Postal Life Insurance : Most important things to know about PLI Scheme

Postal Life Insurance : The Postal Life Insurance (PLI) is the scheme provided by the Government of India. A group of insurance scheme is managed by Postal Life Insurance (PLI), which is also for “Gramin Dak Sevaks”. This policy is generally offered to the employees of Central and State Public Sector Enterprises, Central and State Governments, Government Aided Educational institutes and similar institutions and universities etc.

The maximum sum assured offered under this scheme is 50 lakh Rs. Also the autonomous bodies, local bodies, cooperative societies, joint ventures, government aided institutions are included in it with minimum of 10% Government/PSU stake etc. The Postal Life Insurance (PLI) schemes are very convenient and reasonably low-premium personal investment products in the country.

Types of Postal Life Insurance (PLI) schemes

The Postal Life Insurance has 7 different types of schemes.

  1. Whole Life Insurance (Suraksha)
  2. Endowment Assurance (Santosh)
  3. Convertible Whole Life Insurance (Suvidha)
  4. Anticipated Endowment Assurance (Sumangal)
  5. Joint Life Endowment Assurance (Yugal Suraksha)
  6. Scheme for Physically Handicapped Person
  7. Children Policy (Bal Jeevan Bima)

These are some Insurance Schemes which has been covered some most important aspects under which the insurance is needed. The schemes related to Life Insurance has been present in different forms. Also the people who are Physically unable or even the policy for the Children’s safe future is provided under the Postal Life Insurance.

What are the advantages of Postal Life Insurance?

These are some advantages regarding Postal Life Insurance:-

  • Income Tax Benefits- The PLI plans provides tax benefits under the section 80C of the Income Tax Act.
  • Multiple Policies- The Policyholders can take more than one policy. The total sum assured for each class of policies is not less than Rs. 20,000 and not more than 10 Lakh Rs.
  • Insurance of duplicate policy papers- In the any case if documents of the policy get destroyed or misplaced or  damaged then the duplicate documents can also be re-issued.
  • Policy Conversion- The policyholder can convert his whole life policy to an endowment policy according to the pre-defined rules and regulations.
  • Recovery- Any lapsed policy can be recovered after six  unpaid consecutive premium amounts if it remained active for less than three years. If policy is more than three years then the non-payment of twelve consecutive premium amounts will result in the policy loss.
  • Pledging of Policy- The policyholder can pledge the policy to circle heads to avail a loan. The endowment policy has the time period of three years and the whole life plan has four years.
  • Loan Facility- The policyholders can take the benefits of loan by assigning his/her policy to any financial institution.
  • Appointment and Modification of Nominee- The policyholder can make changes to the nominee or appoint a nominee during the term of the policy.
  • Superlative Return- The PLI offers the highest coverage for policy. Also provides right bonus amount by paying the lowest premium rates, as compares to any other insurance company of the country.

What is the Surrender Factor Table of PLI?

The surrender value is the sum owed by the life insurer whenever you decide to surrender or give up on your policy. You will receive a certain premium amount that you have paid back regularly. This payment receipt is called a surrender value. The policies of the Postal Life Insurance (PLI) can be surrendered only after 3 years.

The Postal Life Insurance Calculator helps to calculate the surrender factor of the PLI that gives an estimate of amount which is going to be received by a policyholder on surrendering a policy. If you are interested in these beneficial policies then go through the PLI policies for a safe future.