- 1 Characteristics of the SBI Life Smart Scholar Child Insurance Plan
- 2 SBI Life Smart Scholar Plan Advantages
- 3 Required Documents for the SBI Life Smart Scholar Plan
- 4 Additional SBI Scholar Plan Features and Riders
- 5 What Makes the SBI Life Smart Scholar Child Insurance Plan worthwhile?
- 6 Under the SBI Life Smart Plan Exclusions
The life of a conscientious parent is never simple. There is nothing more crucial than protecting the safety and security of your children. There are some things you can control, even though you may not be able to control all that life throws at you. You should not worry about paying for your child’s education, wedding, or any other life event if you plan ahead and choose sensible scholar SBI-life insurance products.
This unit-linked plan provides a number of advantages, including the payment of the base sum assured while you are not present, a waiver of the built-in premium, and the continuation of the policy. Additionally, this plan offers accidental complete and permanent disability benefits as well as accidental death benefits. Nine distinct fund alternatives, market-linked returns, partial withdrawal liquidity, and membership unit additions are all provided by SBI Life – Smart Scholar.
Characteristics of the SBI Life Smart Scholar Child Insurance Plan
Main components of this strategy
- Provides a flexible and comprehensive financial solution.
- Option built-in to waive premiums.
- Recurring loyalty bonus.
- Option to make partial withdrawals after the fifth insurance year Option to invest in a fund of your choosing.
- Choice between seven funds
- Upon maturity, a lump sum amount is released.
SBI Life Smart Scholar Plan Advantages
Advantages SBI Life Smart Scholar Plan
Maturity Benefit- Upon expiration of the policy term, the full fund value will be paid out.
Death Benefit – In the event that the policyholder or parent passes away, a lump sum payment equal to the greater of the Sum Assured or 105 percent of all premiums paid up to the date of death will be made. The accrued fund value will be reimbursed at maturity, and the health insurer will continue to pay all future premiums on the policyholder’s behalf (built-in Premium Payor Waiver Benefit). The insurer will provide an additional benefit in the amount of the accident benefit sum promised in the event of accidental death or catastrophic total and permanent disability.
Required Documents for the SBI Life Smart Scholar Plan
Following Papers are Needed for the SBI Child Education Plan
- KYC of both parents and children – ID proof, address verification, and an income statement
- Application for Proof of Age for Both Parents and Children
Additional SBI Scholar Plan Features and Riders
- Accident Benefit – Under this benefit, up to a maximum of Rs. 50 lakhs, the accident sum assured is equivalent to the base sum assured. The payment is paid in one single sum in the event of an accident death. The money assured in the event of Accidental TPD is paid in 10 equal annual payments.
- In the event of the policyholder’s passing, the SBI Life Insurance Company will cover all future premium payments under the Premium Payor Waiver Benefit. The children will be allocated to the fund value when it matures.
- Fund Options: You may choose to invest in any one or a mix of the funds listed below (in multiple of 1 percent )
- Top 300 Equity Fund Fund
- Growth Fund Equity Optimizer Fund
- Equilibrium Fund
- Bond Trust
- Cash Management Fund
- Changing Options – You have a choice of the seven funds indicated above for which you can invest. Two free transfers are permitted every policy year with a switch minimum of Rs. 5000.
- Premium Redirection Option – Premium redirection facility is allowed from 2nd policy year onwards.
- Partial Withdrawal – Partial withdrawals are allowed from the 6th policy year onwards. No more than 5 partial withdrawals are allowed in the entire policy term in case the policy term is less than 10 years. 10 partial withdrawals are allowed for a policy term above 10 years.
- Grace Period – The policy offers a 30 days grace period from the premium due date for yearly/half yearly/quarterly premium frequency and 15 days for monthly premium frequency. A lapsed policy can be revived within 2 years from the date of the first unpaid premium.
- Free-Look Period – The policy comes with a free look period of 15 days from the date of receipt of policy. For policies sourced through any channel other than distance marketing, the free look period is 30 days.
What Makes the SBI Life Smart Scholar Child Insurance Plan worthwhile?
The SBI Life Smart Scholar Child Insurance Plan is the best investment choice if you have children between the ages of 0 and 17 years. In accordance with this plan, you have the choice to pay premiums for a set amount of time, and the policy benefits last until your child reaches adulthood. Additionally, you can use the accrued fund value at the conclusion of the policy term for your child’s postsecondary learning, marriage, financial security, or any other purpose. The withdrawal option enables you to cover unforeseen costs.
Under the SBI Life Smart Plan Exclusions
Following are excluded under this plan
- The policy will be cancelled and no death benefit will be paid if the life insured commits suicide within a year of the risk commencement date, regardless of whether they were insane or not at the time.
- The Accidental Total and Permanent Disability Benefit (ATPD Benefit) will not be paid in the event of an accident resulting from any of the following circumstances:
- Use of drugs
- Injury caused by oneself
- wrongful acts
- Civil unrest and war
- Aviation Risky Activities Nuclear Contamination Sports and Recreation