DHFL Pramerica Smart Cash Protect Plan is a participating endowment cum insurance plan with bonus facility. Policyholders receive cash benefits for staying invested for the full duration of the policy term. Thus, we find that this policy helps policyholders prepare for their future and helps them achieve their long-term financial goals along with providing protection for their loved ones.
If the policyholder survives until the policy matures, then he or she receives a Maturity Benefit. The Maturity Benefit is the 50% of the Sum Assured plus the Final Bonus if any.
When the policy completes, the policyholder receives a Survival Benefit that is the Reversionary Bonus accrued for the past fifteen years.
In the sad and unfortunate event of the demise of the policyholder, the nominee receives a Death Benefit. The Death Benefit paid is paid as per the following rules:
When the death occurs within the first fifteen policy years, the nominee will receive the Basic Death Benefit plus the accrued Reversionary Bonus plus Final Bonus.
When the death occurs after completing fifteen, the nominee receives the Death Benefit plus the Final Bonus.
The Death Sum Assured is the higher of eleven times the annualized premium or 50% of the Sum Assured. The minimum Death Benefit is at least equal to 105% of the total premiums paid until the date of death.
Tax benefits may be availed as per the prevailing income tax rules of the Income Tax Act.
This policy provides Compound Reversionary Bonus and Final Bonus that are paid as part of the Survival Benefit, Maturity or Death Benefit.
On the completion of the sixteenth policy year, on every policy anniversary, the policyholder receives annual payouts that are equal to 6% of the Sum Assured.
The policyholder receives a Bonus Income on every policy anniversary, on completing sixteen policy years, until death or maturity of the policy.
Additional Features or Riders
Policyholders may enhance their protection by opting for any of two additional riders available with the policy. They are as follows:
The DHFL Pramerica Traditional Accidental Death Benefit Rider in which the nominee will receive an additional Sum Assured on the accidental death of the policyholder.
The DHFL Pramerica Traditional Critical Illness Rider that provides protection cover if the Life Insured is diagnosed with any of the ten mentioned critical illnesses or conditions. The critical illness benefit is paid as a lump-sum if the Life Insured survives for at least thirty days.
If the policyholder does not make premium payment for full two years, then the policy will lapse, and no benefits are paid.
The revival of a lapsed policy is possible if the policyholder submits a request for reinstatement within a timeframe of two years from the date of the first unpaid premium.
If premiums for two policy years are paid and subsequently the policyholder does not pay the due premiums within the given Grace Period, the policy acquires Paid- up Value.
A policy loan may be availed after the policy achieves Surrender Value, on the condition that the loan amount does not exceed 80% of the Surrender Value.
The term insurance cover is void if the person insured, whether sane or insane at the time, commits suicide within one year from the start of the policy cover. The company will refund 80% of the premiums paid to the nominee. In case the person insured commits suicide within one year from the policy reinstatement, the nominee will receive the higher of 80% of the premiums paid or the Surrender Value./p>