19.7 C
Thursday, October 22, 2020

Irdai comes with standardised life insurance cover ‘Saral Jeevan Bima’ – Times of India

BENGALURU: After moderate success with its standardised health product Arogya Sanjeevani and Covid-specific covers, Irdai has now come up with a standardised life insurance product “Saral Jeevan Bima.”
This will be a pure protection plan with sum insured from Rs 5 lakh upwards – with no market-links or maturity benefits. All 24 life insurance companies in India will be offering “Saral Jeevan Bima” with each insurer’s name as a suffix to the policy.
The regulator says, customers now face a plethora of choices with each life insurance product having different features, options, riders, etc. Irdai said, “Customers who cannot devote adequate time and energy to make informed choices find it difficult to select the right product. Also, products may not be available for the intended sum assured. So we felt the need to introduce a standard, individual term life insurance product, with simple features and standard terms and conditions.”
The regulator feels such a standard product will reduce instances of mis-selling and disputes at the time of claim settlement.
This product can be availed of by policyholders aged 18-65; with the policy’s maximum maturity age being 70. The policy term can vary from 5-40 years and sum assured can vary from Rs 5-25 lakh. Though IRDAI has said insurers can choose to cover beyond Rs 25 lakh.
In line with its key word of “simplicity,” the Saral Jeevan Bima policy will have no exclusions other than the suicide clause.
Mode of premium payment can be single premium, limited premium payment of 5-10 year period or regular lifelong monthly premium.
On death of the policyholder, the family will receive 10 times of the annualized premium; 105% of all the premiums paid as on the date of death; and absolute amount assured to be paid on death. For single premium policies, families will receive 125% of single premium and absolute amount assured to be paid on death.

Speak Your Mind


Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Get in Touch


Recommend for You

Walmart divides Black Friday deals into 3 separate events that kick off online

An employee works on a display ahead of Black Friday at a Walmart store in Chicago, November 20, 2018.Kamil Krzaczynski | ReutersFor shoppers who...

‘Out of control’: European leaders scramble to control the second wave, with a state of emergency and lockdowns

A nurse gets ready to enter a room to take care of a patient infected with Covid-19 at the intensive care unit of the...

Facebook and Twitter CEOs will have to answer to Senate Republicans after Biden NY Post story controversy

Facebook and Twitter typically take heat for acting too slowly to reduce the spread of harmful misinformation. But on Wednesday, both companies acted surprisingly...

Special Report: Plastic Pandemic: COVID-19 Trashed The Recycling Dream

The coronavirus pandemic has sparked a rush for plastic.From Wuhan to New York, demand for face shields, gloves, takeaway food containers and bubble wrap...

Dr. Fauci says his kids aren’t coming home for Thanksgiving as Americans ‘sacrifice’ holiday gatherings to stay safe from coronavirus

Director of the National Institute for Allergy and Infectious Diseases Dr. Anthony Fauci testifies before the House Committee on Energy and Commerce on the...

Related Articles

The Wine Industry’s Vision For A Post Covid-19 World

Woman Dressed in 1920s Style with a Glass of...

U.S. Nursing Homes See Alarming Spike In Covid-19 Cases...

The American Health Care Association and National Center for Assisted Living (AHCA/NCAL) has published...

Lawsuit Against Tesla For Autopilot-Engaged Pedestrian Death Could Disrupt...

Questions about Autopilot on Tesla Model X arise via...

SC reserves order on Vijay Mallya’s plea seeking review...

NEW DELHI: The Supreme Court on Thursday reserved its verdict on a plea filed...