On the maturity of your Lifesurance policy, provided all premiums have been paid in full when due we will pay you the sum insured along with the vested guaranteed additions, vested reversionary bonuses and terminal bonus, if any, in a lump sum.
Maturity Benefit = Sum insured + Vested guaranteed additions + Vested reversionary bonuses + Terminal bonus (if any)
Please note that Maturity benefit is only paid in full provided all premiums have been paid in full when due
On the death of the life insured during the policy term, provided all premiums have been paid in full when due we will pay the beneficiary, the sum insured along with the vested guaranteed additions, vested reversionary bonuses, interim bonus, if any and terminal bonus, if any in a lump sum.
Death Benefit = Sum insured + Vested guaranteed additions + Vested reversionary bonuses + Interim bonus (if any) + Terminal bonus (if any)
Please note that Death benefit is only paid in full provided all premiums have been paid in full when due
Guaranteed additions at the rate 50 per 1,000 sum insured will be added to your policy for each full annual premium that is due and paid in the first 5 years of the policy. In the case of premiums paid more frequently than annually, the guaranteed additions will be added on a pro rata basis as the due premiums are paid in the first 5 years of the policy. The vested guaranteed additions will become payable along with the sum insured at the time of a claim or maturity of the policy.
Please note that guaranteed additions will only be added provided that all the premiums have been paid in full when due.
After the fifth policy year your Lifesurance policy will participate in any profits of our participating policyholders’ life fund by way of reversionary bonuses and possibly terminal bonus. The amount of any profits, and hence of any bonuses will depend on the future experience and performance of the fund. The bonuses will be declared by the Board of IDBI Federal Life Insurance Company each year, and once added they will form part of the guaranteed benefits of the policy. The Company may declare an interim bonus in the event of a claim before the next bonus declaration. The company may also declare a terminal bonus to be paid on maturity or death provided all the due premiums have been paid.
Please note that bonuses will only be added provided that all the premiums have been paid in full when due.
Deduction under Sec 80C: The premiums that you invest in Lifesurance are eligible for deduction under Sec 80C of the Income Tax Act up to the limit of Rs. 1, 00,000 (along with other eligible investments).
Tax-free Benefits under Sec 10(10D): The maturity benefit as well as death benefit are tax-free under Sec 10(10D) of the Income Tax Act
There is also no tax deduction at source.
Please note that tax laws may change from time to time. You are also advised to consult and be guided by your tax advisor.
Policy Term: You can choose the term at the end of which you wish to receive the maturity benefits. Lifesurance provides you the flexibility to choose between four policy terms –10, 15, 20 or 25 years.
Premium Payment Term: You can choose the term for which you would like to pay premiums towards your Lifesurance Plan. The minimum Premium Payment Term is 5 years for policy terms of 15, 20 and 25 years. The minimum premium payment term is 6 years for policy term of 10 years. The maximum Premium Payment Term can be equal to the Policy Term. The minimum premium amount is Rs 20,000 for annual installments, Rs 10,000 for half-yearly installments, Rs 5,000 for quarterly installments and Rs 2,500 for monthly installments.
You can avail of the loan facility from IDBI Federal after the policy acquires surrender value. The loan amount granted will be up to 85% of the surrender value subject to terms and conditions specified by IDBI Federal from time to time.
Lifesurance offers attractive premium discounts, if the Sum Insured purchased is Rs. 10 lacs or above. The rebate offered is as mentioned in the table below:
|10,00,000 – 24,99,999
|25,00,000 and above
Lifesurance offers an additional premium discount for female insured persons. The basic premium payable for a female policyholder will be equivalent to the premium for a corresponding three-year younger male policyholder.
A useful feature under Lifesurance is that you will be able to create exclusive funds for the benefit of your loved ones which you can be sure no one will be able to access. These funds are legally protected from creditors and claimants on estate such as legal heirs, parties to disputes or creditors.
Under Sec 6 of the Married Women’s Property Act, 1874 a married man can take an insurance policy on his own life and express it to be for the benefit of his wife or children. When such intent is expressed on the face of the policy, it shall be deemed to be a trust for the benefit of the named beneficiaries and it shall not be subject to the control of the husband, or his creditors or form part of his estate. The Act also provides that nothing contained in the provision shall operate to destroy or impede the right of any creditor to be paid out of the proceeds of any policy of assurance which may have been effected with intent to defraud creditors.
You can ask for an endorsement of your Lifesurance Plan for the benefit of your wife or children or any combination of them under the Married Women’s Property Act, 1874.