Friday, 30 March 2018

5 Best Single Premium Insurance Plans in India

5 Best Single-Premium Insurance Plans in India:  A single insurance endowment plan is a one-time payment insurance policy that has been created for customers who do not want to endure the hassle of keeping a tab on the plan and making regular periodic payments. This type of plan can be termed as a “fill it, shut it, forget about it” type of policy. Here, you make one large payment, become the owner of a single premium policy, and then forget about it until the term of the policy expires.




When do you really require a single premium policy?

There are a lot of life insurance agencies that provide a single insurance policy. A lot of us prefer making an investment when we come across a large amount of money. This could come in the form of a yearly bonus, an investment payout, or even a family inheritance. A large amount of money comes as a good investment opportunity and a single insurance plan is a good route to take. This can also be used for availing tax benefits when you file your taxes towards the end of the fiscal year. You are entitled to an exemption of up to Rs.1.5 lakhs.
Also, the main benefit of a single insurance plan is that you do not have to ever worry about your policy getting lapsed. As a large single amount has been paid as a premium for the policy, the plan will not require additional payments to be made towards the premium. As this is the case, you will not have to ever worry about the policy lapses due to a missed payment apart from other reasons.

Let us now take a look at the top 5 single insurance plans that are offered in India:

  • LIC’s Jeevan Vriddhi: The Jeevan Vriddhi plan offered by LIC is a premium endowment plan that offers risk cover which is a multiple of the premium that is chosen by you. This plans offers a number of benefits with Loyalty Addition and Guaranteed Maturity Sum being the most evident ones.
Time Period10 years
Entry Age Minimum-Maximum8-50 years
Sum Assured (Minimum)Rs.1,50,000
Sum Assured (Maximum)Nil
Minimum Premium availableRs.30,000
  • Aegon Religare iMaximize Single-Premium Insurance Plan: Reap investment benefits by making a one-time payment for this plan. Aegon Religare iMaximize single insurance plan provides 3 different choices of investment funds that help in maximizing your funds. There are no allocation charges and therefore there are more funds that are made available for different investment purposes. You can choose to pick up this investment plan when choosing a life insurance policy as this plan doubles as an insurance policy.
Time Period5 or 10 years 
Entry Age Minimum-Maximum8-60 years 
Maturity Age Minimum-Maximum18-65 years 
 Entry AgeTerm of the Policy
Available Policy TermEqual or before 50 years10 years
 Post 50 years5 years
 Lesser than 45 yearsMore than or equal to 45 years
Minimum Sum that is assured125% of the single premium110% of the single premium
Minimum PremiumRs.1,00,000 
  • ICICI Prudential iAssure Single-Premium Insurance Plan: This is a single premium endowment plan. This plan is all about tradition and does not have any bonus facilities. This plan is similar to the other plans that are mentioned here. You are required to make a one-time lump sum payment that would allow the policy to continue for the entire tenure of the policy. A Guaranteed Maturity Benefit is provided to the policyholder at the end of the tenure and if the policyholder survives for the tenure of the policy. However, if the policyholder meets with an early and unforeseen death, then the nominee of the policyholder will get the higher value between Guaranteed Maturity Benefit and Sum Assured.
Duration5 or 10 years 
 Duration in yearsAge in years
Minimum Age513
 108
Maximum entry age70 years 
Minimum entry age18 years 
 Duration in yearsAge in years
Age at maturity575
 1080
Minimum sum that is Assured125% of single premium 
 Age at entrySum that is assured
Maximum sum that is assuredUp to 55 years500%
 56-70 years125%
Minimum PremiumsRs.20,000 
  • Max New York SMART Steps Single-Premium Insurance Plan: This is an endowment plan that is aimed at making the lives of children a lot better. It is mainly aimed at planning and providing for the financial needs of children.
Life insuredParent 
Age of the insured21-50 years 
Age of the child91 days-15 years 
Maximum Maturity (Life insured)60 years 
 MinimumMaximum
The term of the policy10 years25 years
 Band 1Band 2
Premium BandsRs.50,000-Rs.2,99,999Rs.3 lakhs and above
The sum that is assured5 times the Single Premium 
Minimum PremiumRs.50,000 
Charges for allocationDepends on the premium brand that is chosen 
  • HDFC Life Single Premium Pension Super: This is a ULIP policy that generates corpus over the term of the policy which would produce a post-retirement income.
Time period10 years 
Entry Age (Minimum)40 years 
Entry Age (Maximum)75 years 
 MinimumMaximum
Maturity Age18 years65 years
Maturity Benefits101% of single premium made 
Keep in mind that apart from financial stability, a single premium plan also offers tax benefits and is only available in the first year. You also ensure that you are making use of any lump sum of money that is lying around without just letting it rot in your piggy bank. The number of different single insurance plans offered by insurance agencies is never lacking. You can also visit a policy aggregator website like bankbazaar.com to compare and check different policies and choose one that matches your needs and requirements perfectly.

2 comments:

  1. Thanks for sharing the blog, seems to be interesting and informative too. Can you suggest some of the interesting places to visit for Best Health Insurance

    ReplyDelete
  2. Thanks for sharing the blog, seems to be interesting and informative too. Can you suggest some of the interesting places to visit for Insurance Plans

    ReplyDelete

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