We constantly endeavour to provide happiness, comfort, and protection to our loved ones emotionally and financially. But as life itself has no guarantee, often one troubling question keeps cropping up in the mind, what if I am not around tomorrow to take care of the family? Will they be secured financially if I am not around? Can their goals and future plans be secured irrespective of anything that happens? This is where PNB Metlife can offer a solution with one of the most unique term insurance plans in the market which will protect the family from financial uncertainties by giving them monthly income support and helping them secure their financial future, if you are not around anymore. It is a non-participating, non-linked term assurance plan.
The below mentioned benefits will be payable, only if all premiums due in the policy are paid on time and the policy is in full force.
If unfortunately, the policyholder dies during the active term of the policy, the nominee mentioned in the policy document will receive the death benefit as monthly income for the set period. The first pay-out in the plan will be made at the end of the first month from the date of death. The nominee will also have the option to take the death sum assured as a lump sum. In such cases, the death sum assured will be 10 times of the annual premium or 105% of all premiums paid on the date of death or maturity sum assured or basic sum assured, as per the set regulations.
The following benefits are payable in the plan if the policyholder survives the policy term.
The premiums paid for this term plan are subject to tax benefit as per the provisions and conditions of the Income Tax Act, 1961. The government does revisions of the tax benefit from time to time and it is recommended to consult your tax planner for advice and on the availability of the tax benefit on death benefit received and premiums paid under the policy.
| Particular | Minimum | Maximum |
|---|---|---|
| Age of entry in the plan | 25 years | 60 years/ 55 for 20 years policy term |
| Age at Maturity | 35 years | 75 years |
| Monthly Income Options | INR10,000/-, INR25,000/-, INR50,000/- INR75,000/- & INR100,000/- |
| Plan options | Term Cover and Term with Return of Premium Option(TROP) |
| Premium paying options | Annually, Half-Yearly, Monthly & PSP modes | ||
|---|---|---|---|
| Policy Period options | 10 yrs | 15 yrs | 20 yrs |
| Benefit pay-out term | 240 months | 180 months | 120 months |
| Min. Premium (Term) | INR 3,055 | INR 2,780 | INR 2,520 |
| Max. Premium (Term) | INR 1,26,160 | INR 1,33,590 | INR 83,450 |
| Min. Premium (TRoP) | INR 24,137 | INR 11,852 | INR 7,881 |
| Max. Premium (TRoP) | INR 6,29,670 | INR 3,67,170 | INR 1,85,800 |
The policyholder gets the option to pay premiums annually, half-yearly, monthly or through payroll savings. If the policyholder selects a premium payment mode other than yearly payment mode, the premium will be adjusted based on the multiplicative factor as mentioned in the table below. ECS is mandatory for monthly premium payment mode.
| Mode of Premium | Multiplicative Factor |
|---|---|
| Yearly | 1 |
| Half-Yearly | 0.5131 |
| Monthly (Only ECS) | 0.0886 |
| Payroll Savings Program (PSP) | 0.0868 |
The policy has a cooling off period of 15 days (30 days if the policy was sold through the official website of PNB MetLife) from the date of receiving the policy. If the policyholder is not satisfied with any of the terms and conditions listed in the policy then he/she has the option to return the policy to the insurer, citing the reasons for the cancellation. The life insurer will process the refund of the premiums paid less any administration, medical test cost, stamp duty and proportionate period of risk of cover etc.
There are no additional/ optional riders available with this plan.
The policy offers a grace period of 30 days for all modes of premium payable, except the monthly and PSP mode which has 15 days of grace period. The policyholder will be given the chance to pay the premium due without interest if he/she pays it during the grace period. All the events mentioned in the policy will be covered during the grace period. If the policyholder fails to pay the premium during the grace period, then the policy will be lapsed and will be subject to non-forfeiture benefits (surrender value and reduced paid-up value) as applicable. The policyholder can revive the policy within the revival period as mentioned under policy revival clause.
Surrender Benefit:
a. The pure term cover plan option does not accumulate any surrender value and hence no surrender value is payable. b. The Return of Premium option plan will accumulate a surrender value only after three full years of premiums has been paid non-stop by the policyholder since the inception of the policy. The surrender value of the plan will be higher of (GSV) Guaranteed surrender value or (SSV) special surrender value. (GSV) Guaranteed Surrender Value will be equal to a percentage of all the premiums paid and the percentage will depend on the surrender year as mentioned in the below table: Policy Term
SSV is expressed as a percentage of all premiums paid and it varies with the term of the policy and the year of discontinuance of the policy. However, it is always higher than Guaranteed Surrender Value. SSV will be calculated only on receiving a surrender request by the policyholder and the Special Surrender Value Factor depends on the then prevailing market conditions and is not guaranteed. The Insurer may change the Special Surrender Value Factors at any time during the tenure of the Policy, subject to approval from IRDAI (Insurance Regulatory and Development Authority of India).
a. The pure term cover plan option does not accumulate any paid up value. b. The Return of Premium option plan will accumulate a surrender value only after three years of premiums have been paid non-stop by the policyholder since the inception of the policy. As the policy will obtain surrender value, it will become eligible for reduced paid-up value.
Upon death of the policyholder during the tenure of the Policy, the reduced Death Sum Assured will be used to pay level reduced Monthly Income to the beneficiary during the benefit pay-out period starting from first month after the date of demise of the policyholder. Reduced Death Sum Assured = Death Sum Assured x (Number of Premiums paid/ Number of Premiums payable during the Policy Term) Reduced Monthly Income = Monthly Income x (Number of Premiums paid/ Number of Premiums payable during the Policy Term)
If the policyholder survives the whole policy term, reduced paid-up maturity benefit will be payable, as per below calculation: Reduced Maturity Sum Assured = Maturity Sum Assured * (Number of Premiums paid/ Number of Premiums payable during the Policy Term)
The plan gives the option to revive a lapsed policy or which has been converted to paid-up policy during the revival period by giving a written application to the insurer to revive the policy. The policy may be revived on the condition that the insurer is satisfied with the insurability of life insured in accordance with the board approved underwriting policy. The policy will be revived by paying extra premium and interest. The applicable interest rate is subject to revision from time to time with prior approval from the IRDAI.
The policyholder is allowed to make alterations between different modes of premium payment on any policy anniversary upon request and payment of alteration fees of INR 100/- at present. Please note that the charges are subject to revision in future with approval. The plan does not allow for any other alterations to be made by the policyholder.
The Insurer will terminate the policy at the earliest on occurrence of the following:
The Policy will terminate after the payment of last monthly Income instalment at the end of the death benefit pay-out period.
The policy will terminate after the lump sum payment of death benefit during the policy term.
The policy will terminate on payment of surrender value by the Insurer.
After the end of two years of policy lapsation due date, if the policyholder fails to reinstate the policy within the policy revival period, the policy will be terminated and the policyholder cannot revive it.
The policy will terminate on payment of the maturity benefit if policyholder has selected the TROP (Return of premium) plan option.
List of documents which are required to buy PNB MetLife Family Income Protector Plus Plan:
The list of documents required for purchasing the PNB MetLife Family Income Protector Plus Plan is as follows -
If the applicant is purchasing the policy online, they may have the option to upload the attested copy of the above mentioned documents.
Suicide Exclusion
In the event the policyholder commits suicide, whether insane or sane, within 1 year from the date of inception of insurance cover, no death benefit will be payable to the nominee. The life insurer will only pay 80% of all the premiums received without interest. In the event the policyholder commits suicide, whether insane or sane, within 1 year from the date of the last reinstatement of the policy, no death benefit will be payable to the nominee. In such a case, the life insurer will only pay 80% of all the premiums paid till the date of death, in case the policyholder has chosen the “Without ROP” option. If the policyholder has chosen “With ROP” option, then the higher of the surrender value on the date of death or 80% of the premiums paid till the date of death will be refunded to the nominee mentioned in the policy, provided the policy is in force.
PNB MetLife Family Income Protector Plus Plan is a comprehensive protection plan offered by one of the leading life insurers in India. For customers who are looking for a survival benefit in a term plan, then this plan gives an option for such customers to select a TROP option. The plan offers options of 3 policy terms as per the suitability of different customers. Guaranteed monthly benefit or lump-sum death benefit sum assured again offers great flexibility in the plan. The maturity age of 75 years means the policyholder can provide complete security to their spouse or dependent family members, even in his/her old age. Apart from all the financial protection, the policyholder can further save money on yearly tax payments by taking advantage of the tax deduction, it offers for the premium paid towards this plan. The claim settlement ratio of PNB Metlife for the year 2017-18 is 91.12% which is considered very well. Overall, the plan will make a good purchase for anyone who wants flexibility in a plan along with guaranteed income protection for up to 20 years for their family and loved ones.
What is the premium paying frequencies option available in PNB MetLife Family Income Protector Plus Plan?
The policyholder can choose to pay the premiums in yearly mode, half-yearly mode, monthly mode or through the Payroll Savings Program.
Can the policyholder cancel the policy if he/she is not satisfied with the terms and conditions?
Yes, the plan offers a free-look period of 15 days and 30 days (if brought through the online platform of the company) from the date of policy issuance. If the policyholder is not satisfied with any terms and conditions of the policy, he/she can cancel the policy and will be entitled to a refund minus the applicable expenses met by the insurer to issue the policy.
Does the PNB MetLife Family Income Protector Plus Plan acquire any surrender value?
The surrender value benefit is available only if the (TROP) return of premium option is selected. The plan obtains a surrender value only if the policyholder has paid all the premiums continuously for three years.
What is the Surrender Value for the term with return of premium plans?
The surrender value will be higher of the Guaranteed Surrender Value and the Special Surrender Value. Both, the Guaranteed Surrender Value and Special Surrender Value, are calculated as a percentage of all the premiums paid by the policyholder.
Can a lapsed policy be revived by the policyholder?
Yes, as per the revival clause, it is possible to revive a lapsed policy within two years from the date of lapsation.
What happens in case of fraud or misrepresentation by the policyholder?
In case of misrepresentation or fraud by the Policyholder, the life insurer has the right to cancel the policy immediately by refunding the applicable Surrender Value, wherever applicable, subject to fraud or misrepresentation being proved as per the Section 45 of the Insurance Act, 1938. How to purchase PNB MetLife Family Income Protector Plus Plan? The plan can be purchased offline through the following channels
