Exide Life offers various life insurance plans focusing on both insurance and long-term savings and investments. The insurance company has an extensive portfolio of child plans. Notable among which are Exide Life New Creating Life Insurance Plans.
The insurance company offers two options under this bouquet – Exide Life New Creating Life Plus and Exide Life New Creating Life Regular Pay. Both the plans are designed to ensure financial stability for the life assured and their loved ones, especially children, even when you are not there. Let us understand the two child plans under the savings and investment category.
Exide Life New Creating Life Plus Plan Details
This is a non-linked participating life insurance child plan where policyowners pay for only a few years. However, at the end of the policy term, their child will get an adequate amount as sum assured along with 10% guaranteed additions and accrued bonuses (if any). In case of an unfortunate event like the death of the policyholder, all the future premiums will be waived off. In addition to this, the family of the life assured will get the life cover as well as regular lump-sum income for the next 60 months.
Eligibility
| Particular | Details | ||
| Entry Age (Parent) | 18 – 45 years | ||
| Entry Age (Child) | 0 -17 years | ||
| Maturity Age (Parent) | 60 years | ||
| Policy Term | 10/12/15/20 years | ||
| Premium Payment Term | 5/7/10 years | ||
| Minimum Premium Amount | Premium Payment Term | Monthly | Annually |
| 5 years | Rs. 3,000 | Rs. 36,000 | |
| 7 years | Rs. 2,000 | Rs. 24,000 | |
| 10 years | Rs. 1,500 | Rs.18,000 | |
| Minimum Sum Assured | For 5 Years Premium Payment Term: Rs. 1,22,249 (Monthly) and Rs. 1,33,242 (Annual)
For 7 Years Premium Payment Term: Rs. 1,05,263 (Monthly) and Rs. 1,14,728 (Annual) For 20 Years Premium Payment Term: Rs. 1,07,759 (Monthly) and Rs. 1,17,448 (Annual) |
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| Premium Payment Frequency | Monthly and Annual | ||
Features
- Flexibility to pay premiums for shorter duration: Under this plan, though you pay the premium for shorter duration like 5, 7 or 10 years, as per your convenience, you enjoy the benefits for longer duration. Thus, the benefits can be for the entire policy term (20 years) and they do not depend on the policy term.
- Grace period: In case you miss paying your premium by the due date, you get extra time for the payment called grace period. For annual mode of premium payment, the grace period is 30 days, while for monthly premium payment mode, it is 15 days.
Revival of Exide Life New Creating Life Plus
In case you missed paying the premiums for a long time but do not wish to surrender the policy, you have the option of the revival of your policy during the policy term. It can be done within two years from the date of first unpaid premium by paying all the due premiums along with the reinstatement charge. You also need to submit the proof of continued insurability that should be as per the board approved underwriting policy. In some cases, the company can also seek medical reports. At present, the reinstatement charge is 9% per annum compounded semiannually.
Surrender Value of Exide Life New Creating Life Plus
For some reason, in case you want to surrender the policy, then that option is also available. However, to surrender the policy, you should have paid the premium of at least one full year. The amount payable at surrender can be availed immediately or at the end of the second policy year, whichever is later. All the benefits cease after the payment of the surrender benefit.
The surrender benefit is higher of the Special Surrender Value (SSV), if any or the guaranteed surrender value (GSV), after deduction of any loans under the policy. On the payment of the premium of at least one year, the policy acquires a GSV, which depends on the year of surrender.
GSV is the sum of the following:
- GSV factor 1 multiplied by the total amount of premiums paid. This excludes the taxes and premium for extra mortality rating, if any.
- GSV factor 2 multiplied by the total vested bonus accrued to the policy, if any
Documents
Insured needs to submit the claim form/application form/proposal form along with address proof and identity proof with accurate details. In some of the cases, medical examination may be required based on the sum assured and the age of the insured.
The following document is needed to claim the insurance plan:
- In case of Maturity Claims
- Original Policy Document
- Discharge Form
- Self attested ID Proof
- Bank account details
- In case of Death Claims
- Death Certificate
- Policy Document
- Identification Proof
- FIR report
- Post-mortem report
Benefits
The insurance plan offers a range of benefits to its customers. Some of them have been mentioned below:
Life Cover with Family Income Benefit: The insurance plan offers dual benefits of life cover and a source of family income. In case the policy owner dies during the policy term, their family will get death sum assured. This benefit will always be the highest of:
- Base sum assured
- 10 times of the annualised premium (for base policy)
In any of the cases, the life cover will never be less than 105% of all the premiums paid till date of death.
Maturity Benefit: The life insurance plan provides its customers with maturity benefit which is 10% of the sum assured in the form of guaranteed additions. The total benefit on the maturity is calculated as:
Maturity Benefit = Guaranteed Sum Assured + Guaranteed 10% of Sum Assured + Vested Bonus (Non-guaranteed, if any)+
Terminal Bonus (Non-guaranteed, if any)
This benefit can never be less than 101% of the total contractual base premiums payable under this insurance plan.
Additional Bonuses: This insurance plan is eligible for additional bonuses throughout the policy term. These additional bonuses represent the share of profits in the company’s participating funds. However, these bonuses are not guaranteed and depend on the performance of the fund. These bonuses are paid as a percentage of the policy’s sum assured. There are two types of bonuses offered by Exide Life:
- Simple Reversionary Bonus: These bonuses (if any) are usually declared by the insurer on annual basis. These attached bonuses are payable at the end of the policy term or on maturity.
- Terminal Bonus: These bonuses (if any) are payable on maturity.
Waiver of Future Premiums: In case of any unforeseen event i.e. demise of the policyholder, all the upcoming premiums (due after the death of the life assured) will be waived off. However, the plan will continue till the end of the policy term and maturity benefits will be paid by the insurer on maturity date.
Enhanced Protection with Optional Rider Benefit: These optional benefits can be purchased by paying a little extra premium. The insurance plan comes with the following options to choose from:
- Exide Life Accidental Death Disability and Dismemberment Benefit Rider
- Exide Life Critical Illness Rider
- Exide Life Term Rider
Discount on Premiums:Exide Life rewards the policyholders with discounts on their premiums if they pay a higher amount. The annualised premium amounts and discounts are tabulated below:
| Annualised Premium Amount | Discount on Premiums |
| First Rs. 48,000 | 0% |
| Next Rs. 12,000 | 3% |
| Next Rs. 12,000 | 4% |
| Any Access over the Above Premiums | 6% |
Tax Benefit: The insurance plan offers tax benefits to its customers. The benefits are given under sections 80C and 10 (10D) of the Income Tax Act, 1961. Since tax laws are a subject of amendments from time to time, it is important to get in touch with your tax advisor for the consultation.
Exide Life New Creating Life Regular Pay
In this plan, the policyholder pays on a regular basis over the policy term to ensure that their children and loved ones will get the sum assured and accrued bonuses at the end. In case of an unexpected demise of the policyholder, all the coming premiums will be waived off, but the benefits will remain the same.
Eligibility for Exide Life New Creating Life Insurance Regular Pay
| Particular | Details |
| Entry Age (Parent) | 18 years-45 years |
| Entry Age (Child) | 0 years-17 years |
| Maturity Age (Parent) | 60 years |
| Policy Term | 15 years-25 years |
| Premium Payment Term | Equal to the policy term chosen |
| Minimum Premium Amount | Monthly: Rs. 1,000
Yearly: Rs. 12,000 |
| Minimum Sum Assured | Monthly: Rs. 1,13,766
Yearly: Rs. 1,23,995 |
| Premium Payment Frequency | Monthly and Annual |
Documents required to claim Exide Life New Creating Life Insurance Regular Pay
The following document is needed to claim the insurance plan:
- In case of Maturity Claims
- Original Policy Document
- Discharge Form
- Self attested ID Proof
- Bank account details
- In case of Death Claims
- Death Certificate
- Policy Document
- Identification Proof
- FIR report
- Post-mortem report
Benefits of Exide Life New Creating Life Regular Pay
By opting for the Exide Life New Creating Life Regular Pay Plan one can avail plenty of benefits such as:
Life Cover Benefit with Family Income: In the event of untimely demise of the policyholder, the family of the life assured will receive death sum assured. This particular benefit will always be the highest of:
- Base sum assured
- 10 times of the annualised premium (for base plan)
Under all possible circumstances, the benefit cannot be less than 105% of the total paid premiums.
Maturity Benefit: This benefit will be paid by Exide Life at the end of the policy term chosen. The insured will get maturity benefit along with vested and terminal bonuses (if any).
Bonuses: This insurance plan may acquire certain bonuses throughout the policy term. These added bonuses are generally a profit share in Exide Life’s participating fund. However, they are not guaranteed and based on the fund’s market performance. Exide Life provides two types of bonuses – simple reversionary bonus and terminal bonus. Both the bonuses are payable on maturity date.
Tax Benefit: This policy is eligible to get tax benefits on premiums and other benefits received. The tax benefit will be provided under sections 80C, 80D and 10 (10D) of the Income Tax Act, 1961 (income tax laws are subject to provision contained therein).
Additional Discount on Premiums: If the policy owner chooses to pay a higher amount as premiums, the insurance company will reward them with additional benefit in the form of discounts on premiums. The rate of discount and applicable premiums slabs have been given here:
| Annualised Premium Amount | Discount on Premiums |
| First Rs. 24,000 | 0% |
| Next Rs. 24,000 | 3% |
| Next Rs. 12,000 | 4% |
| Any access over the above Premiums | 6% |
Review and Compare Plans Online Before Buying One
To find the right and best-suited plan among these two, it is important to thoroughly read and review each plan. Look at the benefits and compare features along with additional bonuses or benefits provided.
The insurance company offers a handy online tool – Calculate Benefits. One can use this tool to see the specific bunch of benefits provided by the plan. Here are the easy steps to use this tool:
- Browse through the official website of Exide Life
- Select ‘Savings and Investment’ category to find your preferred product – Exide Life New Creating Life Insurance Plans
- On product’s page, ‘Calculate Benefit’ will be there, click on it
- Now enter your date of birth, preferred premium payment frequency i.e. monthly or annual, premium payment term, number of years for life cover and desired premium amount
- Click on ‘View Benefit’ to know what benefits you will be going to get with the plan as per your entry age, policy term, etc.
FAQs
Q1. What is surrender policy of Exide Life New Creating Life Plus?
A policyholder can surrender the policy only after the payment of the first year’s full premium under the Exide Life New Creating Life Plus plan. The surrender benefits can be availed immediately or at the end of second policy year.
Q2. What is revival policy of Exide Life New Creating Life Plus?
A policy can be revived or reinstated within two years from the date of first unpaid premium through submitting the proof of continued insurability and making the payment of all due premiums along with the revival charges (if any).
Q3. what is the surrender policy of Exide Life New Creating Life Regular Pay?
The policy can be surrendered anytime after the first year’s full premium is paid. Also, the surrender benefits can be entertained at the time of surrender immediately or after the end of third policy year.
Q4. what is the free look period of Exide Life New Creating Life Regular Pay?
Individuals have got the option to cancel the policy anytime by writing to the company about the disagreement with the terms and conditions of the policy and returning the policy document with 15 days of the receipt of the policy document.