HDFC Life Guaranteed Wealth Plus Plan

What is HDFC Life Guaranteed Wealth Plus Plan?

The HDFC Life Guaranteed Wealth Plus Plan is a non-linked, non-participating insurance plan that ensures financial protection and guaranteed returns. This investment plan provides a death benefit during the policy term to secure your family. Depending on the variant you select, it also offers guaranteed survival benefits and maturity payout, making it suitable for long-term financial planning.

Features of HDFC Life Guaranteed Wealth Plus Plan

The key features of the HDFC Life Guaranteed Wealth Plus Plan are as follows:

• Flexible Premium Options: Pay a single premium or for a limited number of years while enjoying life insurance cover throughout the policy term.
• Guaranteed Survival Benefits: If you choose the Income Variant, you will receive fixed benefits during the policy term, provided all premiums are paid on time.
• Maturity Payout Options: At the end of the policy, get your guaranteed benefits either as a lump sum or as regular income plus a lump sum, based on your choice.

Eligibility Criteria for HDFC Life Guaranteed Wealth Plus Plan

Benefits of HDFC Life Guaranteed Wealth Plus Plan

The following are the key benefits offered by the HDFC Guaranteed Wealth Plus Plan:

1. Death Benefit

   • If something happens to you, your family gets financial support.
   • The Death Benefit is a lump sum paid to your nominee.
   • It is calculated as the higher of:
     • A multiple of your annual premium for limited pay, or 1.25 times your single premium for single pay.
     • 105% of all premiums paid until the date of death.
   • This benefit is available throughout the policy term, depending on the plan variant you choose.

2. Maturity Benefit

   At the end of the policy, you receive a Maturity Benefit, which depends on the variant:

   Lump Sum Variant

   • Pay your premiums either as a single payment or in installments for the chosen term.
   • At maturity, receive a fixed lump sum, based on a percentage of the premiums paid.
   • The exact amount depends on your age, policy term, and premium band.
   • Death benefit continues throughout the policy term.

   Income Variant

   • At the end of the policy, you get 100% of the total premiums paid.
   • A death benefit is also provided during the policy term.

3. Survival Benefit

   This guaranteed return policy provides the following regular guaranteed income or benefits while you are alive during the policy term:

   Lump Sum Variant

   No survival benefit is available.

   Income Variant

   • You get a guaranteed annual income if you survive the policy term.
   • Income starts at the end of the 8th, 10th, or 12th year, depending on the premium term.
   • Paid for a fixed period (up to 30 years).
   • The amount depends on your age at the start, the premium, and the death benefit multiple.
   • If you pass away before maturity, future income stops, and the Death Benefit is paid instead.

4. Death Benefit for Minor Life Assured

   • If the life assured is 12 years or older, risk cover starts immediately.
   • If the life assured is under 12 years, the full death benefit starts after 2 years.
   • If death occurs before 2 years, only the total premiums paid are returned.

5. Vesting for Minor Life Assured

   • If the policy is issued to a minor, it vests when they reach the age of majority.
   • On vesting, the minor is recognised as the policyholder.

Rider Benefits of HDFC Life Guaranteed Wealth Plus Plan

HDFC Life Guaranteed Wealth Plus lets you increase your protection by adding the following optional riders:

1. HDFC Life Critical Illness Rider (4 or 25 Regular Pay)

   • If you are diagnosed with a covered critical illness, the rider pays a lump sum.
   • You can choose either the Critical Illness (4) or (25) option at the start.

2. HDFC Life Term Rider

   • In case of your death, the rider pays a lump sum equal to the rider's sum assured.
   • After payout, the rider's cover ends.

   Key Rider Rules

   • Riders can be added when you buy the policy or on policy anniversaries, and you can choose one or more as per your needs.
   • Rider benefits are separate from the base plan and are paid only if the specified event (like illness or death) occurs.
   • Rider sum assured cannot exceed the base policy sum assured, total rider premiums cannot exceed 100% of the base premium, and once a rider is removed, it cannot be added again.

Policy Details of HDFC Life Guaranteed Wealth Plus Plan

1. Grace Period

   • Grace Period is the extra time allowed to pay your premium without penalty.
   • During this period, your policy stays active with full risk cover.
   • The grace period is 15 days for monthly premiums and 30 days for other payment frequencies.

2. Policy Lapse

   • If at least the first 2 years’ premiums are not paid within the grace period for limited pay policies, the policy lapses.
   • Lapsed policies stop providing risk cover, and no benefits are paid.
   • Single Premium policies never lapse.
   • Lapsed policies can be revived as per the revival rules.

3. Reduced Paid-Up

   • If at least the first 2 years’ premiums are paid, but subsequent premiums are unpaid, the policy becomes Reduced Paid-Up.
   • Reduced Paid-Up means the policy continues with lower benefits until it is revived.
   • Reduced Paid-Up does not apply to Single Premium policies.

4. Revival of Policy

   • A lapsed or reduced paid-up policy can be revived within 5 years of the first unpaid premium.
   • Revival requires all due premiums plus interest and proof of insurability.
   • Interest is based on Bank rate + 1%, rounded to the nearest 50 bps.
   • The company may require a medical check before revival.

5. Surrender

   • You can surrender your policy to get the surrender value.
   • Single Premium policies can be surrendered anytime.
   • Limited Pay policies can be surrendered after 2 full years’ premiums.
   • On surrender, all policy benefits end immediately.

6. Policy Loan

   • Policyholders can take a loan against the policy.
   • Loan is available after 2 full years’ premiums for Limited Pay and anytime for Single Premium.
   • The maximum loan is 80% of the surrender value, with a minimum of ₹1,000.

7. Free Look Period

   • You have 15 days (or 30 days for Distance Marketing) to review your policy.
   • If you disagree with any terms, you can cancel the policy and get a refund of the premium paid, after deduction of risk premium, medical costs, and stamp duty.
   • All policy benefits end immediately on cancellation.

Suicide Exclusion Criteria of HDFC Life Guaranteed Wealth Plus Plan

If the policyholder dies due to suicide within 12 months of policy start or revival, the nominee gets either 80% of total premiums paid or the surrender value, whichever is higher. This applies only if the policy is in force.