HDFC Life Sanchay Plus

About HDFC Life Sanchay Plus

Why This Plan Should Not Be Missed by Anyone?

The HDFC Life Sanchay Plus plan works as financial support in every stage of life, for it offers:

• Guaranteed benefits
• Liberty to choose from four benefit options depending on your life stage and priorities
• Flexibility to choose guaranteed benefits as a lump sum or as regular income
• Security against unexpected events by providing life cover for the entire policy term
• Opportunity to enhance your cover via additional protection through riders
• Accessibility to tax benefits under Sections 80(C) and 10(10D)

The modes of payment for this plan are: yearly, half-yearly, quarterly, and monthly. The Claim Settlement Ratio of HDFC Life is 97.8%.

Illustration

A non-smoking male aged 30 (aged 50 in case of the Life Long Income option) who pays a premium of Rs 1 lakh will receive the following benefits (based on the plan option chosen):

How Does the Plan Work?

The individual has to choose any one of the four benefit options depending on his/her needs and priorities. Based on the plan option chosen, the individual can choose a feasible premium paying term and policy term. The option once chosen cannot be changed later.

Now, let’s better understand the plan options:

Guaranteed Income Option

• Maturity Benefits: On the survival of the policyholder till the date of maturity of the policy, the policyholder will be paid the guaranteed maturity benefit. This option pays the maturity benefit in the form of guaranteed income for a fixed term of 10/12 years. The amount of guaranteed income depends on the premium payment term, as follows:

• At any point of time during the pay-out period, the policyholder shall have an option to receive the future income as a lump sum, which shall be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates.

• On the death of the policyholder during the pay-out period, the beneficiary will continue receiving guaranteed income as per income pay-out frequency and benefit option chosen till the end of the pay-out period. The beneficiary will have an option to receive the future income as a lump sum, which will be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates. 

• Death Benefits: In case the policyholder expires during the policy term, the death benefit will be paid to the beneficiary. The policy shall be terminated once the death benefit is paid.

  The death benefit is equal to sum assured on death + accrued guaranteed additions. Sum assured on death is the highest of 10 times the annualized premium OR 105% of total premiums paid OR Guaranteed sum assured on maturity OR An absolute amount assured to be paid on death (which is equal to the sum assured) OR premiums paid accumulated at an interest of 5% p.a. compounded annually.

Long-term Income Option

• Maturity Benefit: On the survival of the policyholder till the date of maturity of the policy, the policyholder will be paid the guaranteed maturity benefit.
  • This option offers a guaranteed income benefit for the fixed term of 25 or 30 years and a return of premium at the end of pay-out period. The amount of the guaranteed income depends on the premium payment term chosen as follows:

• At any point of time during the pay-out period, the policyholder shall have an option to receive the future income as a lump sum, which shall be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates.

• On the death of the policyholder during the pay-out period, the beneficiary will continue receiving guaranteed income as per income pay-out frequency and benefit option chosen till the end of the pay-out period. The beneficiary will have an option to receive the future income as lump sum, which shall be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates.

• Death Benefit: Same as the benefits for the Guaranteed Income option.

Life-long Income Option

• Maturity Benefit:  On the survival of the policyholder till the date of maturity of the policy, provided all the premiums are paid, the policyholder will be paid with a guaranteed maturity benefit.
  • This option offers a benefit guaranteed income up to age 99 years and a return of premium at the end of pay-out period. The amount of the guaranteed income depends on the premium payment term chosen as follows:

• At any point of time during the pay-out period, the policyholder shall have an option to receive the future income as a lump sum, which shall be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates.

• On the death of the policyholder during the pay-out period, the beneficiary will continue receiving guaranteed income as per income pay-out frequency and benefit option chosen till the end of the pay-out period. The beneficiary will have an option to receive the future income as a lump sum, which shall be the present value of future pay-outs, discounted at a rate which is computed using the prevailing interest rates. 

• Death Benefit: Same as the benefits for the Guaranteed Income option.

Riders

The HDFC Life Sanchay Plus plan offers these riders: Income Benefit on Accidental Disability rider and Critical Illness Plus rider.

Eligibility