Shriram Life Insurance Company Limited, a joint venture of financial services major Shriram group and Sanlam of South Africa, on Monday announced the launch of 'Shriram Life New Money Back Term Plan'.
It is a non-linked, non-participating assurance plan designed to provide an affordable life cover while returning all the premiums to the policyholder at the completion of the policy term.
"We already have a fairly successful money back term plan in our portfolio. We made a few changes to it such as reducing the surrender charges and lowering the age at entry," said Manoj Jain, CEO of Shriram Life.
"The minimum annualized premium is kept as low as Rs. 3000 in line with the Shriram Group's philosophy of bringing financial products within the means of the customers. It costs lesser than a paan a day, which costs around Rs. 8," he said.
The New Money Back Term plan offers to pay a lumpsum payment on the unfortunate death of the life assured during the policy term.
On survival, all basic premiums paid during the policy term will be returned.
The minimum sum assured is 2 lakhs and the maximum sum assured is 20 lakhs and the premium payment frequency can be yearly, half-yearly, quarterly or monthly.
The minimum age of entry is fixed at 12 years and the maximum age of entry is 60 years.