Objective

This policy aims to relieve family members from the liability of an outstanding loan, in case of unfortunate death of the insured member.

What does it do?

This plan addresses the concern of home loan repayment in case of unfortunate demise of the breadwinner of the family. Here, the sum assured decreases as the loan is repaid. The policy doesn't pay any maturity benefit on survival. This plan can be taken either on single-life or joint-life basis. It also offers an optional accelerated sum assured (ASA) benefit that covers 6 critical illnesses for a sum equal to the basic sum insured under the policy. Once this claim is settled, the basic policy cover also ends.

Pros

Decrease in sum assured with decrease in loan liability reduces premium towards the policy, thus saving policyholder from paying for insurance cover that is not required.
Women enjoy lower premium rates.
Premiums paid qualify for taxation benefits.

Cons

Accelerated sum assured benefit covers only 6 critical illnesses.

Suited for

This policy is suitable if you have any outstanding loan or plan to take a loan in future.

Our View

This is a useful policy to protect your family from the burden of repaying a loan. It ensures that they continue living in self-owned house in your absence.
Critical Illness rider makes more sense with a basic health insurance policy. This rider in the policy cannot replace a basic health plan, but bought as an add on to supplement the loan liability.

Eligibility

Entry Age (years)

Minimum

18

Maximum

55

Maximum Maturity Age (years)

65

Policy Term (years)

Minimum

10 for Regular Premium policies; 5 for Single Premium Policies

Maximum

30 for Regular Premium Policies; 15 for Single Premium policies

Sum Assured (Rs)

Minimum

800000

Maximum

No Limit

Premium Payment Frequency

Single, Yearly, Half-yearly and Quarterly

Premium Payment Term

Regular and Single (Regular is 2/3rds of policy term)

Policy Cover

Cover remains fixed for the tenure of the policy

Other Features

Grace Period

You are allowed to pay premiums within 15 days from the due date. If a due premium is not received within the grace period of 15 days, your policy will lapse and the life insurance cover, including the rider cover, if any, will be terminated.

Tax Benefits

Section 80C, 10 (10D) of the Income Tax Act, 1961 would apply. Premiums paid for Accelerated Sum Assured may qualify for deduction under Section 80D of the Income Tax Act, 1961.

Exclusions

In case of death by suicide during the first policy year, or within one year from the date of reinstatement, no death benefit is payable. Further, if the Life Assured under the policy, whether medically sane or insane, commits suicide, within one year of exercising the option to increase the Sum Assured, then the amount of increased Sum Assured will not be considered in the calculation of the Death Benefit

Customer Service

Address

HDFC Standard Life Insurance COmpany Limited, 13th Floor, Lodha Excelus, Apollo Mills Compound, N M Joshi Road, Mahalaxmi, Mumbai - 400011

Mail To

response@hdfcinsurance.com

Call On

1800 227 227

SMS

LIFE@5676727

Additions to the Plan

Available Rider(s)

Accelerated Sum Assured: On diagnosis of any of the 6 critical illnesses; the rider sum assured is paid but the base policy terminates after settlement of this claim.

Rider Conditions

Entry Age (years)

Minimum

18

Maximum

55 in case of regular premium; 60 in case of Single premium

Maximum Maturity Age (years)

65

Rider Term (years)

Minimum

10 for Regular Premium policies; 5 for Single Premium policies

Maximum

30 for Regular Premium policies; 15 for Single Premium policies

Sum Assured (Rs)

Minimum

Equal to Sum Assured

Maximum

Equal to Sum Assured