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SBI Life Swadhan


This term insurance policy can return premiums on survival and offers the option to surrender the policy too.

What does it do?

This term plan pays sum assured to the nominee in case of untimely death of the life assured. It refunds a part of premiums paid if policyholder outlives the policy term. Survival benefit depends on the policy term. If policy term is 5 years, survival benefit would be 50 per cent of basic premiums. Similarly, the benefit increases to 60 per cent of basic premiums for a 6 years policy term and 100 per cent for a 10 year term.
Policyholder can surrender the policy in case of any emergency. The surrender benefit is calculated on the basis of a prestated formula.
If policyholder is not able to pay the premium, the policy will not lapse but continues for a reduced paid-up value, provided first three year premiums have been regularly paid. In case of demise or surrender of the policy, the reduced paid up value is paid to the nominee.


Policyholder gets a 2 per cent premium rebate for annual premium payment and 1 per cent for semi-annual premium payment.
Women enjoy a 5 per cent over and above the premium payment mode rebate.
The policy does not lapse but continues with a paid-up value if policyholder fails to pay premiums.
Policy gives survival and surrender benefit.
Premiums paid under this policy qualify for a tax benefit under Section 80C.


This plan cannot be taken for more than 10 years of policy term.
There are no rider options for additional protection.
There is no option to make monthly premium payment.

Suited for

This policy can be taken by those looking for shorter tenure of insurance.

Our View

Surrender benefit, survival benefit and return of premium option make this policy expensive as compared to pure term plans. The policy has kept its cost high to compensate for these benefits. It offers a maximum term of 10 years only which is another drawback.

Entry Age (years) 
Maximum Maturity Age (years)70
Policy Term (years) 
Sum Assured (Rs) 
Minimum300000; and in multiples of 10000 thereof
Premium Payment FrequencyYearly, Half-yearly, Quarterly
Premium Payment TermEqual to policy tenure
Policy CoverCover remains fixed for the tenure of the policy
Other Features 
Free Look CancellationIn case, you are not satisfied, you may choose to cancel the policy within 15 days of receiving the policy documents. Upon such cancellation, you will be paid back the premiums, minus the cost of stamp duty, medical reports and proportionate premium for the period for which the risk was covered.
Grace PeriodYou are allowed to pay premiums within15 to 30 days(as required by insurance company) from due date of premium payment. If a due premium is not received within the grace period, your policy will lapse and the life insurance cover, including the rider cover, if any, will be terminated.
Lapsed Policy ReinstatementYou may reinstate your lapsed policy by paying due premiums and undergoing underwriting requirements, if any. SBI Life may float special schemes for reinstatement of lapsed policy at their own discretion.
Tax BenefitsSection 80C, 10 (10D) of the Income Tax Act, 1961 would apply.
ExclusionsIn case of death by suicide during the first policy year, or within one year from the date of reinstatement, no death benefit is payable. Further, if the Life Assured under the policy, whether medically sane or insane, commits suicide, within one year of exercising the option to increase the Sum Assured, then the amount of increased Sum Assured will not be considered in the calculation of the Death Benefit
Surrender ValueFor Policy year 1/2/3 : Nil For Policy Year 4/5/6 : 60% of Basic Premium less 1st year basic premium. For Policy Year 7 and onwards: 65% of basic premium less 1st year basic premium
Customer Service 
AddressSBI Life Insurance Corporate Office: Ground & 2nd floor, Turner Morrison Building, G.N Vaidya Marg, Fort, Mumabi - 400023 Registered Office: State Bank Bhavan, Madame Cama Road, Nariman Point Mumbai - 400 021
Mail To[email protected]
Call On1800 22 9090
Annual Premium Option for Male
Policy Term (in years)Age (in years)
Figures indicate premiums on a Rs 20 lakh policy for an age over different policy tenures exclusive of service tax
Annual Premium Option for Female
Policy Term (in years)Age (in years)
Figures indicate premiums on a Rs 20 lakh policy for an age over different policy tenures exclusive of service tax