SBI Term Insurance Plan Review

The SBI Term Insurance Plans are pure risk plans, which provide only death benefit at the time of an unfortunate demise of the life assured. Out of all the term plans of SBI Life, the eShield Next is loaded with benefits and offers more coverage at different stages of life. The SBI Life term plans also offer additional riders which enhances the coverage in case of accidental death and disabilities. However, these plans do not offer any maturity and survival benefits.

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SBI Life Term Insurance

3.5

Our ratings take into account a product's rewards, fees, rates and other category-specific attributes. All ratings are determined solely by our editorial team.

Whole life cover

Up to 100 years

Accidental Death And Accidental Disability Rider

Terminal illness benefit

Up to INR 2 crore

Whole life cover

Up to 100 years

Accidental Death And Accidental Disability Rider

Terminal illness benefit

Up to INR 2 crore

Pros & Cons

• Life cover up to 100 years.
• Cost-effective plans.
• Strong operating network
• Lower premiums for non-smokers

• There are no maturity and surrender benefits.
• No discount on online purchase.

SBI Life – eShield Next

The SBI Life eShield Next is a new-age online term plan. It offers a whole life cover of up to 100 years along with the various benefits. This term plan has three variants: Level Cover, Increasing Cover and Level Cover with Future Proofing Benefit.

Key Features:

• Option to choose from three plan options:
  1. Level Cover Benefit: In this plan, the absolute sum assured amount is the same or in level throughout the policy term.
  2. Increasing Cover Benefit: Here, the absolute sum assured amount is increased by 10% of the basic sum assured amount at the end of every fifth policy year. This increase in amount is subject to the maximum of 100% of the basic sum assured. This increase in the cover is limited till the age of 71 years.
  3. Level Cover with Future Proofing Benefit: This plan gives a choice to the life assured to increase the absolute sum assured amount on attaining specific stages of life during the policy term. Such as on getting married, the life assured has the option to increase the sum assured amount by 50% of the basic sum assured, up to maximum of INR 50 lakh. Similarly, 25% increase in the basic sum assured amount is given on the birth of first and second child.
• Option to choose from two benefits such as death benefit payment mode or better half benefit option. Death benefit can be paid in either lump sum, monthly installments or the combination of both. Whereas, the Better Half benefit, provides financial protection in the absence of the life assured to their spouse. The plan cover would be the level cover which will be paid in lump sum, irrespective of the plan option chosen by the life assured.
• The terminal illness benefit is in-build with this plan. If the life assured is diagnosed with any of the terminal illnesses, before the age of 80 years, they would be paid the benefit equal to the sum assured on death till the date of diagnosis, subject to a maximum of INR 2 crore.
• Option to pay the premium amount either only once or for a limited period or entire policy term (limited, regular or single payment option).
• Provides life cover up to 100 years for whole life or 85 years if other than whole life.
• Optional add-on Benefit:
  1. Accidental Death Benefit Rider.
  2. Accidental Total and Permanent Disability Rider.
• Benefits:
  1. Death Benefit: For regular and limited policies, the benefit is higher of the following:
• 10 times the annualized premium, or
• Absolute sum assured to be paid on death, or
• 105% of the total premiums received up to the death.
  2. And, for single premium policies, the benefit is higher of the following:
• 1.25 times of single premium, or
• Absolute sum assured to be paid on death.

Who is Eligible to buy SBI Life – eShield Next policy?

Minimum entry age:

• For whole life: 45 years
• Other than whole life cover: 18 years

Maximum Entry Age:

• For single premium: 65 years
• For regular premium: 60 years
• For better half benefit: 55 years

Maximum Maturity Age:

• For single and regular premium: 85 years
• For whole life: 100 years

SBI Life – Saral Jeevan Bima

The SBI Life – Saral Jeevan Bima is one of the standard and low-cost term plan. Other than death benefit, the policy does not offer any survival, maturity or rider benefit.

Key Features:

• Option to pay premium once, regularly or for a limited (five or ten years) period.
• The basic sum assured of the plan is minimum of INR 5 lakh to INR 25 lakh.
• Benefits:
  1. Death Benefit: This benefit is given on death of the life assured during the policy term to the nominee, who receives the sum assured on death, in lump sum. For regular and limited premium payment policies, the benefit is higher of the following:
• Ten times of the annualized premium
• 105% of all premiums paid as on the date of death
• Absolute amount assured to be paid on death

For Single premium policies, it is higher of:

• 125% of Single premium
• Absolute amount assured to be paid on death

And, for single premium policies, the benefit is higher of the following:

• 1.25 times of single premium, or
• Absolute sum assured to be paid on death.

Who is Eligible to buy SBI Life – Saral Jeevan Bima

• Minimum entry age: 18 years
• Maximum entry age: 65 years
• Policy term: 5 to 40 years

SBI Life Poorna Suraksha

The SBI Life Poorna Suraksha is a standard term plan which comes with in-build critical illness riders and thus it provides comprehensive coverage along with the health cover.

Key Features:

• The sum assured ranges from minimum INR 20 lakh and maximum of INR 25 crore.
• Combination of both life cover and critical illness cover. It is to be noted that the critical illness cover increases with equal decrease in life cover, under life stage rebalancing benefit.

• Under critical illness rider, this policy covers 36 listed illnesses such as cancer, heart stroke, among others.
• On the diagnosis of critical illness, all the future premiums will be waived-off for the rest of the policy term.
• There is a fixed amount of premium all throughout the policy term.
• Benefits:
  1. Death Benefit: This benefit is given on death of the life assured during the policy term to the nominee, who receives the sum assured on death, in lump sum which is higher of the following:
• Ten times of the annualized premium
• 105% of all premiums paid as on the date of death
• Absolute amount assured to be paid on death
  2. Critical Illness Benefit: This benefit is paid only once and will not be paid ever again. The sum assured of critical benefit is the sum assured paid to the life assured, if diagnosed with one of the listed 34 critical illnesses. The initial waiting period of this benefit is 90 days and nothing will be paid, if the diagnosis happens within 90 days of the policy commencement date.

Who is eligible to buy SBI Life Poorna Suraksha?

• Minimum and maximum entry age: 18 years and 65 years.
• Minimum and maximum maturity age: 28 years and 75 years.
• Policy terms are of 10,15, 20,25 and 30 years.

SBI Life- Smart Shield

The SBI Life- Smart Shield is a pure kind of term plan, which intends to provide comprehensive life coverage along with the increasing cover option. The increasing term assurance ensures to enhance the coverage amount with the increasing age and more responsibilities. This plan also comes up with two useful riders.

Key Features:

• Offers two options such as level term assurance and increasing term assurance.
• Add on covers:
  1. Accidental Death Benefit Rider
  2. Accidental total and permanent disability benefit rider.
• Avail an attractive discount on a huge sum assured amount.
• Lower premium for non-smokers.
• There is no maturity benefit offered in the policy.
• The basic sum assured of this plan is INR 25 lakh.
• Premium can be paid either once or regular payment mode can be opted.
• Benefits:
  1. Death Benefit: This benefit is given on death of the life assured during the policy term to the nominee, who receives the sum assured on death, depending upon the plan option chosen:
• In the level term assurance, the sum assured as on date of death gets leveled with the sum assured opted.
• In the increasing term assurance, the sum assured as on date of death will be the sum assured increased at 5% per annum.

Who is Eligible to Buy SBI Life- Smart Shield?

• Minimum and maximum entry age: 18 years and 60 years.
• Maximum maturity age: 80 years.
• Policy term: 5 years to 80 years.

SBI Life- Arogya shield

The SBI Life- Arogya shield is a standard term plan which comes along with the health cover. The sum assured range of life cover is up to INR 25 lakh.

Key Features:

• Offers dual protection of health insurance cover and life insurance cover.
• As a health cover, it provides coverage for day care procedures and pre- and post- hospitalization expenses.
• Benefits:
  1. Death Benefit: This benefit is given on death of the life assured during the policy term to the nominee, who receives the sum assured on death, in lump sum, whichever is the highest of:
• 10 times of the annualized premium
• 105% of total premiums paid.
• Absolute amount assured to be paid on death.

Who is Eligible to buy Arogya Shield?

• Minimum and maximum entry age: 18 years and 65 years.
• Minimum and maximum Policy Term: 5 years and 40 years

SBI Life – Grameen Bima

The SBI Life – Grameen Bima is a standard term plan and pure risk premium product. This plan has a life cover which comes with one-time premium payment. There is no pre health screening required to buy this plan.

Key Features:

• The sum assured ranges from INR 10,000 to maximum of INR 50,000.
• The policy term is of five years.
• The plan provides death benefit, where the nominee receives the sum assured on the demise as a lump sum payment. The sum assured on death would be higher than the basic sum assured or 1.25 times of single premium.
• The surrender benefit is payable only after the first year of life cover. The amount payable is:
  Single premium paid (exclusive of taxes) * 50% * unexpired policy term / total policy term
• There is no maturity benefit payable under this policy.

Who is Eligible to Buy SBI Life- Grameen Bima?

• Minimum and maximum age: 18 years and 50 years.
• Minimum and maximum Policy Term: 5 years and 40 years

SBI Life- Sampoorn Cancer Suraksha

The SBI Life- Sampoorn Cancer Suraksha is specifically designed to provide protection against life threatening diseases such as cancer. It provides the option of providing up to 40% of the sum assured as monthly payout and rest as the lump sum payout of the sum assured on the diagnosis of the cancer.

Key Features:

• Stage-wise lump sum payout benefit and monthly income benefit as per the benefit structure chosen.
• Option to choose from the three benefit structures which are designed on the basis of severity of the cancer.
• No need for pre-health check-ups.
• Option to enhance the sum assured coverage.
• In-built premium waiver option.
• Premiums are fixed for the first five years of the policy.
• Option to receive a second medical opinion from any network doctor or medical practitioner.

SBI Life- Corona Rakshak Policy

The SBI Life- Corona Rakshak Policy is designed to provide protection against Covid-19. This plan provides the lump sum payout of 100% of the sum assured, only on hospitalization for a minimum period of 72 hours on diagnosis of Covid-19. However, this benefit can be only availed for once in the entire policy term.

Key Features:

• The policy is issued without any hassle of medical tests.
• The policy term is 3.5 months, 6.5 months and 9.5 months.
• The minimum premium amount is INR 156.50 and maximum of INR 2,230.

The following are the documents which are required if one is planning to buy term life insurance policies:

• For identity proof: PAN card, Aadhaar card/driving license/passport.
• For address proof: Aadhaar card/driving license/passport/ration card/electricity bill.
• Income proof: For salaried applicants: Last three month’s salary slip/ Form 16/last three years ITR/ last six months’ bank statement.
• For non-salaried applicants: Last three years ITR with computation of income.

The SBI Life term insurance ensures a quick and hassle-free claim settlement process. The policyholders can claim the settlement by following the steps given below:

• Fill-up the required claim form which is available on the insurer’s website or at branch.
• Collect all the required documents supporting the genuineness of the claim and submit them to the special claim care team of SBI Life.
• The insurer assesses the documents and reviews its validity.
• If the insurer is satisfied with all the documents then they approve the claim.
• Once approved, the insurer pays the benefits as specified in your policy. Like, for the life insurance claims, life assured’s nominee receives the payout (either lump sum or monthly regular income).

The SBI Life Term Insurance plans were reviewed on the basis of the following factors:

Sum Assured Options: It is one of the most important factors before choosing the sum assured to secure your family finances. As per the thumb rule, the sum assured amount should be ten times of one’s annual income. The SBI Life term plans have various wide sum assured options which can be chosen as per the needs and requirements of the policyholder.

Riders: Always choose those benefits or riders which have the capacity to enhance the coverage and thus protection. The SBI Life term plans offer limited but useful riders such as accidental death, accidental disability, critical illness or terminal illness riders, which further supports you and your family in any difficult time.

Flexible Payout Options: We considered this as a critical factor in reviewing the term plans of SBI Life. All the plans provide the life assured to choose an option of payout whether lump sum or limited premium payout options depending on their convenience.

Benefits: While analyzing these term plans, we considered the benefits given upon the death of the life assured, maturity benefits or other benefits in case one outlives the policy term. Always, try and find those plans that offer maturity or survival benefits as well as flexible payment and payout options.

New-Age Features: All the term plans of SBI Life are available online and thus can be easily purchased via their website or mobile app- SBI Yono. It also offers a very simple online process which makes it easier for the policyholder to buy the term plan instantly.