Investment Plans May 24, 2021

If you are the sole breadwinner in your family, a job loss can bring financial problems in your life. Chola Income Shield Insurance Plan could be a perfect plan to protect your finances (monthly income) in such a situation. This policy offers a lump sum benefit in the event of loss of a policyholder’s monthly income due to job loss during the policy term. By paying an additional premium, you can also get coverage against accidental death or disability.

Investment

To know the right investment, please fill the details below and our policy experts will get in touch with you

+91

Want to know more about this plan? You should check the key features of the Chola Income Shield Insurance Plan mentioned below before we will discuss them in detail.

  1. Lump sum benefit in case of loss of monthly income (due to job loss)
  2. The choice of two plan options
  3. Policy tenure of one year
  4. Accidental protection cover
  5. Children education protection benefit
  6. Parental care benefit
  7. A 90-day waiting period (not applicable for loss of income due to personal accident)
  8. A 15-day free look period 

Read through this page to understand these features in detail so that you can purchase this policy without any delay. Let’s start!

Features and Benefits of the Chola Income Shield Insurance Plan in Detail

Chola Income Shield Insurance Plan ensures that you manage to keep the same lifestyle (by providing a lump sum benefit) when you are out of a job. We have discussed its features and benefits in detail below.

Flexibility to Choose from Two Plan Options

Chola Income Shield Insurance Plan offers two options – Platinum and Silver Plan. Under the Platinum plan, the minimum unemployment period should be continuous 15 days, while it should be continuous 30 days under the Silver Plan, to get the lump sum benefit.

Lump Sum Benefit in the Event of Loss of Monthly Income (Due to loss of job)

The policy from Chola MS will pay a lump sum benefit per insured event per person in case of the following situations during the policy period.

  1. Termination, dismissal, or retrenchment of the insured person from unemployment by the employer on account of closure of the company
  2. Termination or dismissal, lay off, temporary suspension, or retrenchment of the insured person from the employment
  3. Retirement of the policyholder due to a retirement scheme of compulsory nature if a company is closing down one division and at least 20 employees are availing the retirement scheme
  4. Termination or temporary suspension of the policyholder imposed on him/her by the employer due to the following critical illnesses 
  • Cancer of Specified Severity
  • Stroke Resulting in Permanent Symptoms
  • Open Chest CABG
  • Kidney Failure requiring regular Dialysis
  • Multiple Sclerosis with Persisting Symptoms
  • Major Organ/Bone Marrow Transplant
  • Surgery to Aorta
  • Motor Neuron Disease with Permanent Symptoms
  • Open Heart Replacement or Repair of Heart Valves
  • First Heart Attack – of Specified Severity

Note: The maximum liability under this plan will be a lump sum benefit equal to 3 times the fixed sum insured per month in case of one of the above-mentioned situations (per insured person).

What will be the Fixed Sum Insured Per Month?

Under the Chola Income Shield Insurance Plan, the minimum fixed sum insured (per month) stands at INR 10,000 per person, while it can go up to INR 10,00,000 per person. Also, the sum insured amount will be in multiples of INR 1,000 as per the maximum of the gross monthly income.

Accident Protection Cover

With this plan, policyholders can also protect their finances in case of an accident resulting in death or disablement of the insured person during the policy period. This plan provides the nominee up to 50 times the fixed sum insured per month (chosen under basic cover) up to INR 25,00,000 if an insured person dies due to an accident.

In case of permanent disablement due to an accident, a percentage of the sum insured will be given to the policyholder. To know more, check the below table.

Extent of Disability% of Sum Insured
Loss of Sight of both eyes100
Loss of use of or actual loss by physical separation of two entire hands100
Loss of use of or actual loss by physical separation of two entire feet100
Loss of use of or actual loss by physical separation of one limb and Loss of sight of one eye100
Loss of Sight of one eye50
Loss of use of or actual loss by physical separation of One hand50
Loss of use of or actual loss by physical separation of One foot50
Any other form of disablement which permanently, totally and absolutely disable the Insured Person from engaging in any employment or occupation of any description100

Transportation of Mortal Remains and Cost of Cremation Coverage

Apart from the accident protection sum insured, policyholders will also get up to INR 10,000 towards the cost of transporting mortal remains from the place of death to the hospital. Also, this policy will pay up to INR 5,000 towards the performance of religious ceremonies incurred up to the time of cremation and any one post-cremation ceremony.

Children Education Protection Benefit

This Income Shield Insurance Plan will also provide coverage for the education of dependent children who are between 5 and 25 years in case of loss of monthly income for the insured. The benefit will be equal to 50% of the fixed sum insured per month (chosen under basic cover) up to INR 50,000 once per insured event.

Note: Dependent children should be studying in an educational institute as full-time students on the date of the occurrence of the insured event.

Parental Care Benefit

This policy provides 50% of the fixed sum insured per month up to INR 50,000 so that the policyholder can take care of their parents in case he/she loses a job. This is called Parental Care Benefit.

Chola Income Shield Insurance Plan Eligibility Criteria

Have a look at the important conditions related to the Chola Income Shield Insurance Plan eligibility criteria.

  1. The minimum entry age stands at 18 years.
  2. The maximum entry age can go up to 65 years.

People Also Read