HDFC Loan Cover Term Assurance Plan | Features | Benefits

This plan aims to protect your family from your loan liabilities in case of your ill-timed demise within the policy term. It provides the beneficiary with a lump sum amount, which is a decreasing percentage of the initial Sum Assured. This means that as the outstanding loan decreases as per the loan schedule, the cover under the policy also decreases as per the policy schedule.

Features –

Entry Age –

Minimum entry age is 18 years and maximum entry age is 55 years (for regular premium) and 60 years (in case of single premium)

Maturity Benefits –

There are no maturity or survival benefits.

Additional optional Benefits –

The policy comes with an additional optional benefit known as Accelerated sum assured (ASA) benefit. This ASA is benefit provides an amount equal to the sum assured selected under this benefit, on diagnosis of any of the 6 critical illnesses and your basic policy terminates without value.

Premium Paying Term –

The premium paying term is 2/3^rd of the policy term.

Death benefits –

The nominee or assignee (if the policy is assigned) will receive the sum assured as determined by the policy schedule.

Policy Term –

Minimum policy term is 10 years and maximum term is 30 years for regular premium payment. Policy term for single premium payment is 5 years to 15 years.

Plan Choice –

This insurance plan can be taken on a single life basis or joint life (first claim) basis.

Advantages

Flexibility to choose the Sum Assured.
Decreasing Sum Assurance as the outstanding loan decreases ensures that you do not pay for the protection you don’t need.
Additional Optional Benefit is available at a nominal cost.
Option of paying single premium or regular premium.
Tax benefits are offered under section 80C, 80 D and 10(10D) of the Income Tax Act, 1961.

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Tags: HDFC Life Insurance, HDFC Loan Cover Term Assurance Plan