SBI Life Insurance - Smart Annuity Income

About Plan

SBI Life - Smart Annuity Income, an Individual, Non-Linked, Non-Participating, General
Annuity product. With payment of one-time premium, you receive fixed annuity payments throughout your life, irrespective of future market conditions safeguarding your financial future post retirement.

Features

Pay One Time and Financially Secure your Future
Guaranteed Lifelong Regular Income
Flexibility to choose from Five Annuity Options based on your Needs.
Incentive for High Purchase Price.
Flexibility to choose Frequency of Annuity Payouts as per your Requirement.

Advantages

SecurityFinancial freedom to enjoy your retirementReliabilityRegular income to meet your expensesFlexibilityReceive periodic income as per your preference

Avail tax benefits

Benefits

There are five annuity options available under this product. Annuity option once selected cannot be changed.
1. Single Life Annuity: Annuity is payable at a constant rate till the annuitant is alive. On death of Annuitant, no death benefit is payable, annuity payments cease and the policy contract terminates.
2. Single Life Annuity with Return of Purchase Price: Annuity is payable at a constant rate till the annuitant is alive. On death of Annuitant, the purchase price is payable to the nominee, annuity payments cease and the contract terminates.
3. Joint Life Annuity: Annuity is payable at a constant rate till one of the annuitants is alive. On death of Primary Annuitant, 100% of the annuity payments will continue at a constant rate till the secondary annuitant is alive. If the secondary annuitant pre-deceases the primary annuitant, annuity payments cease on the death of the primary annuitant. On death of both Annuitants, no death benefit is payable, annuity payments cease and the policy contract terminates.
4. Joint Life Annuity with Return of Purchase Price: On survival of Annuitants, Annuity is payable at a constant rate till one of the annuitants is alive. On death of the Primary Annuitant, 100% of the annuity payment will continue throughout the life of the surviving secondary annuitant. If the secondary annuitant pre-deceases the primary annuitant, annuity payments cease on the death of the primary annuitant. On the death of last survivor, purchase price is refunded to the nominee, all future annuity payouts cease immediately and the contract terminates.
5. Family Income: The annuity benefits will be payable for life of the Annuitant (Subscriber under the NPS) and his/her spouse as per the annuity option Single Life Annuity with Return of Purchase Price or Joint Life Annuity with Return of Purchase Price as the case may be. In case the subscriber does not have a spouse, the annuity benefits will be payable for life of the subscriber as per the annuity option Single Life Annuity with Return of Purchase Price.
In case the Subscriber has a spouse, and demise of the subscriber before the vesting of annuity, the annuity benefits will be payable for life of the spouse as per the annuity option Joint Life Annuity with Return of Purchase Price.
On death of the annuitant(s), the annuity payment would cease and the refund of purchase price shall be utilized to purchase an annuity contract afresh for living dependent parents (if any) as per the order specified below
a) Living dependent mother of the deceased subscriber;
b) Living dependent father of the deceased subscriber.
However, the annuity amount would be revised and determined as per the annuity option Single Life Annuity with Return of Purchase Price on a Single Life basis using the annuity rate, applicable for the age of that member, prevalent at the time of purchase of such annuity by utilizing the premiums required to be refunded to the nominee under the annuity contract. The annuity would continue until all such family members in the order specified above are covered. After the coverage of all the family members, the purchase price shall be refunded to the surviving children of the subscriber and in the absence of children, the legal heirs of the subscriber, as may be applicable.
In case no such family member exists upon the death of the last survivor, there would be a refund of purchase price to the nominee.

Entry Age Details

This product is available for sales for NPS subscribers in case of Joint Life Annuity annuity options, the maximum age difference allowed between primary and secondary annuitant is 30 years subject to the minimum and maximum entry age of both annuitants.

Minimum Premium

Premium/ Purchase Price: Minimum premium/ purchase price for any type of annuity will be such that the annuitant(s) can be paid minimum annuity as per the annuity payment mode and as per Pension Fund Regulatory and Development
Authority (PFRDA) guidelines for National Pension Scheme (NPS) subscribers. There is no limit for maximum premium/purchase price under the product. Premium/ Purchase Price refers to the lumpsum amount used to purchase annuity, it does not include applicable taxes and other statutory levies. The amount in respect of applicable taxes and other statutory levies is charged in addition to the purchase price/premium, at the rate notified by the Government from time to time.

Premium payment mode

Annuity Details

Annuity Options: Choice of Single Life and Joint Life annuities available. For Joint
Life annuity options, second annuitant could be spouse, children, parents, parentsin-
laws or siblings as per extant of PFRDA guidelines, who will be entitled to receive
the Annuity Payout in the event of death of the Primary Annuitant. The Secondary
Annuitant has to have an insurable interest with the Primary Annuitant.

Annuity Amount

Minimum Annuity: Minimum annuities payable will be as prescribed by the Pension
Fund Regulatory and Development Authority (PFRDA)
Maximum Annuity: There is no limit on maximum annuities payable and will be shall
be subject to Board Approved Underwriting Policy.

Annuity Payment Modes

Annuity payout frequencies available are - Yearly, Half-Yearly, Quarterly and Monthly.

Policy Loans

Policy Loan is only available for Single Life Annuity with Return of Purchase Price and
Joint Life Annuity with Return of Purchase Price.
Loan can be availed any time after six months from the date of commencement of the
policy. Maximum amount of loan that can be granted under the policy shall be such that
the effective annual interest amount payable on loan does not exceed 50% of the annual
annuity amount payable under the policy at the time of availing the loan. Under joint life
option, the loan can be availed by the primary annuitant and on death of the primary
annuitant, it can be availed by the secondary annuitant.

The interest on loan shall be at 10-year G-Sec rate as at 1 April of the relevant financial
year, plus not more than 200 bps and shall be applicable for all loans granted during the
st period of twelve months, beginning 1 May of the relevant financial year. The interest
rate would be rounded to nearest multiple of 25 basis points and interest amount would
be rounded nearest to `1. The current interest rate applicable for policy loan for the
financial year 2024-2025 is 9.00% compounded half-yearly.
The loan interest will be recovered from the annuity amount payable under the policy.
The loan interest will accrue as per the frequency of annuity payment under the policy
and it will be due on the date of annuity. The loan outstanding shall be recovered from
the claim proceeds under the policy. However, the annuitant has the flexibility to repay
the loan principal at any time during the currency of the annuity payments.
Any change in the basis for determining interest rate for policy loan shall be made
subject to prior approval of the Authority.

Surrender Details

Surrender Benefit is not available under the product.
However, the policy can be surrendered any time after six months from the date of
commencement, if the annuitant/ primary annuitant/ secondary annuitant, or spouse or
any of the children of the annuitant is diagnosed as suffering from any of the critical
illnesses as allowed under the product, based on the documents produced to the
satisfaction of the medical examiner of the Company and is available only under Single
Life Annuity with Return of Purchase Price and Joint Life Annuity with Return of
Purchase Price.
On approval of the surrender, the applicable surrender value is payable on the date of
surrender which is equal to 95% of the Purchase Price, subject to deduction of any
outstanding loan amount and loan interest, if any. On payment of the surrender value,
the policy shall terminate and all other benefits shall cease. For the purpose of surrender
value calculation, the Purchase Price excludes taxes, if any. Any change in surrender
value calculation method shall be made subject to prior approval of the Competent
Authority.

Claim & Solvency Ratio

Claim Ratio	Solvency Ratio
98% (2023-24)	2% (March 2024)

Select Another Insurance Company

Frequently Asked Questions About Insurance

Health

Life

Auto

Home

What is health insurance? +

Health insurance is a type of coverage that pays for medical and surgical expenses incurred by the insured. It may also provide coverage for other types of health-related costs, such as prescription drugs, mental health services, and preventive care.

Why do I need health insurance? +

Health insurance helps protect you from high medical costs. It provides access to medical care when you need it, helping to pay for doctor visits, hospital stays, surgeries, prescription medications, and other health-related services.

What is a premium? +

A premium is the amount you pay for your health insurance every month. Depending on your plan, the premium may vary based on factors like age, location, and level of coverage.

What is a deductible? +

A deductible is the amount of money you must pay out-of-pocket before your health insurance starts covering your medical expenses. For example, if you have a deductible of $1,000, you must pay $1,000 out-of-pocket before your insurance starts covering your medical bills.

What are copayments and coinsurance? +

Copayment (copay): A fixed amount you pay for a covered health care service, typically when you get the service. Coinsurance: The percentage of the cost you pay for covered health services after you've paid your deductible. For example, if your coinsurance is 20%, you pay 20% of the bill, and the insurance company pays the remaining 80%.

What is an out-of-pocket maximum? +

The out-of-pocket maximum is the maximum amount you can spend on your health insurance. If you exceed this amount, your insurance company will pay 100% of your medical expenses.

What is the difference between in-network and out-of-network providers? +

In-network providers: Health care providers that have a contract with your health insurance plan to provide services at negotiated rates. Out-of-network providers: Providers that don't have a contract with your insurance plan. Services from these providers may cost more or not be covered at all.

What is a Special Enrollment Period (SEP)? +

The Special Enrollment Period (SEP) is a special time during the year when you can sign up for or make changes to your health insurance plan. If you miss this period, you may have to wait until the next one unless you qualify for a Special Enrollment Period (e.g., due to a life event like marriage or having a baby).

Can I keep my doctor with health insurance? +

If you have a preferred doctor, it’s important to check if they are in-network with your insurance plan. If they are not in-network, you may need to pay more out-of-pocket, or you may have to switch to another doctor who is in-network.

What is a Health Savings Account (HSA)? +

A tax-advantaged account for people with high-deductible health plans (HDHPs). The funds roll over from year to year and can be used for qualifying medical expenses.

What is a Flexible Spending Account (FSA)? +

A tax-advantaged account for people with low-deductible health plans (LDHPs). The funds roll over from year to year and can be used for qualifying medical expenses.

What is a Health Maintenance Organization (HMO)? +

An HMO is a type of health insurance plan that requires you to choose a primary care physician (PCP) and get referrals from them to see specialists. HMOs often have lower premiums and out-of-pocket costs but offer less flexibility in choosing providers.

What is a Preferred Provider Organization (PPO)? +

A PPO is a health insurance plan that offers more flexibility in choosing healthcare providers and doesn’t require referrals to see specialists. You can see any doctor, but you’ll pay less if you use in-network providers.

What is the difference between a Health Savings Account (HSA) and a Flexible Spending Account (FSA)? +

HSA: A tax-advantaged account for people with high-deductible health plans (HDHPs) The funds roll over from year to year and can be used for qualifying medical expenses. FSA: A tax-advantaged account for people with low-deductible health plans (LDHPs) The funds roll over from year to year and can be used for qualifying medical expenses.

What does the term "pre-existing condition" mean? +

A pre-existing condition is a medical condition that you had before you got your health insurance. It could include things like diabetes, high blood pressure, or heart disease.

Can I cancel my health insurance at any time? +

Yes, you can cancel your health insurance plan at any time. However, if you cancel outside the open enrollment period, you may not be able to get another plan until the next enrollment period unless you qualify for a Special Enrollment Period.

Are prescription drugs covered by health insurance? +

Many health insurance plans cover prescription medications, but the coverage may vary. Plans typically have a formulary, or list of covered drugs, and different drugs may have different levels of coverage, depending on whether they are generic, brand-name, or specialty drugs.

What is preventive care? +

Preventive care includes health services that help prevent illnesses, such as vaccinations, screenings, and annual checkups. Under the Affordable Care Act, most preventive services are covered by health insurance plans at no additional cost to the policyholder.

What should I do if my health insurance claim is denied? +

If your claim is denied, you can appeal the decision. Review the denial letter for reasons, contact your insurer for assistance, and file a written request for a hearing. If you win the appeal, you may be able to get a refund or other compensation.

How can I choose the best health insurance plan for me? +

When selecting a plan, consider factors like: Your health care needs (e.g., frequent visits, prescriptions) The plan’s network of doctors and hospitals The cost of premiums, deductibles, copays, and out-of-pocket maximums Coverage for specialized care or treatments Compare the different plans and benefits to find one that meets your needs.

What happens if I don't have health insurance? +

If you don’t have health insurance, you can still access some health care services, such as emergency care, in-network doctors, and in-network hospitals. You may be eligible for Medicaid, which provides some health care services at no cost to you.

What is life insurance? +

Life insurance is a contract between you and an insurance company, where you pay regular premiums in exchange for a lump sum payment (death benefit) to your beneficiaries upon your death.

What are the different types of life insurance? +

Term Life Insurance: Provides coverage for a specific period (e.g., 10, 20, or 30 years). If you pass away during this term, your beneficiaries receive the death benefit. It does not build cash value. Whole Life Insurance: Offers lifetime coverage with a death benefit and also builds cash value over time, which you can borrow against or use. Universal Life Insurance: A flexible policy that allows you to adjust the premiums and death benefit while also building cash value.

How much life insurance coverage do I need? +

The amount of coverage you need depends on factors like your income, debts, family needs, and long-term financial goals. A common rule is to have coverage worth 10 to 15 times your annual income, but this can vary based on your individual situation.

What is the difference between beneficiaries and policyholders? +

The policyholder is the person who owns the life insurance policy and pays the premiums, while the beneficiary is the person or group that receives the death benefit when the policyholder passes away.

Can I change my beneficiaries? +

Yes, you can change your beneficiaries at any time during the life of the policy, as long as the policy is in force and you follow the correct procedure with the insurance company.

What is the contestability period? +

The contestability period is the time during which you have the right to contest the decision of the insurer to pay the death benefit. This period varies depending on the type of life insurance policy and the insurer.

Does life insurance cover accidental death? +

Some life insurance policies include accidental death coverage, while others may require a separate rider for this benefit. Be sure to review your policy to understand what’s covered.

Can I cancel my life insurance policy at any time? +

Yes, you can cancel your life insurance policy at any time, provided you follow the correct procedure with the insurance company.

What is cash value? +

Cash value is the accumulated value of the life insurance policy that can be used to pay for expenses, such as medical bills or funeral expenses.

How do I borrow against cash value? +

You can borrow against the cash value of your life insurance policy, but it will need to be repaid, and any unpaid loan will reduce the death benefit.

What is the difference between whole life and universal life insurance? +

Whole life insurance provides coverage for a specific period (e.g., 10, 20, or 30 years) and builds cash value over time. Universal life insurance offers lifetime coverage with a death benefit and also builds cash value over time.

How are life insurance premiums determined? +

Life insurance premiums are based on factors like age, health, lifestyle (e.g., smoking), coverage amount, and type of policy. Generally, younger, healthier individuals pay lower premiums.

Can I borrow money from my life insurance policy? +

If you have a whole life or universal life policy, it may build cash value over time. You can borrow against this cash value, but it will need to be repaid, and any unpaid loan will reduce the death benefit.

What happens if I stop paying my life insurance premiums? +

If you stop paying premiums, your policy may lapse. For permanent policies like whole or universal life, the cash value may cover the premiums for a time, but eventually, if premiums are not paid, the policy will end.

What is auto insurance? +

Auto insurance is a contract between you and an insurance company that provides financial protection against damage or injury caused by accidents, theft, or other incidents involving your vehicle. It covers both liability and your vehicle's repair costs depending on the type of policy.

What types of auto insurance coverage are available? +

There are several types of auto insurance coverage, including liability, collision, comprehensive, uninsured/underinsured motorist, and additional coverage like roadside assistance and collision damage waiver.

How much auto insurance do I need? +

The amount of coverage you need depends on factors such as the value of your car, your driving habits, your state's legal requirements, and whether you own or lease your vehicle. A good starting point is to meet your state's minimum required coverage, but you may want additional coverage for added protection.

Can I cancel my auto insurance policy at any time? +

Yes, you can cancel your auto insurance policy at any time, provided you follow the correct procedure with the insurance company.

What is the difference between liability and comprehensive coverage? +

Liability coverage covers the damages and injuries caused by accidents, while comprehensive coverage also covers non-accident damages, such as theft or vandalism.

How do I choose the right auto insurance policy? +

When selecting an auto insurance policy, consider factors such as the type of coverage you need, your driving habits, the value of your vehicle, and your state's legal requirements.

What factors affect my auto insurance premium? +

Several factors impact your insurance premium, including: Your driving history (accidents, tickets), The make, model, and age of your car, Your location (accident rates in your area), Your age, gender, and marital status, The level of coverage you choose, Your credit score (in some states).

What is a deductible? +

A deductible is the amount you must pay out of pocket before your insurance policy starts to cover the remaining cost of repairs or claims. For example, if you have a $500 deductible and incur $2,000 in damages, you will pay $500, and your insurer will pay the remaining $1,500.

What is the difference between comprehensive and collision coverage? +

Collision coverage pays for repairs to your vehicle after a collision with another vehicle or object, regardless of who is at fault. Comprehensive coverage covers non-collision incidents, such as theft, vandalism, or damage from natural disasters.

Can I get uninsured/underinsured motorist coverage? +

Yes, uninsured/underinsured motorist coverage is available in some states. This coverage provides financial protection for you if another driver is uninsured or underinsured.

Is auto insurance required by law? +

Yes, in most states, you are required to have a minimum level of liability insurance. Some states also require additional coverage like Personal Injury Protection (PIP) or uninsured motorist coverage. The requirements vary by state, so it’s important to check your local laws.

What happens if I don’t have auto insurance? +

If you drive without insurance, you risk facing legal penalties, fines, and the possibility of your driver's license being suspended. If you're involved in an accident, you could be held responsible for the damages.

Can I add other drivers to my auto insurance policy? +

Yes, you can add other drivers, such as family members or friends, to your policy. However, their driving record and age may affect your premium. It's important to inform your insurer about all the drivers in your household.

What should I do if I get into an accident? +

If you're in an accident, follow these steps: Ensure safety by moving to a safe location if possible. Call the police and file a report. Exchange contact and insurance information with the other driver(s). Take photos of the accident scene, vehicle damage, and injuries. Notify your insurance company about the accident as soon as possible.

What is home insurance? +

Home insurance is a contract between you and an insurance company that provides financial protection against damage or loss caused by natural disasters, theft, or other incidents.

What types of home insurance coverage are available? +

There are several types of home insurance coverage, including flood, fire, burglary, and liability. You may also have coverage for water damage, mold, and other property damage.

How much home insurance do I need? +

The amount of home insurance coverage you need depends on the value of your property, the type of coverage you want, and your insurance provider. You may also need additional coverage for water damage, mold, and other property damage.

Can I cancel my home insurance policy at any time? +

Yes, you can cancel your home insurance policy at any time, provided you follow the correct procedure with the insurance company.

What is the difference between flood and fire coverage? +

Flood coverage covers damage caused by floods, while fire coverage covers damage caused by fires.

How do I choose the right home insurance policy? +

When selecting home insurance, consider factors such as the type of coverage you need, the value of your property, and your insurance provider.

What factors affect my home insurance premium? +

Factors such as the type of coverage you need, the value of your property, and your insurance provider can significantly impact your premium.