Term Insurance 1685 views December 7, 2020

Canara HSBC Oriental Bank of Commerce Life Insurance Co. Ltd. provides Individuals a Non-Linked Non-Par Pure Risk Premium Life Insurance Term Plan – Canara HSBC OBC iSelect Star Term Plan. It offers multiple benefits like whole life coverage, coverage for a spouse, multiple premium payment options, short policy term, and premium payment term until you attain 60 years of age. Also, in this plan, you have the option to avail return of premium benefits once you outlive the policy term. Read the page further and know more about Canara HSBC OBC iSelect Star Term Plan.

Term Insurance

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

+91

Plan Options

You can choose your preferred term insurance plan for Canara HSBC OBC iSelect Star Term Plan from the following:-

Life

Under this plan, if the insured dies or gets diagnosed with Terminal Illness, whichever is earlier, the Sum Assured on Death will be payable to the claimant. Once this happens, the policy terminates. In this plan, both the Life Assured and his/her Spouse can get covered.

Life with Return of Premium

In this option, the claimant will receive the Sum Assured on Death if the Life Assured dies or gets diagnosed with Terminal illness, whichever is the first. But if Life Assured outlives the policy term, the claimant will receive the Total Premiums paid by the life assured. In both scenarios, once the payment is made, the policy will terminate immediately.

Life Plus

The payment of Sum Assured on Death is made by the insurer when the Life Assured dies or gets diagnosed with Terminal illness, whichever is earlier. Whereas if the Life Assured survives till maturity, he/she will receive the refund amount of Total Paid Premiums. The policy can continue further post the maturity if the Life Assured wants, where a Sum Assured becomes payable if the Life Assured dies or is diagnosed with a terminal illness. Otherwise, if Life Assured survives till the age of 99 years, the company will pay the Sum Assured to the claimant.

Note – If any of the benefits are paid, Canara HSBC OBC iSelect Star Term Plan will terminate immediately.

Coverage for Spouse

Under Canara HSBC OBC iSelect Star Term Plan, both you and your spouse can be covered with separate Sum Assured. If any one of you dies or is diagnosed with a terminal illness, the sum assured on death will be paid, whereas the other insured person’s life cover continues. And when the second life assured also dies or is diagnosed with a terminal illness, the sum assured on death is paid to the claimant and the policy terminates.

Both the spouse and Life Assured premium payment term and mode will be the same. And this spouse coverage may not be available if the Life Assured has opted for Whole Life Coverage or have a Premium Payment Term of up to the age of 60 years.

If the marriage happens after the policy commencement, the Life Assured can add the spouse to the policy within one year from the date of the marriage, provided the policy is in force and has been approved by the company’s board.

Sum Assured for the Spouse

Canara HSBC OBC iSelect Star Term Plan Spouse Sum Assured categorization is made as per the Company Board-approved Underwriting Policy (BAUP).

Working Spouse: The working spouse can choose his/her sum assured under the plan. They have the option to select any coverage option – Optional In-Built Cover, and the Benefit Payout at the stage of getting added under the policy.

Non-Working Spouse: INR 25 lakh is a fixed Sum Assured for a non-working spouse that will remain the same throughout the Policy Term. And there is no option for them to add Optional In-Built Covers or choose a Benefit Payout Option.

 Coverage Options

You decided on your coverage for Canara HSBC OBC iSelect Star Term Plan. Similarly, your working spouse can choose the coverage option at inception or when they are being added to the policy. You must know that the selected coverage options can’t be altered later, once the policy term starts. So let’s take a look at the following coverage options:

Level: In this, the coverage amount remains the same during the policy term. However, if the Life Assured pays a regular premium, he/she has an option to increase the Sum Assured. Below are the events for which the Sum Assured can be increased during the policy term.

  1. Marriage
  2. Birth of Child
  3. Home Purchase

Note – Any request for an increase in the Sum Assured must be made within 1 year of the Life Event occurrence.

Increasing: In this option, the Life Assured insurance cover will increase by 5% per annum at simple interest every year of the policy. It is an overall increase of up to 100% of the original Sum Assured. This option is also available for a spouse.

Optional In-Built Covers

You and your spouse can choose any of the following optional in-built coverage options at inception or when the spouse is added to the policy.

  1. Accident Death Benefit: The claimant will receive an additional benefit if the Life Assured dies due to an accident, in addition to the Death Sum Assured.
  2. Accidental Total and Permanent Disability Premium Protection: An add-on benefit in your policy that can be claimed on the occurrence of Accidental Total and Permanent Disability (ATPD). In this, all the future premium payment will be waived and the policy will continue with the other coverages.
  3. Accidental Total and Permanent Disability Premium Protection Plus: This add-on benefit is similar to the above, but the difference is that, along with the above benefits, the company will pay the ATPD Sum Assured.
  4. Child Support Benefit (CSB):  You can add this benefit for your children’s future. As along with the payable amount on death or terminal illness, the CSB Sum Assured will be payable. And, if the CSB Cover is not added, this will get added subsequently within one year of the birth of the first child, provided the Life Assured and the working spouse do not have any children at inception or when a spouse is added for coverage. The CSB is not available if the Life Assured chooses a Limited Pay variant.

Available Payout Options

At the time of purchase, you can choose any of the following payout options for the payable benefit. But after the issuance, the same cannot be changed. Check out the below-mentioned Canara HSBC Oriental Bank of Commerce Life Insurance Company Limited payout options for this plan.

Lump-Sum

In this, your entire payable benefit comes one-time only.

Monthly Income

Your monthly income payout could be level or increasing at 5-10% p.a. simple interest. This payout option can be for 120 months or till the end of the Policy Term, subject to a maximum of 40 years.

Part Lump-Sum PArt Monthly Income

You can choose from a lump-sum and monthly income proportion as 25%, 75%, 50%. Here also, the monthly income comes at either level or increasing interest at the rate of 5-10%  p. a. And the tenure can be of 120 months or till the end of the Policy Term, subject to a maximum of 40 years.

Exclusion

If you or the spouse commits suicide and dies, the nominee will get the payable benefits under this policy. It is applicable if –

  1. Insured person dies within 12 months from date of the policy risk commencement
  2. Insured person dies within 12 months from date of the policy revival

Under this suicide clause, 80% of the Total Paid Premiums till the date of death or the policy respective surrender value as on the date of death, whichever is higher, becomes payable to the nominee only.

Free Look Period

If the Life Assured disagrees with the terms and conditions of  Canara HSBC OBC iSelect Star Term Plan, he/she can return the same within 15 days from the date of its receipt (30 days for distance marketing mode) stating the reason of objection. When Life Assured cancels a policy during the free look period, he/she will get a refund of the paid premiums after the deduction of a proportionate risk premium, stamp duty charges, and medical expenses, if any.

People Also Read