility to choose to receive the annual income under the guaranteed, Life long, and long-term income.

Given below is a glimpse of the amount of income.

Grace Period

Under this benefit, the insured gets 15 days for the monthly frequency of premium payment and 30 days for other frequencies to pay the premium without any penalty. If the insured missed the date of renewal premium payment then in that case also he/she has a grace period to make the payment without any interruption.

Lapse, Paid-up, and Surrender

According to the terms of the HDFC Life Sanchay Plus policy, the surrender value must be met on at least two years of policy premium payment.

In case the due premium is not paid even after the expiry of the grace period then the policy is subjected to lapse:

• If guaranteed surrender value is not acquired.
• Become reduced paid-up in case it has acquired the guaranteed surrender value.

Revival

The revival period for a lapsed/ paid-up HDFC Life Sanchay Plus policy is for 5 years. In case of a lapsed policy, the insured needs to pay all the pending premiums along with interest levied on the premiums for the revival of the policy. The rate of interest varies with the year and can be consulted by the life insurance company.

Policy Loan

The insured can avail loan facility under the HDFC Life Sanchay Plus plan. This can be done after the insured has acquired the surrender value limit and the insured can get a loan up to 80% of the surrender value under the policy subject to a set of terms and conditions of the insurance company.

Death Benefits

Under Guaranteed Maturity, Guaranteed Income, Life-Long Income, and Long Term Income, in case of the death of the insured during the policy tenure, the accumulated death benefits are provided to the nominee under HDFC LIFE Sanchay Plus Policy.

Death Benefit = Insured sum on death + Accumulated Guaranteed Additions

The insured sum on death can not be more than 10 times the Annualized Premium or 105% of the Total Premium Paid or guaranteed sum assured on maturity.

Under HDFC Life Sanchay Plus Plan the absolute amount to be paid on the death of the insured is equal to the sum assured.

After the payment of the death benefit, the policy is subject to termination and no further benefits are payable.

Enhanced Benefit For High Premium

If the annual premium paid by the insured is more than 1.5 lakhs then he is open to special benefits termed as enhanced benefits.

Alterations

The insured is permitted to change the premium payment frequency and income payout frequency. A plan chosen at the time of buying the policy can not be changed.

• As a benefit, the insured has an option to receive the Guaranteed Sum Assured on Maturity. It is the present value of future payouts.
• The present value of future payouts is discounted at a rate of 9%.
• The nominee has an option to receive future income as a lump sum. It shall be the present value of future payouts and it is discounted based on prevailing interest rates.

Tax Benefits

The premiums paid under the policy are exempted from income tax under section 80C of the Income Tax Act.

HDFC Life Sanchay Plus Plan Options

All the benefits utilized by the insured under the policy term and payout period as per the chosen option, are mentioned in detail below. The premiums paid excluding taxes and other statutory levies, the extra premium on account of underwriting or frequency of the payment, and rider premium if any.

Plan Option 1 - Guaranteed Maturity

A guaranteed maturity benefit is offered to the insured in the form of the lump-sum amount at the end of the tenure of the policy subject to the condition that the insured has cleared all the due premiums as well as he survives the policy term.

Maturity Benefit=guaranteed sum assured on maturity + Accrued Guaranteed Additions

Here, the guaranteed sum assured on maturity is the total annualized premium payable under the policy during the premium payment tenure.

The Guaranteed Additions (GA) will be accumulated after each policy year after the premium payment term (PPT), where PPT is 5 years and 6 years. In case PPT is 10 years, GA will accrue starting the 8th policy anniversary.

Plan Option 2 - Guaranteed Income

Under this option, the insured gets maturity benefits in the form of guaranteed income which is fixed for 10 years or 12 years after all due premium payment and survival of the insured person.

The guaranteed income amount depends upon the premium payment term as discussed below:

Death Benefit: When the Life Assured dies during the policy period, the insured shall pay the death benefit equivalent to the sum assured on death to the nominee.

Plan Option 3 - Life Long Income

The benefit of guaranteed income is offered till the age of 99 years under this option. There is also a return of premium at the end of the payout period after payment of all due premiums and in case the insured survives the policy tenure.

The guaranteed income amount shall depend upon the premium payment terms chosen as per the table mentioned below:

Plan Option 4 - Long Term Benefit

A benefit of guaranteed income for a fixed duration of 25 years to 30 years is provided under this, subject to the condition that all premium payments are done and the policyholder survives the policy tenure.

The guaranteed income amount shall depend upon the premium payment terms chosen as per the table mentioned below:

How does HDFC Life Sanchay Plus Plan work?

HDFC Life Sanchay Plus plan provides several options concerning the age at the time of buying the policy subject to the condition that once purchased there can be no changes brought in the plan. Here are the options explained:

HDFC Life Sanchay Plus Plan Riders

There are few rider options available under the plan.

Note: For more information relating to riders, you can refer to rider brochures available on the HDFC official site.

HDFC Life Sanchay Plus Plan Eligibility

HDFC Life Sanchay Plus Sample Premium Rates Illustration

Here is an illustration presented about HDFC Life Sanchay Plus Plan for a better understanding. The table explains the benefits withdrawn by a 30-year-old healthy male (50 years for Life-Long Income Option), who pays INR 1 Lacs along with taxes annually throughout the premium paying term and survives during the policy term.

Note: Use HDFC Sanchay Plus Calculator to calculate the premium rates.

Exclusions

In case the insured commits suicide within 12 months:

• The nominee is entitled to 80% of the premiums paid subject to the condition that the policy is running, from the date of commencement of risk of the policy.
• From the policy revival date, the beneficiary is entitled to an amount which is more than 80% of the premiums paid till the date of death/ surrender value as available on the date of death.

Note: For more information, refer to HDFC Life Sanchay Plus Brochure.

How To Purchase HDFC Life Sanchay Plan?

You have two options for buying an HDFC Life Sanchay plan. This means you can either buy the HDFC Life Sanchay Plus plan online from the official website of the company or you can buy this plan from us (PolicyX.com). Given below is a detailed explanation of both these types of the buying process.