ICICI Prudential Term Plan has been always popular among financial planners for its redeeming features. It had been one of the most sought after pure protection insurance products in the market. Moreover, the social status of the company in the insurance segment makes the policy more authentic
ICICI Prudential Life Insurance product bouquet has always been driven by customer-centric philosophy. The driving force of the company is to cater to long term protection of its customers with term insurance plans, extending long term risk coverage with the inbuilt provision of savings and protection for different life stage requirements of individuals. In order to ensure extreme customer comfort, ICICI Prudential Life has focused on initiatives that provide cost-effective insurance policy products, superior services with special emphasis on quality, and hassle free claim settlement experience to its customers.
The term insurance plans offered by ICICI Pru Life primarily aims to secure the financial future of the family with pure life cover protection.
ICICI Pru life insurance offers a range of term insurance plans that come with different features. Here is the list at a glance.
Name of Term Policy | Key Features |
ICICI Pru iProtect Smart Plan | 1: Protection for the future of the family at an affordable premium 2: Optional - Get cash payout of maximum Rs.1 Crore on the diagnosis of critical illness 3: Optional – Enhance cover up to Rs.2 Crores with Accidental Death rider 4: Income tax savings under Sections 80C and 80D 5: Get covered till 99 years of age 6: Payment for limited term flexibility |
ICICI Pru iCare II Plan | 1: Protection for family 2: Tax benefits 3: Premium as low as Rs.2400 per annum |
ICICI Pru Precious Life Plan | 1: For individuals with existing health issues 2: Choose payout option in monthly, lump sum or a combination of both 3: Accidental Death cover available |
ICICI Pru Life Raksha Plan | 1: Protection for family 2: The policy lasts for five years |
ICICI Pru iProtect Plan: It is one of the top-notched online plan offered by ICICI Pru Life with new-age features covering critical illness as well as an accidental death. The key features that make the policy attractive are:
Age parameters | |
Minimum entry age | 18 years |
Maximum entry age | 65 years |
Affordable Premium: An indicative list is attached for a view of premium at a glance:
The indicative premium for a healthy non-smoking male | |||
Age | Cover | Term in Years | Annual Premium |
30 | 50 Lakhs | 45 | 7088 |
30 | 1 Crore | 45 | 12970 |
35 | 50 lakhs | 40 | 8590 |
35 | 1 crore | 40 | 15758 |
More extended Cover: The life cover can extend to a maximum a period of 99 years as provided in the following indicative table
Indicative life cover for a healthy non-smoking male | ||
Entry Age | Maximum Term in Years | Cover till age |
25 | 74 | 99 |
30 | 69 | 99 |
35 | 64 | 99 |
40 | 59 | 99 |
Critical illness cover: The plan offers coverage for 34 listed critical illnesses where the sum assured is paid out on the first diagnosis. No hospital bills are required, and only the report suffices. The cover extends for 30 years without any change in premium
Multiple pay out options: This plan offers four payout options to choose from, and the policyholders have the flexibility to accord preference to their needs. The options are:
1: Lump Sum: it is the normal mode of payout chosen by most buyers. Thus, a sum assured of Rs.1 Crore is paid out as death benefit in a single tranche.
2: Regular Income: This option also has the dual benefit of the lowest premium along with the monthly income clause at the time of purchase. The nominee receives 10% of the benefit amount every 10 years. In numeric terms it comes to Rs.83333 per month for a payout benefit of Rs. 1 Crore. Alternatively, there is a choice of receiving lump-sum Rs.10 lakhs as the first year's income and continue for the remaining nine years from the subsequent month at Rs.80000 per month.
3: Increasing income: This option affords 45% more cover in the way the payout is staggered. The nominee receives Rs. 10 lakhs in the first year, Rs.11 Lakhs in the second year, Rs.12 Lakhs in the third year, and so on. By the end of the 10th year a total of Rs. 1.45 Crores would have been paid out to the beneficiary by adding 10% simple interest per year.
4: Lump Sum plus Regular Income: It is a combination of both the modes to be paid to the nominee in two parts, as agreed upon at inception. As an example for a sum assured of Rs.1 Crore, the beneficiary can be paid Rs. 50 lakhs in lump sum and Rs.41667 per month by the same formula applicable to regular income option.
Terminal Illness Benefit: The cover can be extended to terminal illnesses including AIDS for payout of the sum assured before death.
Accidental Death Cover: Not only is the additional cover provided as an option in the plan, but also there is a flexibility clause of adding this option later during the currency of the policy term.
Online Purchase: This is the only Term Insurance Policy by ICICI Pru which is up for sale online. Online purchase of insurance policy comes with added benefits, including lower premium rates and option under MWP Act.
ICICI Pru iCare II Plan: It is a special Term Insurance Policy from the company with flexible features added to it. There are two options for the purchase of this policy.
Option I: The payout to the nominee is in a lump sum to the extent of the sum assured chosen by the buyer.
Option II: It applies to the regular pay mode only where accidental Death Benefit can be added to make the sum assured Rs. 2 Crore in total.
Premium payment: The plan has the option of single premium pay or regular pay which continues for the entire tenure of the policy.
Eligibility Criteria
Age parameters | |
Minimum entry age | 18 years |
Maximum entry age | 60 years |
Maximum maturity age | 65 years |
Plan Term
1: Regular pay: 5, 10, 20, 25 and 30 years
2: One Time pay: 5 and 10 years
ICICI Pru Precious Life Plan: It is a fact of life that individuals who have existing health issues find it difficult or are discouraged from getting life cover. This Term Insurance Plan is just the solution for individuals who suffer from lifestyle diseases and other medical conditions like Diabetes, Cholesterol, Hypertension, Obesity, or even those who have undergone critical surgeries like Angioplasty or Open Heart Surgery.
Eligibility Criteria
Age parameters | |
Minimum entry age | 18 years |
Maximum entry age | 65 years |
Minimum age at maturity | 23 years |
Maximum age at maturity | 70 years |
Accidental Death: Apart from the regular sum assured, this plan also offers accidental Death cover to the insured.
Premium Payment options:
1: Single Pay
2: Regular Pay
3: Limited Pay
ICICI Pru Life Raksha Plan: It is a basic Term Insurance policy aimed to provide the nominee with a lump sum amount in the event of the death of the insurer when it is in force.
Eligibility Criteria
Age parameters | |
Minimum entry age | 18 years |
Maximum entry age | 60 years |
Sum Assured:
1: Minimum: Rs. 50000
2: Maximum: Rs. 5 Lakhs
Plan Term: 5 years.
It is essential to read the fine print of the policy document to be aware of the exclusions in the coverage offered by the plan: Accordingly, some of the critical points to be checked are:
Death due to war, terrorism or natural calamities: No payout is offered to the beneficiary
Death due to actions of the Insured: No death benefit is paid in case of indulgence in extreme sports, or self-inflicted injuries by the policyholder.
The claim settlement process at ICICI Pru Life is considered to be easy and can be accomplished in 3 steps.
Claim Processing: The claim care team will take over and guide the beneficiary at every step for successful processing of the claim form after evaluating the submitted documents
Claim Settlement: Once the claim is approved and all the documents are vetted, the claim will be settled within 12 working days, provided no further investigation is necessary. The settlement proceeds will be electronically transferred to the beneficiary’s account.
Tax savings are intrinsic to all premiums paid for term insurance plans. The quantum of benefit is to the tune of Rs.46800 under Section 80C, while new-age plans save Rs.7800 under Section 80D for critical illness cover provision. Similarly, payout received by the nominee in case of death of the policyholder is exempt under Section 10(10D) subject to applicable conditions.
Generally, term insurance plans are purchased using any of the three available purchase options. They are:
Offline
Intermediaries
Online: Among the various term insurance plans offered by the company, only iProtect Smart Term Plan can be bought online. The online process is available at the company portal buyonline[at]iciciprulife.com or through the various aggregators, where it is possible to compare several term plans before committing to purchase. The procedure for online purchase needs a few simple steps to accomplish:
Enter the cover amount, date of birth, gender, and tobacco consumption
Enter personal details like name, phone number, and mail ID
Select the life cover and the payout option
Proceed to the application form section. It is an elaborate input regime comprising the following.
Once all the input is submitted, an OTP will be sent to the entered phone number.
Pay premium online and submit the requisite documents
Await intimation for a medical test at home or Medical Center
Alternatively, the services of an advisor can be sought to assist in the purchase of a term insurance policy.
Offline: This can be done by a visit to the ICICI Prudential branch office using a pen and paper.
Intermediaries: Strategic partnerships with banks, agents, brokers, etc. are an alternative mode to purchase the chosen ICICI Term Insurance Plan.
The process of renewal of the policy is automatic on payment of premium online or offline on the due date or within the grace period. If payment of premium is discontinued, the policy benefits will cease. However, the revival of the policy is permitted within five years of the due date of the first unpaid premium, if applied in writing. This is subject to approval under the existing policy.
The requirements of documents are dependent on whether it is for the purchase of a term insurance plan or initiation of the claim process. The indicative details are briefly described below. ICICI Pru Life may seek additional documents over and above what is listed.
Purchase
Normal Death Claim
Original Policy document
Non-Accidental Death:
Accidental Death Additional:
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