What Coverages Are Offered in the Shriram Life Premier Assured Benefit?

Life: With this option, Death Sum Assured is paid to your family in lump sum immediately in case of anything unfortunate happening to you.

Life Plus: With this option, Death Sum Assured is paid to your family in equal monthly instalments starting from the month of death till the end of the policy term or subject to a minimum of 36 instalments in case of any unfortunate event.
In addition to the above benefits, the income/maturity benefits according to the pay-out option chosen by the policyholder will continue to be paid as and when due. And all the outstanding premiums from the date of death are waived off.

Income Option: Regular Annual Income payouts as a percentage of annualised premium are paid as survival benefits on each policy anniversary following the end of the premium payment term and continue till the last policy year. At the end of the policy term, the maturity sum assured is paid in a lump sum.
This helps create a second stream of income soon after the premium paying term. Your planned recurring expenses can be taken care of by regular income payouts. While the lump sum on maturity can be used to fund your major financial goals like starting a new business or building an emergency fund. Life cover is available throughout the pay-out period.

Settlement Option:

Settlement in Instalments: The maturity benefit is paid in four equal annual instalments starting from the date of maturity. This can be used to meet the planned expenses for a specific period like child’s higher education.

Settlement in lump sum:  If the life assured opts to receive the Settlement in Instalments benefit as a lump sum, 88.85% of the total benefit payable will be paid in a lump sum on the date of maturity. This option is suitable for meeting major financial commitments like buying a house or building a retirement corpus.
 

Death Benefit:

In case of death of the life assured during the policy term, provided all the due premiums till the date of death have been paid, “Death Sum Assured” will be paid to the nominee or beneficiary as follows.

Life Option:
The death benefit is paid immediately in a lump sum and the policy will be terminated.

Life plus Option: 
The death benefit is paid in equal monthly instalments starting from the month of death till the end of the policy term or subject to a minimum of 36 instalments. In addition to the above death benefit, any income/settlement/lump sum benefits due from the date of death will continue to be paid as per the chosen pay-out option as if the life assured were alive and the policy will be terminated on payment of the last payout.
However, the nominee has the option to take all the above benefits in a lump sum.  The lump-sum benefit is determined by discounting all the death/income/maturity benefits at a rate as approved by IRDAI.
“Death Sum Assured” is defined as the highest of;

•  11 times the Annualized Premium for Limited Pay / 1.25 times the Single Premium for single pay.
• 105% of Total Premiums Paid till the date of death.
  Where –
   “Death Sum Assured” shall not be less than the surrender value.
   “Annualised Premium” means the premium payable in a year chosen by the policyholder excluding the taxes, underwriting extra premiums, rider premiums, and loadings for modal premiums, if any.
  "Total Premiums Paid" means the total of all the premiums received, excluding any extra premium, any rider premium, and taxes.
  “Single Premium” means the premium amount payable once chosen by the policyholder excluding the taxes, rider premiums, underwriting extra premiums, and loadings for modal premiums if any.
   

For the Income Option:
Annual payouts as a percentage of the annualised/single premium (as per the below table) are paid from the policy anniversary after the end of the premium paying term (1st policy anniversary for Single Pay) till the end of the policy term.
 

This benefit is not available if the policyholder chooses the Settlement option.

On survival of the life assured up to the end of the policy term, provided the policy is in force, the maturity sum assured is paid as follows.
•    For Income/ Settlement in Lump Sum: Maturity Sum Assured is paid in a lump sum on the date of maturity.  
•    For Settlement in instalments:  Maturity Sum Assured is paid in four equal annual instalments. The first instalment payment starts on the date of maturity.

Maturity Sum assured = Maturity Benefit factor X Premium Paying Term X (Annualised premium / Single Premium)
The maturity benefit factor varies depending on the type of cover option, benefit variant, age at entry of life assured, and premium paying term.
 

For each payment through NACH mode, policyholders will be eligible to receive 1% of premium as the discount i.e. each premium paid through NACH will be 99% of the original annual premium.

As mentioned above in the Lapse section, even if you discontinue paying your premiums but have paid at least one years’ premium in full, your policy will get converted into a paid-up policy. Under the paid-up policy, all your benefits (i.e. Death benefit, Income benefit if applicable and Maturity benefit) will reduce proportionately. 

Life Option: In case of the death of the life assured during the policy term, provided the policy is paid up, “Paid-up Death Sum Assured” will be paid immediately to the nominee(s) or beneficiary (ies) in Lump Sum.

Life Plus Option: In case of the death of the life assured during the policy term, provided the policy is paid up, “Paid-up Death Sum Assured” will be paid to the nominee(s) or beneficiary (ies) in equal monthly instalments from the end of the month of death till the end of the policy term for a minimum of 36 monthly instalments. In addition to it, the paid-up survival benefits if any due, from the date of death, will continue to be paid till maturity. On maturity, the paid-up maturity sum assured will be paid. The schedule of payment will be based on chosen pay-out option as mentioned earlier in this document, in the section “Benefits under the Plan”.  
The nominee has the option to take all the above benefits in a lump sum.  The lump-sum benefit is determined by discounting all the Paid-up death benefits at a rate as approved by IRDAI.

Paid-up Death Sum Assured =   No of premiums paid       x    Death Sum Assured                                
                                                             ---------------------------------
                                                               Total no. of premiums payable
 

In case of survival of the life assured till the end of the policy term, paid-up annual income payouts are paid on survival of the life assured from the policy anniversary following the end of the premium payment term till the end of the policy term. 
                  Paid-up Survival Benefit =   No of premiums paid       x    Annual Income Payout                                
                                                                       ---------------------------------
                                                Total no. of premiums payable
 

Income/ Settlement in Lump Sum: In case of survival of the life assured up to the end of the policy term, “Paid-up Maturity Sum Assured”, will be paid on the date of maturity in Lump Sum.

Settlement in instalments: In case of survival of the life assured up to the end of the policy term, “Paid-up Maturity Sum Assured” is paid in four equal annual instalments. The first instalment payment starts on the date of maturity.
                  
                      Paid-up Maturity Sum Assured =         No of premiums paid      x   Maturity Sum Assured
                                       --------------------------------
                                                  Total no. of premiums payable
 

The lapsed policy or paid-up policy can be revived within the revival period of five years from the date of the first unpaid premium to the date of revival by paying all the outstanding premiums with accrued interest at a rate approved by IRDAI along with revival requirements as per Board approved underwriting policy.

The revival interest rate is determined by adding a margin of 1.5% to the 10- year annualised G Sec rate on 31st March of each financial year and applicable for all policy revivals during 1st May to 30th April of the following financial year.  The interest rate derived as above shall be rounded down to 0.5%.
No fee will be charged towards processing of revivals.
The revival interest rate is  8% p.a. during FY 1st may 2025 to 30th April 2026 
No benefits are payable on a lapsed policy during the revival period. Once the policy is revised, it is entitled to all the original benefits.