What is Max Life Smart Secure Plus Plan?
It can be challenging to manage the growing expenses in a rapidly changing economy. You need a contingency plan that can accommodate the evolving financial requirements of your family. Max Life Smart Secure Plus Plan – a new product offering of Max Life term insurance comes to your rescue and helps you create a financial shield that can accommodate any such changes.
The Smart Secure Plus Plan is designed to fulfil your financial security requirements and provide a dependable support system in case of emergencies. Max Life Smart Secure Plus Plan offers two death benefit . You also get inbuilt benefits such as cover for terminal illness and a special exit value*.
Along with that, this term plan also offers an array of optional benefits such as joint life cover, premium breaks, additional payout on accidental death and more. With this plan, your insurance needs are completely covered. It can work as a one-stop solution for your financial security requirements. As the policy buyer, it is best to understand how the policy works to be more aware of your financial decisions.
(*This is only applicable for NROP (Pure Protection), Policy Term 40 and above)
How Does Max Life Smart Secure Plus Plan Work?
Having a sound financial plan against unforeseeable circumstances is crucial. You can ensure your family’s well-being in your absence by investing your hard-earned money in the right instrument. Let’s understand how the Max Life Insurance term plan works in detail to help you make a well-informed decision.
If Mr. Kapur goes to buy the Max life Smart Secure Plus Plan, he gets to choose from the following benefit types policy term options at the time of purchase:
| Benefit Type | Minimum Policy Term | Maximum Policy Term* |
|---|---|---|
| Base Cover | 10 Years | 67 Years |
| Accelerated Critical Illness (ACI) Option | 10 Years | 50 Years |
| Accident Cover Option | 5 Years | 67 Years |
Additionally, there are different premium payment terms available such as:
| Premium Payment Term (PPT) | Available Base Policy Terms* | Available ACI Policy Terms | Available Accident Cover Policy Terms* |
|---|---|---|---|
| Single Pay | 10 Years to 67 Years | NA | NA |
| Regular Pay | 10 Years to 67 Years | 10 Years to 50 Years | 5 Years to 67 Years |
| 5 Pay | 10 Years to 67 Years | NA | 10 Years to 67 Years |
| 10 Pay | 15 Years to 67 Years | 10 Years | 10 Years to 67 Years |
| 12 Pay | 17 Years to 67 Years | 10 Years to 12 Years | 10 Years to 67 Years |
| 15 Pay | 20 Years to 67 Years | 10 Years to 15 Years | 10 Years to 67 Years |
| Pay Till 60 The premium payment term will be equal to (60 less Entry Age (Age last birthday)) | Policy term should be greater than premium payment term and can be a maximum of 67 years | 10 Years to (60 less Entry Age (Age last birthday)) | 6 Years to 67 Years |
This Plan offers two death benefit options to cater to diverse financial requirements Mr. Kapur can choose from a Life Cover or Increasing Life Cover, depending on his preference.
1. Life cover
The base sum assured that Mr. Kapur chooses at the inception of the policy will remain the same throughout the policy term.
2. Increasing Life Cover
The base sum assured that Mr. Kapur chooses at the inception of the policy will grow at a rate of 5% annually, at each policy anniversary, subject to a maximum of 200% of the base sum assured. This type of life cover is ideal for managing the impact of inflation and increased cost of living.
In addition to this, the beneficiary of Mr. Kapur’s policy will have options to choose from different payout options at the claim stage. Since each family’s financial profile is different, the pay-out options allow them to receive the money on their terms, as per their preference
1. As a Lump Sum Amount
In the case of Mr. Kapur’s untimely demise, his family will receive 100% of the guaranteed death benefit as a lump sum amount upon claiming at the claims stage with the Max Life term insurance.
2. As Monthly Income
His family can also opt to receive the guaranteed death benefit as regular payments in 120 instalments, or 120 monthly incomes to replace the income source. It will allow them to meet the monthly expenses and keep a steady flow of income intact. This option can work for families like Mr. Kapur’s, where he is the sole wage earner.
3. Part Lump Sum and Part Monthly Income
This option for the pay-out allows Mr. Kapur’s family to receive the guaranteed death benefit as a lump sum amount and a monthly income. They can choose the proportion of the death benefit payable as a lump sum, and the remaining death benefit will be payable as a monthly income.
Benefits of Max Life Smart Secure Plus Plan
Let’s understand the benefits of Max Life smart secure plan in detail:
Death Benefit
You can establish a strong financial support system for your loved ones with the Life Cover or Increasing Life Cover option offered by Maxlife smart secure plus plan. This plan allows you to choose from variants and ensure that the sum assured is adequate even for the coming years. With the options for customization available, you can cover all your bases and keep your family secure and financially stable during challenging times. Since the primary objective of any term plan is to cover the insured individual’s life and financial liabilities, it is crucial to carefully choose the life cover option. Make sure you map your financial requirements of the future well and select the life cover option that aligns with your objectives fittingly.
Terminal Illness Cover
As part of this term insurance plan benefits, your financial needs will be taken care of if you are diagnosed with a terminal illness. In such a scenario, 100 % of the guaranteed death benefit (capped at 1 crore) will be paid to you upon certification by a medical practitioner.
Maturity Benefit
Suppose you opt for the return of premium variant with smart secure plus plan at the time of purchase. In that case, it entitles you to receive a maturity benefit upon surviving the policy term. With this option available, you can receive the total premium amount paid at the end of the policy term.
Accident Cover
Under this benefit, the insured’s family receives the cover amount , along with the base cover, in case of the insured individual’s demise due to an accident. You can add this cover to your term plan (Max life smart secure plus plan ) at any time during the premium payment term, subject to the conditions for the accident cover.
Accelerated Critical Illness
With the Accelerated Critical Illness (ACI) benefit you are eligible to receive the cover amount upon diagnosis of any of the 40 specified critical illnesses, provided the policy is in-force and meets other terms and conditions.
Joint Life Benefit
If you are looking for a policy that can take care of your spouse’s needs after you, this may be a preferred choice. A significant concern when buying term insurance is the financial care of your spouse in case of an unfortunate event. Therefore, choosing a policy like Max life Smart Secure Plus Plan can give you peace of mind. When buying the Max life smart secure plus plan , you can choose a joint life cover to secure your partner’s life along with yourself. Here’s how it would work:
- In case your spouse meets with an untimely demise before you or is diagnosed with a terminal illness, a guaranteed death benefit of Rs. 10 lakhs will be payable to the beneficiary, and the primary life cover will continue at a reduced premium and original sum assured chosen by you will be payable to your spouse in the pay-out option of their choice.
- In case you suffer an unfortunate incident before your spouse, and if in the future, they are diagnosed with a terminal illness or pass away, the guaranteed death benefit of Rs. 50 lakhs will be payable to the nominee. Additionally, it comes with a built-in premium waiver, meaning premiums will be waived off for your spouse’s sum assured, upon your demise. Riders for Additional Benefits.
Riders
Along with the base benefits of Max life smart secure plus plan, you can choose from various riders to add-on to your policy. These include a waiver of premium plus rider, critical illness cover (CIDR).
Why Should You Choose Max Life Smart Secure Plus Plan?
Each year the cost of living is steadily rising, and along with that, the threats to life have multiplied. Having a life insurance plan for your family’s future is integral in such a scenario to be prepared against any uncertainties. The new Max Life term insurance plan (Max life smart secure plus plan) can be a valuable addition to your financial plan because of the varied multiple benefits and features.
Here’s are some reasons why you should choose the new Max Life term insurance:
1. Comprehensive Financial Security
The availability of death benefit options and several add-on benefits make the new Max Life insurance term plan a suitable instrument to get comprehensive financial security. If you understand your personal financial requirements well and project the future needs cautiously, you can choose the right combination of features and benefits with the Max Life Smart Secure Plus Plan.
This will enable you to build an all-inclusive financial security plan that can efficiently protect you and your loved ones. If your family members are dependent on your income, it is of utmost importance that you begin investing timely.
2. Health Component
Max Life term insurance (Max life smart secure plus plan) comes with a terminal illness benefit that entitles you, the insured person, to the sum assured of up to Rs. 1 crore, in case of diagnosis of a disease. In the absence of a plan like Max Life term insurance (Smart Secure Plus Plan) that offers 100% of the sum assured in case of a terminal illness(capped to 1 cr), you may face an immense financial burden to cover the respective medical expenses.
Additionally, The health component of the Max Life term plan is a desirable advantage, considering the rise in cases of critical illnesses in recent years. Therefore, Max Life offers a critical illness and disability rider which can further strengthen the cover and provide valuable financial assistance to you. Health-related expenses are the most significant sources of a financial drain in a person’s life. It may be unpleasant to think of yourself or your family suffering, but it is crucial to be financially prepared for such situations.
3. Flexibility of Claims Payout
It offers the flexibility of claims pay-out to your beneficiary to receive the sum assured as per their requirements in case of the insured’s untimely demise. They can opt to receive the death benefit as a lump sum amount, regular payments to replace the monthly income source or as a combination of both (as per the nominee’s choice).
Since term insurances are long-term protection plans, the needs of your family may have transformed by the time they receive the death benefit. So, the availability of multiple pay-out options can help them use the money according to their needs at the time. For instance, they can take the lump sum amount if there is a significant expense, such as a child’s college fees to be paid.
Max Life Smart Secure Plus Plan Features
Return of Premium
Under the new Max Life term insurance, you can receive 100 % of the total premiums* paid with the return of the premium feature, in case you survive the policy. This benefit is available with both Base Covers and across all Premium Payment Terms and Policy Terms. If you wish to have the assurance of getting your money back at the end of the policy term, this plan may work well for you. * plus underwriting extra premiums plus loading for modal premiums, if any, under the base policy only (corresponding to base Sum Assured and any Voluntary Sum Assured Top-up)
Premium Break
The premium break is a unique feature of the new Max Life term insurance. With this feature, you can take a premium break or holiday from paying the premium once the policy has completed ten years of tenure. When you opt to take the premium break, the policy remains in force with the risk cover functional as per the terms and conditions of the max life term plan. You can choose this options twice during the Premium payment term. Premium Break option (available for policies with Policy Term greater than30 years and PPT greater than 21 years)
Special Exit Value
Under this option of the Max Life term insurance, you will have a one-time option to exit the policy with an exit benefit of Return of Premiums (total premiums paid plus underwriting extra premiums paid plus loading for modal premiums, if any) at the time of exercising the option, for the base cover only. Once the premiums of the policy have been returned, the policy will be terminated. Notably, this option is available if the policy term for the pure protection plan is 40 years or more. It is not available with the return of premium variant.
Voluntary Sum Assured Top-Up
With the voluntary sum assured top-up feature of the Max Life term insurance, you can increase the sum assured at a later stage in the policy term. If the sum assured chosen, at inception of the policy, is greater than or equal to Rs.50 lakhs, you can exercise this option after completing one policy year. You can increase the cover up to 100% of the base sum assured. The policy must have a minimum premium payment term of 5 years and a minimum policy term of 10 years for this option to be available. The amount shall be payable in case of the insured’s demise or upon diagnosis of a terminal illness. Option can only be exercised post waiting period of 1 year, from the time of policy issuance.
Riders Available With This Plan
Max Life Waiver of Premium Plus Rider
Max Life Waiver of Premium Plus Rider (UIN: 104B029V04) provides waiver of all future premiums in case of Critical Illness or dismemberment or Death (only when Life Insured and Policyholder are different individuals). This product doesn’t have an in-built Waiver of Premium benefit and thus rider benefit is an additional benefit. For more details on the Rider and various terms and conditions, please refer to the Max Life Waiver of Premium Plus Rider Prospectus/Brochure, Rider Contract, Rider Rates & Rider Leaflet