Saral Jeevan Bima

The IRDAI, Insurance Regulatory and Development Authority of India, is an apex body that guides the Indian insurance industry and helps the insurance companies in promoting the efficiency of their businesses. The board also works towards bringing positive changes in the insurance system and takes regular initiatives in launching new plans and schemes. 

Ever since the world has come under the effect of the pandemic, IRDAI has brought many changes. Many customer-friendly insurance products have also been introduced. One such scheme has been the Saral Jeevan Bima. The aim behind the launch of this plan is to make term insurance less complicated. 

Most of today’s life insurance policies offer a comprehensive cover but at the same time, they tend to confuse the customer with their multi-layered structure. Even when someone seems to have found a policy that suits them, the anxiety remains. To normalise the concept of term plan, IRDAI has launched Saral Jeevan Bima. 

Launched on 1st January 2021, Saral Jeevan Bima is a standard term insurance policy. All insurance companies would offer this plan along with a uniform set of features and coverage. However, the premium, services, claim settlement procedure may differ. Saral Jeevan Bima is a non-linked non-participating individual pure risk premium life insurance policy. 

Saral Jeevan Bima - Main Features

The main features of this policy are:

1. On the death of the insured person during the term of the policy, the nominee would receive the sum assured in a lump sum
2. Being a non-participating policy, it is not eligible for any share of profit that is made by the company
3. The policy does not offer a survival/ maturity benefit or a surrender benefit
4. You can select a premium paying term at your convenience
5. The policy offers a wide range of sum assured options, from INR 5 lakhs to INR 25 lakhs
6. Anyone between the age group of 18 to 65 years can buy this plan irrespective of gender, occupation, place of residence or educational qualifications

Saral Jeevan Bima - Benefits

The benefits of Saral Jeevan Bima are as follows:

1. Life Cover
   Saral Jeevan Bima is a life insurance policy. In the unfortunate event of your death, your family would receive the sum assured as the death benefit. This lump sum amount will help in dealing with the financial burden they may have to face after your unfortunate death.
2. Affordable Plan
   Term insurance is the most elementary form of life insurance, and so Saral Jeevan Bima is also quite pocket-friendly. As compared to other insurance plans a term insurance plan is much more affordable. By paying a very reasonable premium amount you can opt for a high sum assured. Buying this plan early in life will help you get a much better deal. Many insurance companies also offer a discount when the policy is bought online.
3. Simple Procedures
   Saral Jeevan Bima is one of the simplest plans with the most basic structure. There is no investment component in this plan. You pay a certain premium, for a specific term and if during the term you pass away, the appointed beneficiary would receive the pre-decided death benefit.
4. Riders
   Riders, also called add-ons, are additional benefits that are offered by the insurance company, by paying a little extra you get the opportunity to enhance the coverage of your base policy. Accidental and disability benefit riders can be opted for, under the Saral Jeevan Bima.
5. Tax Benefits
   The premium that you pay towards the Sraral Jeevan Bima up to INR 1.5 lakhs, will be tax exempted under Section 80C of the Income Tax Act, 1961.

Saral Jeevan Bima - Eligibility

Saral Jeevan Bima - Waiting Period

Saral Jeevan Bima comes with a waiting period of 45 days from the date of inception of the policy. This waiting period will not apply in case of renewal of the policy. Death of the insured during the waiting period will not be covered, unless it is accidental death.

Saral Jeevan Bima - Purchase Process

There are two ways in which you can purchase the Saral Jeevan Bima plan, Online Process and Offline Process. Let us take a look at both:

Online Process

• Visit the company website of the insurance company that you wish to purchase the policy from
• Select the Saral Jeevan Bima plan
• Fill in the Application Form
• Upload the required documents (listed below)
• Submit the application and pay the required premium

Offline Process

• Visit the company office of the insurance company that you wish to purchase the policy from
• Request for the Saral Jeevan Bima Application Form
• Carefully fill in all the details
• Attach the required documents
• Submit the application and pay the premium

Documents Required

• Address Proof
• Passport size photograph
• Government Authorised valid photo ID

Saral Jeevan Bima - Review

If you are looking for a term insurance plan and have explored the internet, you may be spoilt for choices. However, it is this plethora of term insurance plans that often causes confusion. With multi-layered plans, it becomes difficult for a common man to select the right term plan. Making the term plan simple and easy, has been the main aim behind the launch of Saral Jeevan Bima.

The IRDAI felt the need to standardize the policy and make the product accessible for the average customer too. Even for someone, who doesn’t understand the technicalities of how insurance works, Saral Jeevan Bima will help in making an informed decision. The policy would also help in lowering the misselling of insurance products.  

A very basic term insurance plan, Saral Jeevan Bima is a great option for anyone who wants to invest in an uncomplicated life insurance policy. This is an affordable plan, that gives you the confidence that tomorrow even if something happens to you, your family would not have to face a financial crisis.