Shriram Life Immediate Annuity Plus Plan

Shriram Life Immediate Annuity Plus is a non-participating, non-linked, and single premium plan suitable for individuals who are looking for a stream of income after retirement. It is an affordable, hassle-free, and simple insurance plan that ensures the financial security of you and your family. In case of an unfortunate event like death, this plan will help your family in decreasing their loans. You can choose from 8 annuity options. Once you have made your choice, you will not be able to change your policy option in future. However, you will be given the option to choose your policy during the free look period.

Eligibility: Who is Shriram Life Immediate Annuity Plus Plan for?

If a customer wishes to purchase the Shriram Life Immediate Annuity Plus Plan, he/she will have to fulfill certain eligibility conditions with respect to his/her age and the amount of coverage required. The eligibility criteria is as detailed below:

Parameter	Eligibility
Minimum Entry Age	For joint life options, the minimum entry age is 18 years. Otherwise, the last birthday age is 0 years.
Maximum Entry Age	A maximum age of 85 years age as on last birthday. There is no maximum age limit for the nominee of the company's deferred pension policyholders.
Maximum Exit Age	There is no maximum exit age. The policy will get terminated on the death of the policyholder.
Premium Paying Term	Single
Policy Term	Entire Life
Annuity Mode	Annually, half-yearly, quarterly, or monthly

Available Annuity Options:

Following are the annuity options available for the policyholders under Shriram Life Immediate Annuity Plus:

• Option 1: Lifelong annuity
• Option 2: Lifelong annuity with 100% return of purchase price on the demise of the policyholder
• Option 3: Lifelong annuity increasing at the rate of 3% p.a. simple rate
• Option 4: Lifelong annuity increasing at the rate of 3% p.a. compound rate
• Option 5: Annuity surety for 5/10/15/20 years and for the rest of the life
• Option 6: Joint life last survivor annuity with 50% annuity to the last survivor on the death of the primary policyholder
• Option 7: Joint life last survivor annuity with 100% annuity to the last survivor on the death of the primary policyholder
• Option 8: Joint life last survivor annuity with 100% annuity to the last survivor in case of the demise of the primary policyholder with a return of 100% premium on the demise of the last survivor

Sum Assured and Premium Range - What you get and what it costs?

Sum assured: The amount of sum assured or annuity you get, depends on the annuity plan chosen by you. While the minimum annuity is Rs.12,407, the maximum annuity available per annum is Rs.20,328. The following is the annuity break up:

Option	Annuity per annum
Option 1	Rs.20,340
Option 2	Rs.20,106
Option 3	Rs.14,415
Option 4	Rs.12,407
Option 5	An annuity certain for 20 years or even life after that: Rs.20,274 15 years: Rs.20,292 10 years: Rs.20,313 5 years: Rs.20,328
Option 6	Rs.20,208
Option 7	Rs.20,109
Option 8	Rs.20085

Premium: The policyholder has to pay a single premium or a single purchase price. Incentive for paying a higher purchase price will be given according to the rise in annuity rate as follows:

Price paid for purchase	Rise in annuity in Rs. per 1000 price of purchase
Up to Rs.4,99,999	0
Rs.5,00,000 to Rs.9,99,999	0.25
Rs.10,00,000 to Rs.24,99,999	0.50
Rs.25,00,000 to Rs.49,99,999	0.75
Rs.50,00,000 to Rs.99,99,999	1.00
Rs.1 Crore and above	1.25

Plan Coverage - What the Shriram Life Immediate Annuity Plan covers?

The Shriram Life Immediate Annuity Plan provides the following benefits according to the options you choose:

• Option 1: In case of the death of the policyholder, the annuity payments will get over and the policy will get terminated. Thus, no benefit will be paid in case of the death of the policyholder.
• Option 2: In case of the death of the primary policyholder, annual payments will cease and a death benefit worth 100% of the premium will be paid to the nominee. Also, the policy will be terminated after the payment of the death benefit.
• Option 3: The annual payments will be paid in arrears throughout the policyholder's life. The annual payment will increase by 3% p.a. of the annual payment at the beginning. No benefit will be paid in case of the death of the policyholder.
• Option 4: The annual payment will be done throughout the life of the policyholder. The annual payment will increase by 3% p.a. at the beginning. In case of the demise of the policyholder, the annual payments will cease and no benefit will be paid to the nominee.
• Option 5: Annual payments will be made in arrear throughout the lifetime of the policyholder for a stipulated period of 5, 10, 15, or 20 years. In case of demise of the policyholder, payments will cease and the policy will be terminated. No benefit will be paid in case of the demise of the primary policyholder.
• Option 6: The annual payments will be made at a uniform rate in arrears throughout the life time of the primary policyholder. In case of demise of the primary policyholder, the secondary policyholder will get 50% of the original annual income throughout his/her life. In case of the demise of the last survivor, the annual payments will cease and the policy will get terminated.
• Option 7: The annual payments will be made at a uniform rate in arrears throughout the life time of the primary policyholder. In case of demise of the primary policyholder, the secondary policyholder will get 100% of the original annual income throughout his/her life. In case of the demise of the last survivor, the annual payments will cease and the policy will get terminated.
• Option 8: The annual payments will be made at a uniform rate in arrears throughout the life time of the primary policyholder. In case of demise of the primary policyholder, the secondary policyholder will get 100% of the original annual income throughout his/her life. In case of the demise of the last survivor, the annual payments will cease and 100% of the premium will be paid to the nominee. After the payment, the policy will be terminated. In case the secondary policyholder passes away before the primary policyholder, the annual payment will cease on the demise of the primary policyholder and 100% of the premium will be paid to the nominee after which the policy will be terminated.
• Tax Benefits: Policyholders can avail tax benefits under Section 10(10D) and Section 80C of the Income Tax Act, 1961. The tax laws are subjected to change from time-to-time and therefore, customers are advised to consult a tax advisor before purchasing the plan.

Exclusions - What the Shriram Life Immediate Annuity Plus Plan doesn’t cover?

Suicide Exclusion - Irrespective of the sanity of the life assured, if he/she commits suicide within 1 year from the inception of the policy or within 1 year from the revival date, the policy will terminate immediately. The nominee or the beneficiary will receive 90% of the premium paid.

Other Key Features – Freelook Period, Surrender Values, Grace Period etc.

The other key features of the Shriram Life Immediate Annuity Plus Plan are described as below:

Free-look period	If the policyholder disagrees with any of the provisions in the policy documentation, he/she can return the same back to the insurer stating relevant reasons for the objection. The policy should be returned back within the free-look period of 15 days. The free-look period for policies that were bought through online sales, telephonic purchase, or any other distance marketing channel is 30 days. The insurer will then refund the paid premiums after the deduction of charges for stamp duty and medical examination.
Annuity Payouts	The annual payment will be made in arrear once the chosen annuity payment mode ends. Hence, the first annual payment will be made after one year, six months, three months, one month after the date of the end of the policy depending on the mode of annuity chosen i.e., yearly, half yearly, quarterly or monthly respectively.
Grace Period	If the policyholder does not pay due premiums within the premium payment due date, the insurer allows an extra time during which the premium can be paid. This interval is referred to as the grace period. The grace period for policies with yearly and half-yearly premium payment frequencies is 30 days. For policies with monthly premium payment frequency, the grace period is 15 days.

Tax Benefits – How you can save with the Shriram Life Immediate Annuity Plus Plan?

• Premiums paid towards the Shriram Life Insurance Annuity Plus Plan are eligible for tax benefits under Section 80C of the Income Tax Act.
• The annuity payout from the policy is eligible for tax benefits under Section 10(10D) of the Income Tax Act.

Tax rules are subject to change from time to time. So, you should consult a tax advisor to understand the latest tax rules, before investing in the plan.

Other Benefits - How you can save with the Shriram Life Insurance Annuity Plus Plan?

Buying a policy from Shriram Life Insurance has its own benefits:

• Customers can easily check their policy status online by logging into their Shriram Life Insurance account at the insurer’s website. The account also enables policyholders to do the following:
  • Make online premium payments
  • View the value of the plan
  • Switch funds
  • Revive the policy
  • Update contact details
  • Make enquiries through the E-box facility
  • Take print-outs of the fund statements, portfolio statements, and tax certificates.
• It is also possible to contact the insurer through email or by calling the customer care number, 1800-3000-6116.
• Customers can register to the SMS alert facility offered by the insurance company to receive timely updates from the insurer.
• Customers can make premium payments through Net Banking, e-Wallets, debit cards, or credit cards. It is also possible to pay premiums by visiting the insurer’s branch office.
• The insurance company has a dedicated grievance redressal cell to acknowledge complaints or grievances raised by customers.
• The Shriram Life Insurance website offers its customers online calculators that enable them to identify the amount of life cover they require and the corresponding premiums.

Why you should buy the Shriram Life Insurance Annuity Plus Plan?

Shriram Life Insurance was established in 2005 and it started business in 2006. With more than 2600 branches and 14,500,00 customers, the Shriram Group has created a quite a reputation for itself. In the last 7 years, it has emerged as one of the strongest and most profitable life insurance company in India. Over the last 9 years, the Shriram Group has grown at with a CAGR of over 40%. The head office of the Shriram group is situated in Belville near Cape Town in South Africa.