SBI Life Smart Shield Plus: ₹2 Crore Life Cover, 3 Plan Options, Benefits & Eligibility

SBI Life Smart Shield Plus: Planning for your family’s financial security is one of the most important steps you can take for the future. Life is unpredictable, and an unexpected event can create financial difficulties for dependents, especially when there are responsibilities such as children’s education, household expenses, loans and other long-term commitments.

SBI Life – Smart Shield Plus is an Individual, Non-Linked, Non-Participating Life Insurance, Pure Risk Product designed to provide financial protection and flexibility according to changing life-stage requirements.

What is SBI Life Smart Shield Plus?

SBI Life Smart Shield Plus is a life insurance protection plan that offers different coverage options based on the policyholder’s needs.

The product provides three Plan Options:

1. Level Cover Benefit
2. Increasing Cover Benefit
3. Level Cover with Future Proofing Benefit

The product also provides optional benefits such as Better Half Benefit and enhanced protection through the SBI Life – Accident Benefit Rider.

1. Level Cover Benefit

Under the Level Cover Benefit, the Sum Assured remains constant throughout the policy term.

For example, if a policyholder chooses a ₹1 crore Sum Assured, the cover remains at the selected amount throughout the policy term, subject to the policy terms and conditions.

This option may be suitable for individuals looking for a fixed level of financial protection for their family.

2. Increasing Cover Benefit

As income, family responsibilities and financial commitments increase, the need for life insurance protection may also increase.

The Increasing Cover Benefit is designed to address this requirement.

Under this option:

• The Sum Assured increases by 5% every year on a simple-rate basis.
• The increase starts from the first policy anniversary.
• The Sum Assured can increase up to a maximum of 200% of the original Sum Assured.
• The annual increase continues until the Life Assured reaches age 71.
• The premium remains fixed throughout the policy term.

Example

If the original Sum Assured is ₹1 crore, the annual increase would be ₹5 lakh.

The brochure gives an illustration where a ₹1 crore initial Sum Assured increases by ₹5 lakh each year. If death occurs during the 14th policy year, the Sum Assured on Death would be ₹1.65 crore, provided the policy is in-force.

3. Level Cover with Future Proofing Benefit

Life insurance requirements can change after major milestones such as marriage, the birth or adoption of children, or purchasing a house.

The Level Cover with Future Proofing Benefit allows eligible policyholders to increase their Sum Assured at specified life stages.

The brochure specifies the following increases: Life Stage Increase in Sum Assured Marriage 50% of Sum Assured, up to ₹50 lakh Birth/Adoption of First Child 25%, up to ₹25 lakh Birth/Adoption of Second Child 25%, up to ₹25 lakh Purchase of House 50%, subject to the specified maximum

The increase is available without further medical underwriting, subject to the applicable conditions. However, the Premium will increase when the Sum Assured is increased.

Important Conditions

This option is available only for Regular Pay policies. The maximum entry age for this Plan Option is 40 years. The policy must be in-force when the option is exercised, and other conditions specified in the brochure must be satisfied.

Death Benefit Under Smart Shield Plus

If the Life Assured dies during the policy term while the policy is in-force, the nominee/beneficiary will receive the applicable Sum Assured on Death.

For Regular Pay and Limited Pay policies, the Sum Assured on Death is the highest of:

• 11 times the Annualized Premium
• Absolute Amount Assured on Death
• 105% of the Total Premiums Paid up to the date of death

For Single Pay policies, the higher of:

• 1.25 times the Single Premium
• Absolute Amount Assured on Death

will apply, subject to the policy terms and conditions.

Flexible Death Benefit Payment Options

The nominee can choose how the Death Benefit is received.

Available options include:

• Lump Sum
• Monthly Installments
• Quarterly Installments
• Half-Yearly Installments
• Yearly Installments
• A combination of lump sum and installments

Installment payments can be selected for a period of 5, 10, 15 or 20 years, as applicable.

The minimum installment amounts specified in the brochure are: Payment Mode Minimum Installment Monthly ₹5,000 Quarterly ₹15,000 Half-Yearly ₹25,000 Yearly ₹50,000

What is the Better Half Benefit?

The Better Half Benefit is an optional benefit designed to provide life cover for the spouse after the death of the Life Assured, subject to the applicable eligibility conditions.

It can be selected only at policy inception. The Life Assured must be married, the age difference between the Life Assured and spouse must not exceed 10 years, and other underwriting conditions apply.

If the Life Assured dies while the policy is in-force and the spouse is alive, the spouse’s cover commences from the date of death of the Life Assured.

If the spouse subsequently dies before the Maturity Date, the Better Half Benefit provides ₹25 lakh or 50% of the Sum Assured, whichever is lower, subject to the applicable terms and conditions. No future premiums are payable under the policy after the death of the Life Assured.

Accident Benefit Rider

Policyholders can enhance their protection by opting for the SBI Life – Accident Benefit Rider.

The rider provides two options:

Option A – Accidental Death Benefit (ADB)

Provides an additional benefit in case of accidental death, subject to the rider terms.

Option B – Accidental Partial Permanent Disability Benefit (APPD)

Provides a benefit for eligible accidental partial permanent disabilities.

The rider can be opted for at the commencement of the base policy or at a subsequent policy anniversary during the premium payment term, provided the base policy is in-force. An additional premium is payable for the rider.

The brochure specifies a maximum Rider Sum Assured of:

• ADB – ₹2 crore
• APPD – ₹1.50 crore

These limits are subject to the company’s Board-approved underwriting policy and other applicable conditions.

₹2 Crore Life Cover: Indicative Premium

The brochure provides indicative annual premium rates for a ₹2 crore Life Cover under Level Cover/Level Cover with Future Proofing Benefit and Increasing Cover Benefit.

For a healthy, non-smoker male, some indicative rates under Level Cover/Level Cover with Future Proofing Benefit are: Age 10 Years 20 Years 30 Years 40 Years 30 ₹13,982 ₹16,260 ₹19,634 ₹23,092 35 ₹17,496 ₹22,954 ₹27,748 ₹32,750 40 ₹24,522 ₹34,788 ₹40,932 — 45 ₹38,392 ₹53,240 ₹61,882 —

These are indicative premium rates provided in the brochure and should not be treated as a guaranteed premium quote. Actual premiums can depend on the applicable product, policy term, payment option and underwriting.

Minimum Premium

The brochure specifies the following minimum premium amounts: Premium Payment Frequency Minimum Premium Single ₹12,000 Yearly ₹2,500 Half-Yearly ₹1,275 Monthly ₹210

The maximum premium is subject to the Board-approved underwriting policy.

Eligibility and Sum Assured

According to the brochure:

• Minimum entry age for non-Whole Life: 18 years
• Minimum entry age for Whole Life: 45 years
• Maximum Sum Assured: No fixed limit, subject to underwriting
• Minimum Sum Assured: ₹25 lakh
• Premium payment modes: Single, Yearly, Half-Yearly and Monthly

For Level Cover and Increasing Cover Benefit, maximum entry age varies according to the premium payment option. The Future Proofing option has a maximum entry age of 40 years.

Policy Term and Premium Payment Options

Smart Shield Plus offers different premium payment choices:

Single Pay

Premium is paid once at policy inception.

Regular Pay

Premium is paid throughout the selected premium payment term.

Limited Pay

Premium is paid for a limited period while the policy continues for the selected policy term.

The brochure also provides Whole Life coverage, with cover potentially extending up to age 100, subject to the applicable product conditions.

Is There a Maturity Benefit?

No. The plan does not provide a Maturity Benefit.

The brochure also states that surrender benefit is generally not available under the product, although an Unexpired Risk Premium Value may be payable in certain specified circumstances depending on the premium payment option and policy status.

Grace Period

The policy provides a grace period for payment of premiums:

• 30 days for yearly and half-yearly premium modes
• 15 days for monthly premium mode

The policy remains in-force during the grace period, subject to the applicable terms.

Revival Facility

If a policy lapses because of non-payment of premiums, the brochure provides a revival facility subject to applicable conditions.

The policyholder has 5 consecutive complete years from the date of the first unpaid premium, and before expiry of the policy term, to revive the lapsed policy. Revival is subject to payment of overdue premiums with interest and the applicable underwriting requirements.

Free Look Period

The policyholder gets a 30-day Free Look Period from the date of receipt of the policy document.

During this period, the policyholder can review the terms and conditions. If the policyholder disagrees with the terms and has not made a claim, the policy can be returned for cancellation subject to the applicable conditions and deductions.

Tax Benefits

Policyholders may be eligible for applicable Income Tax benefits/exemptions under prevailing Indian income-tax laws.

Since tax laws can change from time to time, policyholders are advised to consult a tax advisor for their individual circumstances.

Why Consider SBI Life Smart Shield Plus?

Some of the key features highlighted in the brochure include:

▪️ Three plan options
▪️ Life cover up to age 100 for Whole Life, subject to applicable conditions
▪️ Level or increasing protection options
▪️ Future Proofing at specified life stages
▪️ Optional Better Half Benefit
▪️ Optional Accident Benefit Rider
▪️ Single, Regular and Limited Premium Payment options
▪️ Multiple Death Benefit payout options
▪️ Minimum Sum Assured of ₹25 lakh
▪️ Tax benefits as per prevailing tax laws

SBI Life – Smart Shield Plus is designed as a pure-risk life insurance product offering flexible protection options for different stages of life.

The Level Cover Benefit provides fixed protection, the Increasing Cover Benefit increases the Sum Assured over time, while the Level Cover with Future Proofing Benefit allows eligible policyholders to increase their cover after specified life milestones.

Before purchasing the policy, customers should carefully review the official policy document, premium illustration, eligibility criteria, exclusions, rider conditions and other terms.

Disclaimer: This article is prepared based on the SBI Life – Smart Shield Plus brochure provided for reference. It is for informational purposes and should not be considered personal financial or insurance advice. The actual benefits, premiums, exclusions and conditions are governed by the policy document.

Product: SBI Life – Smart Shield Plus
UIN: 111N150V01
Insurer: SBI Life Insurance Company Limited
IRDAI Registration No.: 111