Unit Linked Insurance plans are an investment-cum-life insurance policy. It offers two-fold benefits- investment when the policyholder is alive & post-death benefits to the nominee. Now, the next obvious question is- who is the best provider of ULIPs? Well, SBI is considered to be the best in this profile.
It is one of the leading Indian insurance companies. It is a joint venture BNP Paribas Cardif & State Bank of India. SBI offers unit-linked insurance plans and the same have been represented below in a tabular form as per 2019-2020 for an easy study.
|Plan Name||Annual Premium Range||Entry Age||Policy Term||Maximum age At Maturity|
|SBI Life Smart Wealth Builder||Rs.30,000 to Rs. 3 Lakhs||7 Years||Regular premium and limited premium - 60 Years |
Single premium - 65 Years
|Regular premium and limited premium - 10 Years, 15 Years to 30 Years |
Single premium - 5 Years to 30 Years
|SBI Life Smart Power Insurance||Rs.15,000 onwards||18 Years||45 Years||10 Years, 15 Years to 30 Years||65 Years|
|SBI Life Smart Elite||Rs.1,50,000 onwards||18 Years||60 Years||6 Years to 20 Years||65 Years|
|SBI Life Smart Privilege Plan||Single premium amount - Rs.6 Lakhs onwards||Regular premium and limited premium - 8 Years |
Single premium - 13 Years
|55 Years||Regular premium and limited premium - 10 to 30 Years |
Single premium - 5 to 30 Years
|SBI Life Saral Maha Anand||Rs.15,000 to Rs. 29,000||18 Years||55 Years||10 Years/ 15 Years/ 20 Years||65 Years|
|SBI Life eWealth Insurance||Rs.10,000 onwards||18 Years||50 Years||10 Years to 30 Years||60 Years|
|Plan Name||Monthly Premium Range||Entry Age||Policy Term||Maximum age At Maturity|
|SBI Life Smart InsureWealth Plus||Rs.4,000 onwards||30 Days||55 Years||10, 15, 20 and 25 Years||65 Years|
|SBI Life Saral Insure Wealth Plus||Rs. 8,000 onwards||30 Days||65 Years||10, 15, 20 and 25 Years||65 Years|
|SBI Life Smart Wealth Assure||Single premium - Rs.50,000 onwards||6 Years||65 Years||10 Years to 30 Years||75 Years|
Smart Wealth Builder is a unit-linked non-participating plan under SBI Life. The plan does not offer liquidity within the first five years from the date of purchase of the policy. No amount can be withdrawn during this time span. The fund value is paid on the completion of the policy tenure.
Under the death benefit, if the policy is in-force then higher of the fund value or sum assured is payable with a minimum of 105% of the total basic premiums paid till the date of intimation of death.
Other than being a non-participating ULIP, the plan provides an add-on facility for in-built accelerated total and permanent disability (TPD). In the case of TPD, due to some accident or any kind of severe sickness, 100% of the death benefit is paid immediately and thereafter the policy is terminated.
SBI Life Smart Elite is a non-participatory SBI ULIP plan provides dual protection to the policyholders. The two options are gold and platinum. The plan also has an inbuilt accidental cover. The insured can avail of limited and single premium payment options. Partial withdrawals can be done from the 6th year from the date of sanction of the policy.
Under this SBI ULIP Plan, the insured gets easy monthly insurance for life coverage. Policy buyers are free to choose one of the 3 investment strategies :
There are 9 fund options under the smart choice strategy. The policyholder is benefited from the return of maturity charges when the policy matures.
The specialty of this non-participating unit-linked insurance policy is that it provides the policyholder to choose a mix of funds from the Bond Fund and Equity Fund. Moreover, there is an option to customize the product with an accidental death rider option. The plan is one of the best to ensure the financial protection of your family.
This SBI ULIP plan provides the insured with life insurance as well as market-linked returns. The loyalty additions are done only after the completion of 5 years. The lock-in period for the plan is for 5 years and no funds can be withdrawn before the completion of the 5 years.
The plan has 8 different funds including midcap option and pure fund. The policyholder can go for unlimited free switches and premium redirection. In the case of the minor insured, partial withdrawals can only be done after the age of 18 years.
This SBI Life Saral Maha Anand Unit Linked plan has an offer for insurance coverage for your family. It is a non-participating plan. The plan has 3 options for fund investment. Accidental death benefit rider is linked with the plan. The buyer does not need to undergo pre-insurance medical screening to buy the plan.
The policyholder is free from the premium allocation charge along with nominal premium payments from the 11th year of the policy. The insured is not subject to partial or complete liquidity before completion of 5 years.
SBI Life eWealth Insurance plan provides the insured with life overage. Investment management is done through automatic asset allocation. There are two plans option under this ULIP:
The plan has nominal premium payment procedures without any allocation charges applied to it.
The plan is non-participating ULIP. It provides the policyholder with 8 fund options based on the risk factor. In order to facilitate regular payouts, the insured can do systematic withdrawals from the 11th policy year. There are loyalty additions which act as fund value booster.
Planning for the future requires money and small investments can help you raise a handsome amount. This monetary backup can be termed as financial security. The non-participating unit-linked plans are safer to invest as they are unaffected from the market risk. A number of options have been presented by SBI Life Insurance company at an affordable premium and flexible policy term. Plan and choose accordingly.
The ULIPs provide higher returns in comparison to other investments. An average return of 12-13% on a yearly basis has been noted under ULIPs investment. Mostly the higher returns under ULIPs attract customers.
Tax Exemption Benefit:
ULIPs have tax exemption benefits. All the premiums paid by the policyholder under ULIPs are considered tax-free under section 80C of the Income Tax Act, 1961. So, you can save your hard-earned money through this investment.
The riders like accidental death rider and critical illness rider give you additional coverage at the time of medical emergencies. Few Unit-linked plans of SBI provide the insured with 100% death benefit immediately in case of severe sickness due to the accident.
ULIPs provides the policyholders with a double benefit. On one side it gives life coverage while on the other side it acts as a long-term investment that can be helpful in planning the future of the self and the kids.
The death benefit is a common thing in life insurance policy which is provided to the beneficiary post-death of the insured. But, ULIPs also provide you with maturity benefits in case the insured outlives the policy term.
Objective Of Investment: Ponder over the reason for which you need to invest in the ULIPs. There must be some goals or plans that you target to meet in the upcoming years. The requirements and the planning with respect to that will help you come out with the objective of investment/saving. Many times the investment is done for marriage, children’s education, etc. So, think and decide.
Performance Of Fund: Prior to the purchase of ULIPs, it’s your homework to check the performance of the unit-linked insurance plans in the present market for a couple of months/year. The investment should bring you profit. So, invest in a plan that has had a good performance in the market in the past.
Compare: Compare all the features, benefits, rider benefits, and payable premiums of different ULIPs offered by SBI and go for a plan that suits your pocket and requirement the most.
Investment is a basic requirement to plan the future but to make an investment you need to cross-verify several things. So, analyze, finalize and invest.
In order to buy the plan, the minimum age eligibility is 30 days and maximum age eligibility is 55 years.
SBI Life Smart Wealth Assure has a single premium payment facility and the premium amount to be paid is Rs.50,000 onwards.
The policy term of SBI Life Smart Wealth Builder Plan is:
Accidental death rider and critical illness rider are available under the ULIPs.
SBI ULIPs offering an annual premium facility are:
No, partial liquidation of the fund is possible only after completion of the lock-in period.
Last updated on 06-11-2020