Reliance Life Insurance company has over 1 Crore policyholders and a network of 727 branches that makes it the biggest life insurance company in the country. The outstanding performance of this company has been achieved without any bank support.
Reliance Life Insurance is a part of the leading financial services company in the private sector, Reliance Capital. The exemplary performance of the company can be reflected from the various awards won by it.
The insurance plans offered by the company have been systematically planned and designed to meet the requirements of both groups and individuals. The broad categorization of the plans offered by the insurer is done in the following manner.
Savings and Investment Plans
Unit Linked Plans
Reliance life insurance plans are comprehensive policy plans. The following are the main features of the various plans offered by them.
The Protection Plan serves the basic purpose of providing risk coverage and financial security to the beneficiary of the life insured. In the event of loss of life of the life insured, the Life protection Plans provide a sum assured to the beneficiary as a lump sum payment. The lump-sum amount aids in meeting the financial goals of the family of the deceased.
Some popular life protection plans offered by the insurer are Term Plan and Digi Term Insurance Plan:
|Plan name||Key Features|
|Term Plan||1: A huge sum assured at a relatively cheap premium
2: Life insured can select the required life cover as per his/ her requirements
3: An easy and smooth claim process Policy features explained in a lucid manner
4: Policy features explained in a lucid manner
|Digi-Term Insurance Plan||1: Under this reliance life insurance policy, the beneficiary receives a death benefit in case of death of the life insured
2: The cover offered is increased by 5% at the end of each policy year
3: The plan offers the option to receive the premium amount on the successful completion of the policy term
Also popular as Annuity plans or pension plans. The primary aim of this plan is to create a huge corpus for a smooth and carefree post-retirement life. Under this plan, the policyholder pays the Reliance Life Insurance premium while being employed and enjoys retirement with the accumulated corpus. The insured has the freedom to select the appropriate funds (debt, equity, balanced) for a suitable wealth creation goal and simultaneously enjoy the benefits of life cover. The retirement plans offered by the insurer Reliance Nippon Life are:
|Plan name||Key Features|
|Immediate Annuity Plan||1: Premium payment needs to made only once
2: The policy involves the payment of annuity in the form of a regular income
3: The annuity payments can be selected from the following three kinds- Life annuity, Life Annuity with purchase price returned, and Life annuity for a guaranteed period of 5, 10, or 15 years continued till the life thereafter
4: The annuity can be received every month, every three months, half-yearly, or yearly
|Smart Pension Plan||1: Policy tenure, in this case, ranges between 10 and 30 years
2: Retirement age is between 45 to 75 years or longer
3: Monthly payments begin when the selected retirement age is reached
4: Loyalty payments are also made under this policy
5: Top-up on the retirement fund is allowed at any time during the policy term leading to an increased retirement corpus
6: Up to one-third of the accumulated corpus can be withdrawn free from tax liabilities
7: In the event of the death of the life insured, the sum assured is paid to the beneficiary
Health plans provide health benefits in addition to the death benefit. The benefits are in the form of cash, or reimbursement for cases of critical illness, surgery, or hospitalization. The health plans offered by Reliance Life Insurance are:
|Plan name||Key Features|
|Cancer Protection Plus||1: There are three variants of this policy- gold, silver, little star
2: The sum assured under this plan ranges between Rs10 lakhs- Rs40 with Rs 10 lakhs being the minimum sum assured and Rs 40 lakhs being the maximum sum assured
3: In the unfortunate event of any kind of cancer being detected, the entire sum assured is paid
4: The policy is quite flexible to meet the needs of the life insured
These insurance plans serve a dual purpose of providing a life cover and creating wealth by working similar to an instrument of investment. In the Savings and Investment Plans, the reliance life insurance premium offers a sum assured to the policyholder and additional monetary benefits such as bonuses, etc. The premiums paid in these policies offer life cover and returns on the invested amount.
The plans provided by Reliance Life Insurance under this category are
|Plan name||Key Features|
|Fixed Savings||1: Under this plan, a certain amount of the paid premium is added every year, up to a maximum of 10%, till the time of maturity
2: In the event of the death of the life insured before the policy maturity, the nominee gets the predetermined additions till death and sum assured
3: If the life insured lives until the completion of the policy term, the life insured gets the sum assured as maturity benefit with the predetermined additions
4: The policyholder has the freedom to select the death benefit between 10 times or 7 times the benefit
|Bluechip Savings Insurance Plan||1: On Policy maturity the policyholders get Terminal Bonus, the sum assured, vested Reversionary bonus, and 7% extra of the sum assured base amount annually
2: The multiples of death benefit amount can be selected by the policyholder at the time of purchasing the policy
3: The nominee receives the applicable bonus and sum assured on the death of the life insured
|Increasing Income Insurance Plan||1: There are two categories of the plan-Only income and Income with Benefit at Maturity
2: Premium is paid for a selected number of years and the date of maturity is after several years
3: Till the policy is active, the policyholder receives an income(paid monthly) which starts after the premium payment term is over
4: In the option of Income with a benefit at Maturity, the income paid every month is 1% of the Sum Assured during the first year, which later increases by 0.255 in the succeeding years
6: Under the option of Only Income, the income paid every month is 2% of the Sum Assured in the first year, which later increases by 0.50% in the succeeding years goes
7: In case of policyholder selecting the maturity benefit, the insured would receive( if alive at the time of policy maturity) two times the amount of the sum assured after the policy term
8: In the case of the unfortunate death of the policyholder before the completion of the policy term, the death benefit to be paid depends on the death benefit multiple selected by the policyholder while purchasing the policy
9: Death benefits are not decreased regardless of monthly income is paid out
|Lifelong Savings Plan||1: The policyholder can select between Extended Cover and Standard Cover
2: In the case of Standard Cover, the life cover remains valid until the policy term while in the case of Extended Cover the life cover remains valid beyond the completion of the policy tenure
3: Other benefits include Guaranteed Additions, Accrued or accumulated Guaranteed returns, terminal Bonus, and reversionary Bonus
4: The premiums, in this policy, can be paid for the entire policy term or a limited policy tenure The premium payment frequency can be selected by the policyholder
5: It is possible to apply for a loan using this Reliance Life insurance plan as security or collateral
|Future Income||In this policy, a yearly income begins from the end of the premium payment period to the policy maturity.
1: The amount can be given as a single lump-sum payment too
2: Premium payment frequency can be between 7 years to 12 years (both numbers inclusive)
3: The nominee/ beneficiary is eligible to receive the sum assured, death benefit, terminus bonus (if applicable), and vested bonus
|Whole Life Income||1: Income is payable from the time of the 10th year of the policy up to the age of 85 years
2: The life cover is valid up to the age of 85years
3: Cash bonus is applicable from the 6th policy year
4: The guaranteed amount or sum assured is applicable at policy maturity.
5: Premium payment term can be chosen anywhere from 10 -15years
6: Premium payment can be done in different payment modes of yearly, half-yearly, quarterly, or monthly
7: The loan can be availed using this policy as collateral
|Money Multiplier Plan||1: If the policyholder dies during the policy being in force, the beneficiary gets a death benefit that equals 10 times the premium amount
2: The longer the premium payment term, the higher will be the maturity additions and loyalty
3: At the policy end, there are assured benefits such as loyalty additions, the sum assured, and maturity additions
4: The policy tenure can be 10,15, or 20years
|Endowment Plan||1: Policy term lies between 10-25 years and can be chosen as per personal convenience and need
2: Bonus and sum assured can be received at policy maturity
3: The nominee gets 10 times the sum assured or Annualised Premium in the event of the death of the insured. Also, the nominee gets 105% of the paid premium or the vested bonus
|Super Endowment Plan||1: At the time of maturity, the assured sum is paid to the policyholder if he/ she outlives the policy tenure, and in case of death of the insured, the sum assured is paid to the nominee
2: The policy term is 14 years/20 years as selected at the time of purchasing the policy
3: The premium payment term is half the policy term which is 10 years or 7 years
|Prosperity Plus||1: This plan is a non-participating, unit-linked, endowment plan
2: The plan offers flexible options to the customers such as the systematic withdrawal
3: Policyholders have the freedom to select from six varied fund options available in this policy
4: This policy provides the option of limited payment, a single payment, or regular payment options
5: Policyholders can select the policy tenure from any of the following options – 200 years, 15 years, or 10 years
6: The policyholder can select any amount as the premium amount with no cap on the maximum limit
The Child Plan serves the basic purpose of providing coverage against loss of life in addition to financially securing the future of the child/children. The Reliance Life Child Plans provides financial assistance at a future date to meet the academic needs of the child and ensure their academic requirements are successfully met. The main features of the child plans provided by the insurer Reliance Nippon Life are:
|Plan name||Highlighting Features|
|Education Plan||This policy gives an assured lump sum amount at policy maturity irrespective of the policyholder being alive or deceased, thus ensuring no financial hindrance in achieving the child’s dreams.
The policy offers 4 options of payout :
1: Self-starter: A single lump sum payment is given in this payment
2: Post-Graduation Degree: This involves two payouts given in a year for the higher education of the child
3: Professional Degree: In this case, four payouts are made in a year in case of a child being keen to pursue any professional course
4: Career Starter: In this scenario, the insurer pays five payouts in a year for the child at the time of initiating his/her career
The policy offers the following death benefits
1: A complete 100% payment of the death benefit in one lump sum amount on the death of the life insured
2: Or 50% of the Death Benefit as a single amount and the remaining 50% in the form of income for the upcoming 10 years.
3: If the policyholder passes away before premium payments are completed, the future premiums are waived off without affecting the perks of the plan The premiums can be paid for 5 years, 7 years, 10 years or throughout the policy duration. The policyholder can even pledge the policy to avail a loan if required.
|Child Plan||1: The policyholder gets guaranteed returns equal to 1/4th of the amount sum assured during the three years before policy maturity
2: At the end of the policy term, the policyholder gets 1/4th of the vested bonus, the sum assured, and a capital guarantee that is non-negative
3: In case of death of the policyholder before completion of the premium payment term, the pending premium payments are waived off by the company and the nominee gets the sum assured
4: The policy term can be chosen anywhere between 10 - 20 years
5: Premium payment mode can be monthly, quarterly, half-yearly, and yearly
Unit Linked Insurance Plans (ULIP) is the ideal policy plan to get the dual benefit of life cover and investment based returns. These plans are linked to market performance. This way, the policyholder gets a high yield on both the investment and life insurance protection. Several fund options are available under ULIP plans that can be selected as per the policyholder's requirement and future goal. The plans offered by Reliance Life Insurance under ULIP category are:
|Plan name||Highlighting Features|
|Premier Wealth Insurance Plan||1: Here the policyholder has the option to invest in an auto managed fund or a self-managed fund. An auto managed fund is further categorized into two options of Life Stage Option and Target maturity Option which assist in deciding the allocation of funds in debt and equity
2: Premium payment can be done in limited payment mode, single payment mode, or regular payment mode
3: A wealth booster is added to the policy fund starting from the 8th year of the policy
4: After completion of 5 years of the policy term, the policyholder can withdraw a part of the accumulated corpus
|Smart Savings Insurance Plan||1: When a policyholder buys reliance life insurance Smart Savings Insurance Plan they get the option to select from an auto managed fund and a self-managed fund
2: The premium payment term varies between 5, 7,10 years or up to policy term
3: Partial withdrawal is allowed after completing 5 years of the policy term
4: Wealth boosters and loyalty bonuses are a part of the policy
|Classic Plan II||1: Premium payment can be done monthly, half-yearly, or annually
2: Any time during the policy tenure, the policyholder can top up the fund
3: Premium amount can be invested in equity or debt funds as selected by the policyholder
4: Till the policy is active, life cover is valid
5: Premium Redirection allows altering the investment pattern of the policy premiums
6: A portion of the policy corpus can be withdrawn, in case of an emergency, after completing 5 years of the policy tenure
These plans are specifically designed for corporates and companies who wish to provide life cover to its employees or a portion of their employees. These plans usually offer several benefits and cater to a large number of people (staff or employees of a company). Reliance Life Insurance offers three major kinds of Group Plans:
Employers Liability Solutions:
These plans (selected and purchased by employers) provide benefits such as gratuity, leave encashment, and superannuation to employees of a company.
Employee Protection Solutions:
Under this policy, employees are offered credit protection and life cover in case of an accident at work that results in death or disability.
Group Saving Solutions:
This insurance plan allows employers to facilitate savings among their employees as a habit.
A noteworthy point here is the benefits of the Group Insurance Plans are valid only until the individual is an employee of the organization. The quantum of benefit depends on the plan selected by the employer.
The awards won by the insurer are a testimony of the exceptional performance of the company. Reliance Life Insurance company provides an array of life cover plans to suit the needs of customers. The presence of several factors makes it a favourable option to buy Reliance Life Insurance policy.
The premium payment options provided by the insurer are quite flexible and can be selected by the insured as per his convenience
The plans offered serve a multitude of purposes and needs of the customers. In addition to life cover, they offer financial assistance to meet the future financial goals of the prospective policyholders
The plans are available through both offline and online modes. The Term plans offered by Reliance Life Insurance can be purchased online too
A Reliance Life Insurance Policy offers several benefits to the policyholders along with the basic advantage of life cover. The policies can be purchased offline by walking into any of their offices or online. Some common documents that are required to purchase a life insurance policy are listed below.
Reliance Life Insurance offers its customers the comfort of buying a life insurance policy online. Prospective Customers can compare plans online and purchase the insurance plan that suits their requirements.
The Website of Reliance Life Insurance is user friendly and easy to manoeuvre. Customers can visit the ‘Buy Online’ section on the website for purchasing the policy online.
Similarly, the website of the insurer provides an online premium payment mode to its policyholders. The Quick links option on the website allows its users to make Reliance Life Insurance premium payment.
Reliance Life Insurance Company had a claim ratio of 97.71% for the FY ending on 31st March 2019.
The high claim ratio is an indication of the greater percentage of claims being disbursed out of the total claim received. The claim process of this insurer involves a streamlined and smooth process. The main steps involved in the claim process are:
Once the claim form has been filled, relevant documents have to be attached with the form while submitting the claim. These documents include:
Once all documents are submitted with the branch office, regular updates on the process are provided by the office.
To file a claim with the insurer, the nominee must initiate the claim process by intimating the insurance company of the death of the life insured. Certain forms have to be filled for the claim process. This includes a
Based on the type of claim, the nominee must select the appropriate claim form and submit after filling the complete form.
Once all the relevant documents and claim forms are received, the fund value of the policy is paid to the beneficiary. This process is applicable in case of a death claim settlement.
After verifying and scrutinizing all claim forms and documents, the claim is processed and if any further documents are required; the claim is completed post receiving them. All the policy benefits, riders, and clauses are carefully examined and funds are paid to the nominee, subject to documents being in order. An SMS/letter/email is sent to the nominee/policyholder once the claim has been approved. After approval, the funds are credited to the account details provided via NEFT.
Claims for Total and Permanent Disability, Critical Illness, and Death have to be registered at the nearest Reliance Life Insurance Office or the claims department at Corporate Office, Mumbai.
The claim ratio of the company in the last few years is represented below.
The plan renewal process for any Reliance Life insurance policy refers to the process of keeping the policy alive and active by paying the renewal premium. Policy Renewal premium is the term given to the premiums paid in the years following the initial premium to keep the policy in force.
Reliance Life Insurance company offers several modes for payment of policy premium to renew the policy. These include payment through our branches, ECS facility, PayTM, Bank/partner branches, online channels, or IVR.