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SBI Life Insurance 50000 Per Year for 5 Years Plan

Updated On Jan 24, 2024

When it comes to securing your financial future, investing wisely is key. One option that has garnered attention is the "SBI Life Insurance 50000 Per Year for 5 Years Plan". This plan is designed for those looking to invest a fixed amount annually over a short period, with the aim of reaping benefits in the long run. At InsuranceDekho, we understand the importance of choosing the right investment plan that aligns with your financial goals and provides the security you need. Let's delve deeper into the features of the SBI Life 5 Year Plans, helping you make an informed decision about this investment opportunity.

Features of SBI Life 5 Year Plans
Top SBI Life Insurance 50000 Per Year for 5 Years Plans
How to Choose the Right Plan for Your Needs?
Conclusion
FAQs on SBI Life Insurance 50000 Per Year for 5 Years Plan

Features of SBI Life 5 Year Plans

SBI Life Insurance offers a variety of plans tailored to different investment needs. Here are some key features of the SBI Life Insurance plans where you invest ₹50,000 per year for 5 years:

Investment Period: The investment period for these plans is typically 5 years, where you commit to an annual payment of ₹50,000.

Plan Options: SBI Life offers various plans under this scheme, each with unique benefits and terms, catering to different investment objectives.

Sum Assured: The sum assured varies based on the plan chosen and the policyholder’s age, health, and other factors.

Maturity Benefits: Depending on the specific plan, you can receive maturity benefits either as a lump sum or in the form of regular payouts.

Death Benefit: In case of the untimely demise of the policyholder during the policy term, the nominee is eligible for a death benefit.

Tax Benefits: Investments in these plans are eligible for tax benefits under Section 80C, and the maturity proceeds may also be tax-free under Section 10(10D), subject to provisions of the Income Tax Act.

Riders: Additional riders may be available for enhanced coverage, like accidental death and critical illness riders.

Flexibility: Some plans offer flexibility in terms of premium payment frequency, partial withdrawals, and policy term adjustments.

Eligibility: The eligibility criteria for these plans include minimum and maximum entry ages, which vary from plan to plan.

Premium Payment Modes: You can choose from various modes of premium payment, such as yearly, half-yearly, or quarterly.

Top SBI Life Insurance 50000 Per Year for 5 Years Plans

Here’s a breakdown of the SBI life insurance 5 years plan details:

1. SBI Life Smart Platina Assure

Feature	Description
Plan Type	Non-linked, non-participating, individual life insurance savings product.
Policy Term	Options of 12 or 15 years with a limited premium payment term of 5 years.
Premium Amount	Minimum ₹50,000 per annum.
Sum Assured	Varies based on age, premium, and policy term.
Maturity Benefit	Guaranteed Sum Assured on Maturity, which is a percentage of total premiums paid.
Death Benefit	Higher of the Sum Assured or 105% of the total premiums paid.
Surrender Benefit	Available after the policy has been in force for a minimum period.
Loan Facility	Available after the policy acquires a surrender value.
Tax Benefits	Under Section 80C and Section 10(10D) of the Income Tax Act.

2. SBI Shubh Nivesh

Feature	Description
Plan Type	Endowment product with options of whole life coverage.
Policy Term	Regular Premium: 7 to 30 years; Single Premium: 5 to 30 years.
Premium Amount	Minimum ₹6,000 per annum for regular premium; ₹22,000 for single premium.
Sum Assured	Based on the premium, policy term, and age at entry.
Maturity Benefit	Sum Assured along with Simple Reversionary Bonuses and Terminal Bonus, if any.
Death Benefit	Higher of Sum Assured or Vested Reversionary Bonuses or 105% of all premiums paid.
Riders	Optional riders available for accidental death and disability, critical illness, etc.
Tax Benefits	Eligible for tax benefits under Section 80C and Section 10(10D) of the Income Tax Act.
Surrender Value	Available if premiums are paid for at least 3 full years.

3. SBI Smart Wealth Assure

Feature	Description
Plan Type	Unit-linked, non-participating life insurance plan.
Policy Term	Single premium payment with policy term options of 10 to 30 years.
Premium Amount	Minimum ₹50,000 as a one-time investment.
Sum Assured	Multiple options starting from 1.25 times to 5 times the single premium, based on the age of the insured.
Fund Options	Variety of fund options to cater to different risk appetites and investment strategies.
Death Benefit	Higher of the fund value or sum assured, subject to 105% of all premiums paid.
Maturity Benefit	Fund value as per market value at the time of policy maturity.
Partial Withdrawal	Allowed after 5 years, subject to conditions.
Tax Benefits	Tax benefits under Section 80C and Section 10(10D), as per prevailing tax laws.
Switching Option	Flexibility to switch between funds to optimise returns.

4. SBI Life Smart Wealth Builder

Feature	Description
Plan Type	Unit-linked, non-participating life insurance plan.
Policy Term	Flexible terms ranging from 10 to 30 years.
Premium Payment Term	5 years (limited pay) or regular pay options.
Premium Amount	Minimum ₹30,000 per annum for limited pay; ₹24,000 for regular pay.
Sum Assured	Varies based on premium, age, and policy term.
Fund Options	A wide range of funds to choose from based on investment objectives.
Death Benefit	Higher of fund value or sum assured, but not less than 105% of total premiums paid.
Maturity Benefit	Fund value at the time of policy maturity.
Loyalty Additions	Added from the 6th year onwards, subject to policy terms.
Partial Withdrawal	Allowed under certain conditions, after completion of five policy years.
Tax Benefits	Available under Section 80C and Section 10(10D) of the Income Tax Act.

5. SBI Life Grameen Bima

Feature	Description
Plan Type	Micro-insurance plan tailored for the rural and economically weaker sections.
Policy Term	Fixed term of 5 years.
Premium Payment	Single premium payment with affordable rates.
Sum Assured	Provides a range of sum assured options, typically lower compared to traditional plans, to keep it affordable.
Eligibility	Specifically designed for individuals in rural areas, with minimal entry requirements.
Death Benefit	In the event of the policyholder’s untimely demise during the policy term, the nominee receives the sum assured.
Maturity Benefit	Generally, there is no maturity benefit as it is a pure term insurance plan.
Simplicity	Easy to understand and subscribe to, with minimal paperwork.
Accessibility	Widely available through SBI's extensive rural network and outreach programs.

How to Choose the Right Plan for Your Needs?

Choosing the right insurance plan can be a daunting task, given the plethora of options available. Here are some guidelines to help you make an informed decision:

Assess Your Financial Goals: Determine what you want to achieve with your insurance plan – whether it’s protection, savings, investment, or a combination.

Consider Your Life Stage: Your insurance needs change with different life stages – single, married, with children, nearing retirement, etc. Choose a plan that aligns with your current life stage.

Evaluate the Sum Assured: Ensure the sum assured is adequate to cover your family's financial needs in your absence.

Understand Plan Features: Look into the benefits, policy term, premium payment term, riders, etc., to understand what the plan offers.

Review the Claim Settlement Ratio: A high claim settlement ratio of an insurer indicates reliability and a higher likelihood of your claim getting settled.

Read the Fine Print: Understand the terms and conditions, including the exclusions and limitations of the policy.

Seek Expert Advice: Consulting with relationship advisors from InsuranceDekho can be immensely beneficial. They can provide personalised advice based on your specific needs and help you navigate through various options. You can get in touch with them through the InsuranceDekho website or contact them directly for a consultation.

By considering these factors and leveraging expert guidance, you can choose a plan that not only meets your insurance needs but also complements your overall financial planning.

Conclusion

Exploring SBI Life Insurance's diverse range of plans, including the ₹50,000 per year for 5 years option, highlights the importance of choosing an insurance policy that aligns with your financial goals and life stage. Each plan, from Smart Platina to Grameen Bima, offers unique benefits catering to different needs, whether it's wealth accumulation, life cover, or a combination of both. It's crucial to assess your personal financial situation, understand the features of each plan, and seek expert advice to make an informed decision.

FAQs on SBI Life Insurance 50000 Per Year for 5 Years Plan

What is the SBI Life Insurance 50000 Per Year for 5 Years Plan?

It refers to a range of SBI Life Insurance plans where you invest ₹50,000 annually for 5 years.

What are some plans under this scheme?

Plans include SBI Smart Platina, SBI Shubh Nivesh, SBI Smart Wealth Assure, SBI Life Smart Wealth Builder, and SBI Life Grameen Bima.

Who is eligible for these plans?

Eligibility varies by plan, typically ranging from 18 to 60 years at entry.

Are these plans tax-efficient?

Yes, investments in these plans are eligible for tax benefits under Section 80C, and maturity proceeds may be tax-free under Section 10(10D), subject to provisions of the Income Tax Act.

Can I avail a loan against these policies?

Loan facilities are available in some plans like SBI Smart Platina and SBI Smart Wealth Assure after the policy acquires a surrender value.

Do these plans offer death benefits?

Yes, all these plans provide a death benefit to the nominee in case of the policyholder's untimely demise during the policy term.

What are the maturity benefits of these plans?

Maturity benefits vary, ranging from the sum assured to fund value, depending on the specific plan.

How can I choose the right plan for me?

Consider factors like financial goals, life stage, premium affordability, and required benefits. Consulting with relationship advisors from InsuranceDekho can also provide personalised guidance.

Can I surrender these policies before maturity?

Yes, these policies can be surrendered after a certain period, subject to the terms and conditions of the respective plan.

Are there any additional riders available with these plans?

Yes, many of these plans offer additional riders like accidental death, critical illness, etc., for enhanced coverage.

Disclaimer

This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.