The Termsurance Group Insurance Plan is a pure group term insurance plan by IDBI Federal which addresses insurance requirements of various formal and informal groups like employer-employee groups, bank-depositor groups, customer-supplier groups, professionals or affinity groups. This is a basic life insurance plan which provides coverage to members included under the plan. This is a yearly renewable plan where the policyholder is entitled to tax benefits on premiums paid towards the plan. Also, the Death Benefit paid to the beneficiaries is exempt from tax, once paid to the beneficiaries
The eligibility conditions laid down for this plan are as follows.
|Entry age of member (last birthday)||
|Age at which cover ceases||
|Size of group||50 members||No limit|
The Sum Assured under the Death Benefit will be paid in the unfortunate event of the death of the life insured. The sum assured is also payable under additional options built-in the plan, which include accidental death of the life insured or if the life insured is diagnosed with a terminal illness. The limits of sum assured for all three instances are as follows:
|Sum Insured For member||Rs.5,000||No limit (subject to underwriting)|
|Accidental Death Sum Insured||Rs.5,000||50,00,000|
|Terminal Illness Sum Insured||Rs.5,000||50,00,000|
The nominee(s)/beneficiary(ies) of the life assured are entitled to the Death Benefit Sum Assured in the event of the unfortunate demise of the life assured. There are two built-in options under the plan with regards to the Death Benefit.
Accidental Death Benefit:
Accidental Death Benefit will not be payable in case the life assured’s death has occurred directly or indirectly due to the following:
Terminal illness Benefit:
Terminal Illness Benefit will not be paid if the claim has taken place directly or indirectly due to the following:
|Grace Period||The grace period allowed under this plan is for a duration of 30 days (15 days for policies with monthly premium payment mode), starting from the date of the last outstanding premium. The policy will remain in-force during the grace period. In case premiums are not paid by the end of the grace period, the policy cover shall cease. In case a death claim takes place during the grace period, the benefit amount paid will be reduced by the amount of unpaid or outstanding premiums.|
|Policy Lapse||If the outstanding premiums are not paid within the expiry of the grace period, the policy shall lapse and no benefits will be payable.|
|Policy Revival||A lapsed policy can be revived within a period of 3 months starting from the date on which the cover has lapsed, provided that it is within the one year policy term (not after the annual renewal date). The policy can be revived after the payment of all outstanding premiums and approved evidence of good health.|
|Exit of insured member||In case a policy member is exiting the plan, the policy holder has 2 options. They can either get a refund of the premium for the remaining period of risk or continue insurance coverage for the policy member till the expiry period.|
|Nomination||Each member can nominate the person/persons to whom the death benefit will be payable|
|Surrender & Paid-up Value||This plan does not have any Surrender or Paid-up Value.|
|Loan Facility||This plan does not have any loan facility.|
|Free Look Period||Policyholders are provided a Free Look period of 15 days, within which they can return the policy, if they are not satisfied with the same. If the policyholder wishes to cancel the policy, they must put in a request for the same in writing, stating the reason for cancellation and also return the original policy document. The insurer will refund the amount of premiums paid after deducting a proportionate risk premium for the coverage period and towards other expenses like stamp duty and medical examination.|
The master policy holder, the insured member and the beneficiaries are eligible for tax benefits in different capacities. The insured policy member is eligible for tax benefits for premium payments under section 80C of the Income Tax Act, 1961. The benefits payable under this plan to the life assured’s beneficiary are exempt from income tax under section 10(10D) of the Income Tax Act, 1961. Also, the premiums paid towards the policy by the master policyholder are eligible for tax exemption under section 37 of the Income Tax Act, 1961.
Some of the other benefits that you can get by taking this plan are as follows:
Established in 2008, IDBI Federal Life Insurance is among India’s fastest growing life insurance providers which offers a multitude of protection, wealth management, and retirement solutions. Formed as a joint venture between IDBI Bank, Federal Bank and Ageas, a Europe-based multinational insurance provide, IDBI Federal operates via a countrywide network of over 2900 branches. Offering dedicated customer service, along with hassle-free and simple insurance solutions to individuals and corporates, IDBI Federal is paving the way to greater heights for other players in the insurance segment.
*Premiums Vary Based On Age, Location, Plan Term and Other Factors
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