Life Insurance policy and renewal - Frequently Asked Questions

Q1. What is the advantage of paying renewal for my life insurance policy?
A.     Renewing the policy allows the policy owner to renew the coverage simply by paying additional premiums before the termination date without having to provide evidence of insurability (i.e. no additional underwriting is necessary)

Q2.  Why would I want to continue my insurance?
A. The life insurance of the policy holder will continue converge later in life. By renewing a policy, even if you develop a serious health problem, otherwise you may be unable to find coverage later on. Renewable life insurance allows you to maintain coverage even if you develop a chronic health condition.

Q3. Would the cost of renewal premiums be high?
A.    As most products are term coverage, the premiums are significantly lower and renewable life insurance allows you to obtain the coverage you need at an affordable cost.

Q4. I can not pay this year’s premium in one go. Can I change my mode of payment?
A.   Yes. You can change your mode of payment to yearly, half yearly, quarterly or monthly during the beginning of the policy year, depending upon the terms and conditions of the product.

Q5. What will be the status of my policy if I do not pay my due on time?
A.   The policy lapses. This means that the life protection for the policy no longer exists.

Q6. What is the time period within which I will have to pay my policy due?
A.    The renewal due for any policy should be paid on or before the due date or before the grace period.

Q7.  What is grace period?
A.   We offer you a grace period of 30 days from the premium dfue date for yearly/half yearly/quarterly premium and 15 days for monthly premiums. The policy will remain in force during the grace period and will lapse thereafter if no premium is paid.

Q8. I have a policy taken before 31st August 2010; will there be any consequences if I do not pay my renewals?
A. Though your investments (only in ULIP policies) will continue, your life cover ceases. This means that there could be a possibility of denial of death claim (sum assured).

Q9. I have not paid my renewals for more than six months, can I pay my premium now?
A. Yes. As your policy is in “lapse” as on date, a Declaration of Good Health (DGH) will have to be given along with a cheque or a DD remitting the premium payment till date.

Q10. What is a Declaration of Good Health?
A. A DGH is a declaration given by the life assured with respect to his/her health. It is given in order to revive your policy. It would entail that the policy will be underwritten again based on medical terms.

Q11. What is renewal?
A. Renewal is a continuation of your policy and life cover. It is a premium paid in order to keep your policy alive.

Q12. What is revival of a policy?
A. Revival is giving life to a lapsed policy.

Q13. How do I revive my policy?
A. The policyholder can revive the lapsed policy by making a written application within a period of 5 years from the first unpaid premium and paying the unpaid charges, if any, with all unpaid premiums. Unpaid premiums will be recovered on revival and will be invested based on the NAV as on date of revival for all ULIP polices.

Q14. My Policy Document states that my servicing branch is Branch X, but I have shifted my residence elsewhere. Do I still have to pay my premiums only in Branch X?
A.  Premium payment can be made in any of the SBI Life branches any where in India.

Q15. I am an NRI; I want to revive my policy immediately. How do I revive my policy?
A. The policyholder may send a scanned image of the Declaration of Good Health along with an NRI Questionnaire (if not given prior – at the time of policy issuance) and send it to us. A DD or a cheque can be sent from your behalf to enable us to process your revival.

Q16. I am not interested in paying my renewal. What do I do?
A.     The policy was taken by you for a specific purpose; for marriage, your child’s future, retirement investment; by stopping your renewal payment, your are closing the future benefits that can be availed by you.

Q17. I am an NRI. How do I remit my renewal payment?
A. We have an Online Payment facility which can be availed for all policyholders. This is an easy payment facility.

Q18. I have opted for monthly mode for my policy, can I avail an ECS payment?
A. Yes. Electronic Clearance System (ECS) is an easy way of paying your renewals. ECS can be availed by filling up the “ECS mandate form” and submitting to your nearest SBI Life branch.

Q19. Is it necessary that only State Bank group ECS can be given?
A. No. ECS can be given from any banks as long as they have an ECS facility available. Renewal would thereafter be directly debited from your account.

Q20. I have an SBI account. Can you suggest any easy way of making my renewal payment?
A.  One of the latest ways of renewal payment option is SI EFT, where the processing is very fast and also easy.

Q21. I would like to remit my renewal payment, can my father pay the due for me?
A.     Yes. Premium can be paid by any person mentioned below. Others are considered as third party.

-        Policyholder’s own cheque.
-        Cheque given by father/mother
-        Cheque given by a grandfather as a gift to his grand child
-        Employer giving a cheque to his employee as a part of Employer-Employee scheme.

Q22. Can I make partial payments to revive my policy?
A.  Revival can be effected only if the complete due till date is paid.

A23. I want to revive my policy as it is lapsed. What is the date of allocation of the NAV?
A.  NAV for a lapsed policy will be allocated as on date of the revival.

Q24. My policy status is tech lapse. Do I have to give a Declaration of Good Health?
A. DGH should be given if a policy is lapsed i.e. premium payment is not made for more than 6 months. In your case, the policy is not lapsed completely, so a DGH is not required.

Q25. In that case (if my policy is in tech lapse), can I make partial payments of my premium?
A.  Partial payments can not be made for any policy. Renewal premium has to be made till date for keeping the policy in force.

Q26. Can I avail Income tax benefits on renewal payments?
A. Yes. IT Benefits as per the rules of income tax can be availed.

Q27. What is a Topup?
A.  Top up is a premium amount paid to increase the invested funds in a ULIP Policy.

Q28. Can I avail IT benefits on Topup?
A.  Yes. IT Benefits as per the rules of income tax can be availed.

Q29. I have recently received my renewal receipt with a revenue stamp. Is it valid?
A.  As on 23/11/2010, “Mudrank” has been introduced, wherein all ULIP receipts will be printed and will be dispatched to you from the head office under the revised name as “Renewal Premium Receipt cum Unit Allocation Statement”

9:15 AM | Labels: | 0 Comments  

Different ways of Premium payments

 DIFFERENT WAYS OF RENEWAL PAYMENT

  1. DIRECT REMITTANCE AT SBI LIFE BRANCH
  1. BY POST OR COURIER
  1. SKYPAK DROP BOX
  1. ELECTRONIC CLEARING SERVICE (ECS)
  1. DIRECT DEBIT
  1. STANDING INSTRUCTION ON YOUR CREDIT CARD
  1. ONLINE PAYMENTS
  1. THROUGH STATE BANK GROUP ATMS
  1. STANDING INSTRUCTIONS ON YOUR STATE BANK ACCOUNT
  1. PAYMENT THROUGH VISA BILL PAY.COM
  1. ONLINE PAYMENT OF PREMIUM THROUGH SBI LIFE WEBSITE
  1. SI-EFT FOR STATE BANK AND ASSOCIATE BANKS’ ACCOUNT HOLDERS
1.  DIRECT REMITTANCE AT SBI LIFE BRANCH: You can make premium payments by Cheque/ Demand draft at your nearest SBI Life branch. Kindly note that you can pay premiums  at any of the SBI Life branch across India. 

The Cheque/ Demand draft should be drawn in favor of “SBI Life Insurance Company Ltd  – Policy Number <Policy Number> ”   Please mention your policy number/s and your contact number on the reverse of the cheque/ DD.
  
2.  BY POST OR COURIER:  You can send your cheques and demand drafts for premium payments    to any of the SBI Life branch Office by post or courier. A receipt acknowledging your payment will  be sent to your communication address directly.

3.  SKYPAK DROP BOX: You can also deposit your cheque at the SKYPAK drop boxes. This facility is available in the following locations:

LOCATIONS AVAILABLE
AHMEDABAD
BANGALORE
BHUBANESHWAR
CHANDIGARH
CHENNAI
COIMBATORE
HYDERABAD
JAIPUR
KOLKATA
LUDHIANA
MUMBAI
NEW DELHI
TRIVANDRUM
VISHAKAPATNAM


Click here to find out your nearest SKYPAK drop box. A receipt acknowledging your payment will be sent to your communication address directly.

4.  Electronic Clearing Service (ECS) – Mandate Auto debit through ECS is a facility through which premiums will be debited to your bank account automatically. This facility is currently available in 86  locations. Policy holders having a bank account in these locations and participating in the clearing    house operations can register for this facility by submitting the ECS Mandate form along with a cancelled cheque in which the MICR number is mentioned. You can submit this mandate at any of   our branch offices or mail it to our communication address as mentioned below:
          SBI Life Insurance Co. Ltd.
            Central Processing Centre
            Kapas Bhavan, Plot 3A,
            Sector-10, CBD Belapur,
            Navi Mumbai- 400614
Premium payment for ECS locations in non- rolling settlement category may not be deducted on the due date.

5.  DIRECT DEBIT: Direct debit facility is another facility which enables the auto debit of premium from your bank account on your due date. The Direct debit facility is available to the account holders of 





-        State Bank of India
-        Axis Bank,
-        CITI Bank,
-        ICICI Bank,
-        Bank of Baroda,
-        Union Bank of India,
-        Bank of India,
-        IndusInd Bank,
-        Punjab National Bank
-        Kotak Bank.

To avail this facility, please submit the duly filled Direct Debit Mandate form along with a cancelled cheque. You can submit this mandate at any of our branch offices or mail it to our communication address.

6.   STANDING INSTRUCTION ON YOUR CREDIT CARD: SBI Life customers having a valid VISA or Master credit card can register for auto debit of SBI Life premiums by issuing a Standing Instruction. To register for this facility, please fill the Credit Card Mandate Form and forward the same along with the self attested photo copy of your credit card to your nearest SBI Life branch    offices. After verification and activation the future premiums as and when they fall due will be debited from your Credit Card.

7.   Online Payments: Net banking customers of State Bank of India and our partner banks can register for this facility. All you have to do is to add SBI Life as your biller  ( SBI Life is listed as a national biller ) and provide your Policy details. Alternately you can also register through www.billdesk.com or by submitting the Billdesk registration form to your nearest SBI Life branch.
After verification this service will be activated and a premium due advice will be sent to your banker. The Premium bill will be displayed in your login indicating the due date and the premium due. You can either choose to pay the premiums immediately or schedule the payment to convenient date before the premium date 

8.  Through STATE BANK GROUP ATMS*: Now you can register and pay your premiums through all State Bank Group ATM’s. Currently State Bank group has nearly 21500 ATM’s installed across the country. Click Here for ATM REGISTRATION & ATM PAYMENT process.

9.  Standing instructions on your State Bank account: This facility is available for all SBI and Associate bank account holders only. Just fill up the Standing instructions formand submit it at   your nearest SBI Life branch or send it to our communication address 

10.  Payment through VISA BILL PAY.com.All SBI Life customers having a VISA credit card issued in India can register for payment of premiums through this facility. For registering for this facility  please log into www.visabillpay.com , add SBI Life as your biller and provide your policy details for registration. After verification this service will be activated and a premium due advice will be sent to you. The Premium bill will be displayed in your login indicating the due date and the premium due. You can either choose to pay the premiums immediately or schedule the payment to convenient date before the premium date.

            COMMUNICATION ADDRESS.
            SBI Life Insurance Co. Ltd.
            Central Processing Center
            Kapas Bhavan, Plot no. 3A,
            Sector-10, CBD Belapur,
            Navi Mumbai – 400614

11. Online Payment of premium through SBI Life Website - Payment of renewal premium by logging in at SBI Life website. Customer can pay the premium if he is a holder of valid Visa / Master / American Express / Diners Credit Card or having a net banking account with the listed banks on the website. For these payments no registration is required and no extra premium is being charged. Premiums will be accepted 10 days in advance for monthly and 25 days in advance for non monthly policies. Similarly the customer can pay the premium up to 5 months and 25 days after the due date of premium.

The services are available for the registered customers of Mypolicy self service portal and also for non registered customers. Customers registered for policy can pay the renewal premium by logging in at  Mypolicy Non registered customer can pay the premium by logging at www.sbilife.co.in For every successful transaction customer will get the success report and Premium Acknowledgement Receipt instantly. The Renewal Premium Receipt will be sent to the policyholder    after adjustment / allocation of premium.

12.    SI-EFT for State Bank and Associate Banks’ Account Holders :

This facility is available for all SBI and six Associate bank’s account holders only. To avail this    facility, a policyholder requires to submit the SI-EFT Mandate to his/her bank branch. This is an automated payment mechanism, on successful registration of the facility at bank end, payment will be debited on due date and will be remitted by SBI to SBI Life on next day. Under this payment mode, bank official’s intervention is limited up to the registration of the mode in bank’s system. For deactivation of the facility a policyholder needs to submit the deactivation request to his/her bank branch.

9:14 AM | Labels: | 0 Comments  

Tax benefits


Life Insurance polices allows returns on investment but the mail purpose of insurance is for the cover against unfortunate eventuality that may arise. The cover might not benefit the person who passes away but guards his near and dear ones against the events that could affect them due to the unfortunate circumstance of the life assured’s demise.

INCOME-TAX RATES FOR ASSESSMENT YEAR 2011-2012 (FINANCIAL YEAR 2010-2011)



Premium Payments under the Life Insurance and Pension plans are eligible for tax exemption as per the Income Tax Act 1961:
-  Premiums paid under a life insurance policy are eligible for deduction under Section 80C* of the Act.
-  Contributions under pension plans are eligible for deduction under Section 80CCC* of
the Act.
-  The sum received (including the bonus) under a life insurance policy (other than any sum received under sub-section (3) of section 80DDA or under a Keyman insurance policy) are exempt under Section 10(10D) of the Act, subject to the provisions of the said section.

*As per the prevailing law, the aggregate amount of deduction under section 80C, 80CCC and section 80CCD shall not exceed one lakh rupees.


Exemption from the Life Insurance proceeds
Under Sec 10(10D) of IT Act 

-        Maturity benefits are tax-free in the hands of the policyholder if, at any point of time during the policy life, premiums paid within one year do not exceed 20% of the basic Sum Assured.
-        Death benefits are tax-free.
-        Please note that tax laws are subject to change and changes in tax laws could be with retrospective effect.
-        This information should not be construed as tax, legal or investment opinion from SBI Life Insurance Company Limited. SBI Life Insurance Company Limited is not responsible in any manner for decisions made on the basis of the above information.
-        Please consult your tax advisor in connection with your taxability.

9:11 AM | Labels: | 0 Comments  

Branches - Tamilnadu

Attur

SBI Life Insurance Co. Ltd., No. 512-A, Salem Cudalore Main Road, Near Gandhi Statue, Attur - 636102
04282-243241/253663

 Chennai - Little Mount
SBI Life Insurance Co. Ltd.,No. 4, Velachery Road, 1st Floor, Opp. New Life AG Church, Little Mount, Chennai - 600 015.
044-42334052,56,57,58

 Chennai (RO + Banca)
SBI Life Insurance Co. Ltd., 3rd Floor, State Bank Learning Centre, No.20, Pycrofts Garden Road,  Nungambakkam, Chennai -600 006.
Tel: 044 – 2829 2270

Chennai - Anna Nagar East

SBI Life Insurance Co. Ltd., Door. No. 13/L, 1st Floor,  Plot No. 3631, J Block, 3rd Avenue, Anna Nagar East, Chennai - 600 102
044-43500657,658

CHENNAI - Parrys

SBI Life Insurance Co. Ltd.,No. 154, 3rd Floor,Thambu Chetty Street, Parrys, Chennai - 600 001.
044-42130114,16,18,19

Chennai Tambaram
SBI Life Insurance Co. Ltd., 49/9, 1st Floor, Venkatesan Street, West Tambaram - 600 045.
Tel: 044 - 42043157 – 60
Chennai - Mylapore
SBI Life Insurance Co. Ltd., 1st Floor, 107 & 109, Cutchery Road, Mylapore - 600 004.
Tel: 044 - 24951302-05

Chennai - Porur

SBI Life Insurance Co. Ltd., No.3/11, Arcot Road, 1st Floor, Karambakkam, Porur - 600 116.
Tel: 044 - 42180830/50

Chennai - Anna Nagar West

SBI Life Insurance Co. Ltd., N.R. Dave Complex, No: 201/C-34, 2nd Floor, 2nd Avenue, Annanagar, Near Santhosh Super Market, Chennai - 600 040.
044-45500841-42, 45500839-40

Coimbatore 2
SBI Life Insurance Co. Ltd., 3rd Floor, Jaya Enclave, No. C-8, 1057, Avinashi Road, Coimbatore - 641 018.
Tel: 0422-4204990-95

Coimbatore 3

SBI Life Insurance Co. Ltd., No: 44, Cowly Browan Road (East) , R.S. Puram, Coimbatore - 641 002.
0422-4200824/25/26.

Coimbatore4

SBI Life Insurance Co. Ltd., R S Puram Branch Building, 541, D B Road, R S Puram, Coimbatore - 641 002.

Coimbatore PC

SBI Life Insurance Co. Ltd., 723 Avanashi Road, Kalki Nagar, Peelamedu, Coimbatore - 641 004
0422-2567890

Dharmapuri

SBI Life Insurance Co. Ltd., 1 D, 1st Floor, C.K.Srinivasa Rao Street, Near Bus Stand, Dharmapuri - 636 701
04342-269691,92,94

Dindigul

SBI Life Insurance Co Ltd., 91, 2nd Floor, New Sona Towers, New Agraharam, Palani Road, Dindigul - 624 001.
Tel: 0451-2440612

Erode

SBI Life Insurance Co. Ltd., 86 & 87, Perundarai Road, Opp Collectorate, Erode - 638 011.
0424-6454524,26,27,28,29,30

Kanchipuram

SBI Life Insurance Co. Ltd., 1st Floor, 60 B, Anna Indira Gandhi Salai, Opp. To Karthikeyan Theatre, Kanchipuram - 631 501.
Tel: 044 - 47201102-05

Karikudi

SBI Life Insurance Co. Ltd., 321/4, 2nd Floor, Sekkalai, M B A Towers, Karaikudi - 630 002.
04565-400707,234877

Karur

SBI Life Insurance Co. Ltd. No.9, Old By-Pass Road, PLA Plaza, Karur, Tamil Nadu - 639 001.
Tel : 04324-230611/12

Kovilpatty

SBI Life Insurance Co. Ltd.,128/2, Kovilpatti Paddy And Rice Merchant Association Building, Main Road, Kovilpatti – 628 501.
Tel: 0465 – 2403396

Krishnagiri

SBI Life Insurance Co. Ltd., Anuradha Complex, No 334, 2nd Floor, Bengaluru Road, Krishnagiri - 635 001.
Tel: 04343 - 230590 - 92

Kumbakonam

SBI Life Insurance Co. Ltd., No. 57, Saragapani Sannadhi South Street, Kumbakonam - 612 001.
Tel: 0435 - 2402875

Madurai

SBI Life Insurance Co. Ltd., 1st & 4/4, 3rd Floor, A.A. Tower, Bye Pass Road, Madurai - 625 010.
Tel :  0452 - 4200725

Madurai 3

SBI Life Insurance Co. Ltd., No 67, Amman Sanathi Street, 2nd Floor, Madurai - 625001.

Manaparai

SBI Life Insurance Co. Ltd., 1st Floor, 150, CM Tower, Kovilpatti Road, Gandhi Nagar, Manapparai - 621 306.
Tel: 0433 - 2261730

Marthandam

SBI Life Insurance Co. Ltd., S M Arcade, 2/47 Main Road, Marthandam, Kanyakumari Dist - 629 165.
Tel: 0465 - 1270761

Mayiladuthurai

SBI Life Insurance Co. Ltd, 1st Floor, 7A, Sampoorna Building, State Bank Road, Mayiladuthurai - 609 001.
Tel: 04364 - 221182

Nagapattinam

SBI Life Insurance Co. Ltd, 73, 1st Floor, Corporation Bank Upstairs, Neela South Street, Nagapattinam - 611 001.

Nagercoil

SBI Life Insurance Co. Ltd., 37/1-36, 1st Floor, Dhasor Peniel Building, Veppamoodu Junction, Cape Road, Nagercoil - 629 001.
Tel : 0465-2403396

Namakkal

SBI Life Insurance Co. Ltd., 2nd Floor, LMR Shopping Arcade, 82/1 Salem Road, Namakkal - 637 001.
Tel: 04286-274311-14

Ottanchatram

SBI Life Insurance Co. Ltd., 637/8, 1st Floor, Annapurna Complex, Main Road, Oddanchatram - 624 619.
Tel: 04553 - 240065

Perambalur

SBI Life Insurance Co. Ltd., 2nd Floor, M.A.M Complex, No.93, N. S. B. Road, Perambalur - 621 212.
Tel: 04328-277933

Pudukkottai

SBI Life Insurance Co. Ltd., 1st Floor, Abbanakau Ukkam, T S No. 5601, South 4th Street, Pudukottai - 622 001.
Tel: 04322 - 221138

Ramanathapuram

SBI Life Insurance Co Ltd., 1st Floor, Mohammed Sathak Centre, 12/A Latham's Bunglow Road, Naraiyurani, Ramnathapuram - 623 501.
Tel: 04567 - 222890

Salem

SBI Life Insurance Co. Ltd., N0:11/9. 2nd Floor, V S A Commercial Complex, Near New Bus Stand, Omalur  Main Road, Salem - 636 004.
Tel : 0427 - 4042401

Sathyamangalam

SBI Life Insurance Co. Ltd., No. 250/252, 2nd Floor, SRS Complex, Mysore Trunk Road, Rangasamuthram, Sathyamangalam - 638 402.
Tel: 04295 - 221651-54

Srirangam

SBI Life Insurance Co. Ltd., 4/11, VIP Towers, Mambalasalai, Srirangam, Trichy - 620 005.
Tel: 0431 - 2435233

Tennur

SBI Life Insurance Co. Ltd, Baba Towers, No 35, Tennur High Road, Tennur - 620 017.

Thanjavur

SBI Life Insurance Co. Ltd., Philomina Shopping Mall, T S No. 2851/13 A1, Arulanada Nager, Trichy Main Road, Thanjavur - 613 001.
Tel: 04362-236801

Theni

SBI Life Insurance Co. Ltd., 287, S R Towers, Periyakulam Road, Theni - 625 531.
Tel: 0454 - 6255116

Tirunelveli

SBI Life Insurance Co. Ltd., Harsha Complex, 10/9, North Bypass Road, Vannarpet, Tirunelveli - 627 003.
Tel: 0462 - 4000061

Tirupur

SBI Life Insurance Co. Ltd., No7, Periyanayahi Towers, Gandhinagar, Avinashi Road, Tirupur - 641601.



Tiruvannamalai

SBI Life Insurance Co. Ltd., 53/45 Anna Salai, Thiruvannamalai - 606 601.
Tel: 04175 - 251149-52

Trichy

SBI Life Insurance Co. Ltd. C-97, Ist Floor, 5th Cross, Thillai Nagar, Near KAP School, Trichy - 620 018.
Tel: 0431-2740724-725

Tuticorin

SBI Life Insurance Co. Ltd., 53-B, 2nd Floor, Manual Towers, East Car Street, Tuticorin - 628 002.
Tel: 0461 - 4004042

Udumalpet

SBI Life Insurance Co. Ltd., No. 100, 1st Floor, NSG Complex, Palani Road, Below Lakshmi Villas Bank, Udumalpet - 642 126.
Tel: 04252-230322

Vaniyambadi

SBI Life Insurance Co. Ltd., No. 343, MPG Complex, Malang Road, Vaniambadi - 635 751.
Tel: 04174 - 227712/14

Vellore

SBI Life Insurance Co. Ltd., Ist Floor, Kushi Complex, No.16, Arani Road, Vellore - 632 001.
Tel : 0416-4500084/94

Villupuram

SBI Life Insurance Co. Ltd., No 195/27, D/7, AKR Tower, 1st Floor, Trichy Main Road, Villupuram - 605602.

Virudhunagar

SBI Life Insurance Co. Ltd., 132/1, Ist Floor, Madhushini Complex, Madurai Road, Virudhunagar - 626 001.
Tel: 0456-2420414

9:09 AM | Labels: | 0 Comments  

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