SBI Life Flexi Smart Plus is a non-linked variable insurance policy that offers the required comprehensive life insurance cover along with investment opportunities. It’s one of the few life insurance plans that come out with regular and guaranteed benefits along with few other advantages such as bonus interest rates, premium holidays, etc. It is a participating variable endowment plan that allows the beneficiary to receive both the sum assured and the balance of the policy account in the form of death benefits.
| Entry age | 18 to 60 years |
| Maximum sum assured | Annualised premium * 20 |
| Maturity age | 23 to 65 |
| Policy term | 5 to 30 years |
| Premium paying frequency | Yearly/half-yearly/quarterly/monthly |
| Premium paying term | Same as the policy term |
Guaranteed Minimum Bonus: It allows the insured to receive an interest rate of 10% p.a on the balance of the policy account daily on a pro-rata basis. Under the same, the accrued interest will be directly credited to the balance at the end of every financial year. It will form a part of the principal at the starting of the financial year.
Non-zero Positive Regular Bonus: Along with the guaranteed minimum bonus, the plan offers a non-zero positive regular bonus that will end at every financial year. The same will be based on the surplus associated with the valuation of assets and liabilities. The regular bonus will get daily accumulated in the policy balance amount and the same will be credited at the end of the fiscal year.
Interim Bonus: The plan comes out with an interim bonus for its customers. The same will be declared at the starting of the year.
Guaranteed Death Benefit: In the case of the insured’s death, the plan will offer a guaranteed death benefit. The death benefit will be higher of the account value or sum assured multiplied by 105% of the total premiums.
Maturity Benefit: At the time of maturity, the insured will receive the policy account value that includes a terminal bonus. The maturity benefit will be paid in a lump sum amount.
Surrender Benefit: With the SBI Life Flexi Smart Plus Plan, insured is free to surrender the plan when they want to. However, if you surrender the plan during the first 5 policy years, the life cover will cease and fund management charge of discontinued policy account will get deducted. If you surrender the policy after completing 5 policy years, the insured will get plan account value immediately.
Partial Withdrawals: The plan allows the insured to make partial withdrawals after completing 5 years of the plan. You can do 1 free partial withdrawal during 1 policy year. To make an extra withdrawal, you need to pay a fee of Rs.100. You need to keep in mind that only 3 partial withdrawals can be made during one policy year and not more than 10 partial withdrawals during the entire policy term.
Increase Policy Term: Every year after completion of 5 years of the policy, the insured will get a choice to increase the policy tenure. If the insured increases the policy tenure, the corresponding premium payment term will also get an increase. You can grab this benefit only once during the entire policy term.
Revival/renewal: Your policy can be reinstated within two years from the date of first unpaid premium. For the same, you have to pay all outstanding premiums.
Grace Period: The SBI Life Flexi Smart Plus Plan carries a grace period of 30 days from the due date of the payment. It is extra time that the plan offers to make your payment after the due date.
Income Tax Benefit: The premium that you pay under this life insurance plan is eligible for tax exemption under Section 80C.
Policy Administration Charges: You have to pay Rs.70 in the initial year and Rs.50 from the second year onwards as the policy administration charges. The policy administration charges will keep on increasing every year at 3% per annum.
Fund Management Charges: Fund management charges are levied as a percentage of the policy value account. The same will be credited in the value of the policy account. The annual charge is 0.75 p.a and for the discontinued policy, it is 0.50%.
Discontinuance Charges:
| Year | Discontinuation charge |
| 1 | Lower of 6% of (AP or FV) subject to a maximum of Rs.6000 |
| 2 | Lower of 4% of (AP or FV) subject to a maximum of Rs.5000 |
| 3 | Lower of 3% of (AP or FV) subject to a maximum of Rs.4000 |
| 4 | Lower of 2% of (AP or FV) subject to a maximum of Rs.2000 |
| 5 | NIL |
| Year | Premium allocation charge( % of Premium) |
| Year 1 | 9.00% |
| Year 2-4 | 6.50% |
| Year 5 | 6.00% |
| Year 6 onwards | 5.00% |
Mortality Charges: Mortality charges are recovered every month on the first date of every month. It will be based on your age and sum at risk.
The plan comes out with a single exclusion that is suicide. Under the same, if the policyholder commits suicide within the first year of the policy from the issuance date or revival date of the insurance policy, the policy will get void. In such a case, the company will pay the policy account value to the nominee.
The minimum top-up amount under SBI Flexi Smart Plus Plan is Rs.2000. The total top-up premium paid should not exceed the sum total of regular premiums.
The Flexi Smart Plus Plan is one of the preferred alternatives for those who are looking for wealth creation opportunities while protecting their loved ones. It even ensures guaranteed returns. Along with attractive features which include guaranteed minimum bonus and multiple protection options to select from, it is one of the most sought-after policies in India.
If the insured stops paying the premium, the plan will cease and will get converted to a paid-up policy. The same can be revived within 1 year from the date of the first unpaid premium. If you have still not revived the policy after 1 year, you will get the surrender value. It will be paid on the first day of the fourth policy year.
If the insured wants to surrender the policy before the completion of the first 3 years, he/she will receive the surrender value only after the completing 3 years. The plan carries a charge of 2% in the 4th and the 5th year. There will be no surrender charges after completing 5 years of the policy.
No, the plan does not come out with the loan facility. Unlike other plans, this plan does not allow the customer to file for a loan against the same.
There are two plan options– Gold and Platinum. Both come out with the required life cover to meet your family's financial needs
Yes, you are allowed to enhance the corpus with the option to increase your chosen policy tenure.
Last updated on 09-02-2021
