1. What kind of a plan is DHFL Pramerica Smart Money Back?

DHFL Pramerica Smart Money Back is a non-linked, participating money back endowment plan. This plan helps fund your important milestones by periodically providing money backs during the Policy Term and helping you build a corpus for your long term financial needs.


2. What is a participating plan?

In a participating plan, the Policyholder would be eligible to participate in the profits (if any) arising from the portfolio of such policies distributed through either one or more of the following:

  • Reversionary Bonus

  • Interim Bonus

  • Final Bonus


3. How can I opt for DHFL Pramerica Smart Money Back Plan?

Step 1 Step 2 Step 3
Select Base Sum Assured as per your requirement subject to a minimum of Rs 120,000 Select the duration for which you want to pay your Premiums corresponding to available Policy Term and Premium Paying Term options. Pay the Premium based on the age of Life Insured, Base Sum Assured and the Premium Payment Term chosen


4. What is the Survival Benefit available under the DHFL Pramerica Smart Money Back plan?

Survival Benefit expressed as a percentage of Base Sum Assured will be paid at specified regular intervals during the Policy Term provided the Policy is in force for full risk benefits.

It will be paid starting from end of the 4th Policy year and every 4th year thereafter for Policy Term of 16 years from end of the 5th Policy year and every 5th year thereafter for a Policy Term of 20 years as mentioned below:


Policy Term = 16 years Policy Term = 20 years
Policy Year % of Base Sum Assured Policy Year % of Base Sum Assured
4 15% 5 15%
8 20% 10 20%
12 25% 15 25%
16 40% 20 40%


5. What is the Maturity Benefit available in DHFL Pramerica Smart Money Back plan?

On Survival of the Life Insured to Maturity date, Accrued Reversionary Bonus and Final Bonus, if any, would be payable.


6. What is the Death Benefit available under the DHFL Pramerica Smart Money Back plan?

In case of the unfortunate demise of the Life Insured during the Policy Term, the Policy terminates and the Death benefit is paid to the Nominee subject to Policy being in-force.


Death Benefit is sum of following:

  • Death Sum Assured

  • Accrued Compound Reversionary Bonus

  • Interim and Final Bonus, if any


Where Death Sum Assured would be highest of:

  • 11 times of Annualized Premium*; or

  • Base Sum Assured;


However, the minimum Death Sum Assured along with Bonuses shall be at least equal to 105% multiplied by all the Premiums paid (excluding underwriting extra Premium, if any) as on date of Death.

*The Annualized Premium shall be the Premium payable in a year chosen by the Policyholder, excluding the underwriting extra Premiums and loadings for modal Premiums, if any.


7. What type of reversionary Bonus does the DHFL Pramerica Smart Money Back plan offer?

The DHFL Pramerica Smart Money Back plan offers Compound Reversionary Bonuses.

Please note that Bonuses would be applicable on full Base Sum Assured. The Bonuses are dependent upon the performance of the relevant participating fund and are not guaranteed.


8. What is Compound Reversionary Bonus?

This is a regular Bonus expressed as a percentage of the total of Base Sum Assured and the Reversionary Bonus amount already attached to your Policy. Any Bonuses declared by the Company during first three Policy years shall vest in the Policy only after the Policy has been in-force for full Policy benefits during three Policy years. However, this condition will not apply to policies resulting into claims by Death during this period.


9. What is Interim Bonus?

The Company may pay a Bonus to the policies resulting into claims by way of surrender, death or Maturity during the inter-valuation period.


10. What is Final Bonus?

The Company may pay a Final Bonus on termination of the Policy due to Death, Surrender or Maturity.


11. Who can buy the DHFL Pramerica Smart Money Back plan?

Minimum Age at entry## 8 Years@
Maximum Age at entry## For Policy Term 16 Years: 49 Years
For Policy Term 20 Years: 45 Years

## Age as on last birthday
Substandard lives may also be covered subject to Company’s underwriting norms and with any extra premium, if applicable @The risk cover for base plan will start immediately on date of commencement of Policy.


12. What are the Policy term and Premium Payment Term available in DHFL Pramerica Smart Money Back plan?

Policy Term (years) 16 20
Premium Payment Terms (years) 5 or 7 7 or 10


13. What are the Premium Payment modes available in DHFL Pramerica Smart Money Back?

The customer can pay premium in Yearly, Half-Yearly or Monthly mode.

*Monthly mode of premium payment is available only through credit card, direct debit and ECS.


14. What is the minimum annual Premium in DHFL Pramerica Smart Money Back plan?

The minimum annual Premium will be Rs. 15,000 (excluding Service Tax, Education Cess, underwriting extra (if any).


15. What is the minimum and maximum Sum Assured available in the DHFL Pramerica Smart Money Back Plan?

Minimum SA: 1,20,000

Maximum SA: No limit, subject to underwriting


16. Can the premium payment term of the DHFL Pramerica Smart Money Back plan be changed at a later date?

No, Premium Payment Term, once chosen, cannot be changed at a later date.


17. Can the DHFL Pramerica Smart Money Back plan be surrendered?

Yes, at any time during the Policy Term while your Policy is in effect and Premiums for at least two consecutive Policy years have been received in full, you can surrender your Policy.

However, it is advisable to pay premiums for the full Premium Payment Term to continue to receive Bonuses throughout your Policy term and enjoy maximum benefits under the Policy.


18. In case of surrender of Policy, will the customer get any Surrender Value?

Yes, the customer will get the Surrender Value and the Policy will terminate and no further benefits would be paid on death or Maturity. On surrender, Surrender Value equal to higher of Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV) would be paid.


The Guaranteed Surrender Value is X% of total premiums paid (excluding underwriting extra, if any) less any survival benefits already paid where X is as defined below plus the Guaranteed Surrender value of the accrued reversionary Bonuses.

X is not featuring in the table below:


Year in which Policy is surrendered GSV as a percentage of Premium Paid(X)
Policy Term = 16 Years Policy Term = 20 Years
2 30.0% 30.0%
3 30.0% 30.0%
4 50.0% 50.0%
5 50.0% 50.0%
6 50.0% 50.0%
7 50.0% 50.0%
8 60.0% 60.0%
9 63.0% 62.0%
10 66.0% 64.0%
11 69.0% 66.0%
12 73.0% 68.0%
13 76.0% 70.0%
14 79.0% 73.0%
15 80.0% 75.0%
16 80.0% 77.0%
17 NA 79.0%
18 NA 80.0%
19 NA 80.0%
20 NA 80.0%


The Special Surrender Value is not guaranteed and may change depending upon the prevailing market conditions subject to prior approval of IRDA of India.


The Policy shall terminate on payment of Surrender Value and all rights, benefits and interests under this Policy shall cease.


19. Let us assume a customer buys a DHFL Pramerica Smart Money Back plan for a term of 20 years. He stops paying premiums after 3 years and informs the company that he would be unable to pay future premiums. However, in the 9th Policy year, he wants to again start paying the premium. Would we allow him to do so? If yes, are there any T&C?

No, the customer cannot restart paying the premium. Revival of a Policy is available for up to 2 years from the date of first unpaid premium.


20. What is the revival period available under the DHFL Pramerica Smart Money Back plan?

The Policy can be revived within 2 years from the due date of the first unpaid premium.

  • Payment of all unpaid premiums with interest is required to reinstate the Policy in all cases

  • Revival of the Policy is subject to underwriting requirements

  • Once the Policy is revived; all the benefits and Bonuses under the Policy would be revived.

  • On revival of a paid-up Policy, any final paid-up Bonus added at the time of conversion of a Policy to paid-up would be reversed.


21. What happens when the Life Insured commits suicide?

If death occurs due to suicide or attempted suicide, whether sane or insane, within twelve months of the Policy Commencement Date or within twelve months from the date of revival of the Policy, then the Company’s obligation under this Policy shall be to pay an amount equal to higher of 80% of total Premium paid (excluding underwriting extra if any), or Surrender Value, if any.


22. What if I want to cancel my Policy since I do not agree with the terms and conditions mentioned in the Policy?

You will have a period of 15 days (30 days in case the policy is sold through distance marketing *) from the date of receipt of the Policy document to review the terms and conditions of the Policy and where if you disagree to any of the terms and conditions, you have an option to return the Policy stating the reasons for objection. On receipt of the letter along with the Policy documents, the company will refund the Premium paid, subject to the deduction of proportionate risk Premium and any expenses incurred by the Company on insurance stamp duty and medical examination.

*Distance Marketing entails to the sale of the product through a mode other than personal interaction.


23. What are the tax benefits available under the DHFL Pramerica Smart Money Back plan?

Tax benefits will be applicable as per prevailing tax laws. Tax laws are subject to change. Please consult your tax advisor for details.


24. Can DHFL Pramerica Smart Money Back plan be bought under MWPA?

Yes, DHFL Pramerica Smart Money Back plan can be bought under MWPA.


25. What is MWPA?

Married Women Property Act, 1874 (MWPA) where a husband has taken a life insurance policy and expressed it to be for the benefit of the wife, children or any of them, such policy shall be deemed to be a trust for the benefit of the wife, children or any of them so expressed and can neither be utilized either by the husband or his creditors nor form a part of his estate. In such policy, where expressly mentioned, all the benefits arising out of the same are identified and treated as his separate property.