The Sunheri Policy is an innovative and flexible life insurance product that offers a solution to address the challenges of inflation in an economically efficient manner. This policy is designed to adapt to the changing needs and income levels of policyholders. Here are the key features and details of the Sunheri Policy:
The Sunheri Policy is designed to be flexible and secure, providing policyholders with financial protection while addressing the effects of inflation.
A special feature of this plan is that, starting from the third policy year onwards, both the sum insured under the policy and the premium will increase by 6% per annum without requiring the policyholder to provide any evidence of insurability. This built-in feature helps the policy adapt to the changing financial circumstances of the policyholder.
The Sunheri Policy participates in the surplus of State Life, and currently, the rate of bonus is Rs 105 per thousand per annum of the adjusted opening cash value.
If the life insured passes away during the first two years of the policy issue, the initial basic sum insured will be payable. If the life insured expires in the third or later policy years, the death benefit payable will be equal to the sum insured applicable to the policy year of death plus the adjusted opening cash value.
The policy matures on the policy anniversary nearest to the age of 70 years of the life insured. The maturity benefit is equal to the cash value of the policy at age 70.
Policyholders have the option to attach supplementary covers or riders to enhance the coverage of their Sunheri Policy. These supplementary covers can further increase the overall coverage under the plan.
The Sunheri Policy is ideal for individuals who have just started their careers and anticipate an increase in their income over a certain period, typically within a year or two. The automatic increase in the premium and sum insured helps them meet their growing insurance requirements as their incomes increase.
Insurance companies typically provide tools or calculators to help individuals estimate the premium they would pay for a Sunheri Policy. Premiums are determined based on factors such as the age of the policyholder and the chosen policy term.
In summary, the Sunheri Policy is a versatile life insurance plan that addresses the challenges of inflation by allowing for an annual increase in the sum insured and premium without requiring evidence of insurability. It provides flexibility and security while offering participation in the insurance company's surplus and the option to add supplementary covers for enhanced coverage. This plan is well-suited for individuals with increasing income levels who want to ensure their insurance coverage keeps pace with their growing financial needs.
Death claim is usually payable to the nominee/ assignee or the legal successor, as the case may be. However, if the deceased policyholder has not nominated/ assigned the policy or not made a will, the claim is payable to the holder of a succession certificate or such evidence of title from a Court of Law.
State Life distributes its profits @ 97.5% (highest in the insurance industry) among it policyholders every year in the form of bonuses. Bonuses are credited to the account of the policyholders and paid at the time of maturity or at the time of death (if earlier). Bonus is declared as a certain amount per thousand of sum assured.
Life insurance is normally offered after a medical examination of the life to be insured. However, to facilitate greater spread of insurance and also as a measure of relaxation, State Life has been extending insurance cover without any medical examination, subject to certain conditions. This facility is called Non-medical Scheme.
Underwriting of a risk involves consideration of material facts on the basis of which a decision will be taken whether to accept the risk and if so at what rate of premium.
The amount payable by State Life on termination of the policy contract at the desire of the policyholder before the expiry of policy term is known as the surrender value of the policy.
It is not possible to raise money against your life insurance policy. However, there is a provision available by way of assignment or mortgaging the policy provided the policy has been in force for a minimum stipulated period.
The calculation of life insurance premiums is primarily based on age of the person to be insured, sum insured and term of the policy.
The policyholder has to apply for loan in a prescribed form and submit the policy document with the form duly completed.
A policyholder can repay the loan amount either in part or in full anytime during the term of the policy.
If the policy has acquired a surrender value and a premium has remained unpaid beyond the grace period, the policyholder will entitled to benefits under one of the following two options given hereinafter, depending on the option exercised (if any) in his Proposal for this policy:
A – Automatic paid-up Option
This policy will be converted into a paid-up policy. The paid-up Sum Insured will be specially calculated to allow for the clearance of all outstanding dues of State Life against the policy.
B – Automatic Premium Loan Option
So long as the net surrender value of the policy equals or exceeds any due premium remaining unpaid beyond its grace period, State Life will continue to keep this policy in full force, and treat the said premium as paid by creating an automatic premium loan against the net surrender value of the policy.
