Aditya Birla Sun Life Insurance Life Shield

About Aditya Birla Sun Life Insurance Life Shield

The Aditya Birla Sun Life Insurance (ABSLI) Life Shield plan is a non-linked, non-participating term insurance plan. The plan proves to be an ideal option because it provides flexibility to make a combination from among 8 different plan options as per your family’s needs so that your family need not compromise on their lifestyle even in your absence.
Along with death benefit, the plan also provides a variety of benefits such as terminal illness benefit, waiver of premium on total and permanent disability, waiver of premium on critical illness, joint life protection, enhanced life stage protection, maturity benefits, tax benefits, and additional riders.

Let’s understand this plan in brief before getting into its details:

How Does the Plan Work?

Firstly, at inception, the individual has to select the plan option and how long s/he wants to pay. The premium will vary depending on the plan option chosen by the policyholder. The plan option once selected cannot be changed during the policy term. The following are the plan options:

• Option 1 – Level Term Assurance: Sum assured chosen by the policyholder will remain constant for the entire policy term.
• Option 2 – Level Term Assurance with Waiver of Premium (WoP) Benefits: In addition to the benefit applicable for Option 1, in case the policyholder is diagnosed with critical illness or total permanent disability (whichever is earlier), all future premiums, if any, will be waived off and the policy will continue till the end of the policy term.
• Option 3 – Increasing Term Assurance: The policyholder can choose to enhance his/her sum assured at inception by 5 or 10% p.a. as per their needs. Every year, the sum assured will increase by 5 or 10% p.a. (simple) of the original sum assured without any increase in the premium amount.
• Option 4 – Increasing Term Assurance with Waiver of Premium (WoP) Benefits: In addition to the benefits applicable for Option 3, in case the policyholder is diagnosed with critical illness or total permanent disability (whichever is earlier), all future premiums, if any, will be waived off and policy will continue till the end of the policy term.
• Option 5 – Decreasing Term Assurance: In this option, the death benefit shall be payable as per the decreasing sum assured schedule given here:

• Option 6 – Decreasing Term Assurance with Waiver of Premium (WoP) Benefits: In addition to the benefits applicable for Option 5, in case the policyholder is diagnosed with critical illness or total permanent disability (whichever is earlier), all future premiums, if any, will be waived off and the policy will continue till the end of the policy term.
• Option 7 – Return of Premium: The sum assured chosen by the policyholder will remain constant for the entire policy term. If the policyholder survives till maturity date, the insurance company shall return all the premiums paid.
• Option 8 – Return of Premium with Waiver of Premium (WoP) Benefit: In addition to the benefits applicable for Option 7, in case the policyholder is diagnosed with critical illness or total permanent disability (whichever is earlier), all future premiums, if any, will be waived off and the policy will continue till the end of the policy term.

The individual has to select the policy term and premium-paying term as per the selected plan option, as follows:

• 10 times of the annualized premium for all ages
• 105% of all the premiums paid as on the date of death
• Maturity sum assured
• Absolute amount assured to be paid on death

• 125% of single premium for all ages
• Maturity sum assured
• Absolute amount assured to be paid on death

• Under Options 1, 2, 7, and 8: The effective sum assured is the sum assured at inception and this will remain constant throughout the policy term.
  For Option 1 and 2, the effective sum assured shall include any change in sum assured arising from the exercise of the Enhanced Life Stage Protection option.
• Under Options 3 and 4: The amount by which the effective sum assured will increase on every policy anniversary is the sum assured at inception multiplied by 5 or 10% p.a., as chosen by the policyholder at inception.
• Under Option 5 and 6: The effective sum assured is the sum assured as per the decreasing sum assured schedule.

• Lump sum payment
• Staggered payment with fixed annual income
• Staggered payment with increasing annual income at 5% p.a.

• Available only for Options 1 and 2
• Standard life at inception of the policy
• Regular pay mode
• The attained age of life insured should be less than or equal to 50 years while exercising this option

Riders

• ABSLI Accidental Death and Disability rider
• ABSLI Critical Illness rider
• ABSLI Surgical Care rider
• ABSLI Hospital Care rider
• ABSLI Accidental Death Benefit Plus rider

Why Should I Buy This Plan?

Besides the benefits mentioned earlier, here are some other features of the ABSLI Life Shield plan:

• Tax Benefits: Premiums paid, maturity benefits, death benefits, and surrender benefits will be eligible for tax benefits under relevant Sections of the Income Tax Act.
• Free-look Period: The individual is advised to go through the policy thoroughly. If s/he finds any objections to the terms and conditions of the policy, s/he can cancel the policy within 15 days (free-look period) by giving a signed written notice to the insurance company, stating the reasons for objection of the policy. The individual will be entitled to a refund of the premium paid, excluding a few charges like stamp duty charges.

Who Should Buy This Plan?

The eligibility criteria to purchase this plan is 18 to 65 years. The ABSLI Life Shield Plan proves to be an ideal plan for it accommodates your requirements for a comfortable today by asking for limited premiums and helps you fulfil your responsibilities even when you are absent by offering high protection cover along with additional benefits.

Claim Process

Know Claim Process of Aditya Birla Sun life Income Assured plan 

Claim Process