FAQs

1. What kind of a Plan is DHFL Pramerica TruShield?

DHFL Pramerica TruShield is a Non-Participating, Non-Linked Term Life Insurance Plan with Return of Premium. This Plan provides pure life insurance cover along with Return of Premium on survival till maturity for the benefit of our Customers’ loved ones.

 

2. Who can buy DHFL Pramerica TruShield Plan?

Providing pure life insurance cover along with Return of Premium on survival till maturity being the key benefit of the Plan, it can be purchased by any individual subject to the following conditions:

 

Age at Entry^

Minimum : 18 Years
Maximum : For Policy Term 7 Years:
For Policy Term 10 Years:
For Policy Term 12 Years:
For Policy Term 15 Years:
For Policy Term 20 Years:
50 Years
55 Years*
50 Years
50 Years
45 Years

 

^Age as on last birthday
Policy Issuance is subject to underwriting norms of the company.

*For 10 Policy term with Regular Pay option the Maximum Entry Age is 50 years.

3. What should be the Maximum Maturity Age in DHFL Pramerica TruShield Plan?

The Maximum Age at Maturity in DHFL Pramerica TruShield Plan should be 65 Years (Age as on last birthday)

 

4. What are the different Premium Payment Terms in DHFL Pramerica TruShield Plan?

DHFL Pramerica TruShield Plan has a Limited & Regular Premium Payment Term option along with Single Pay, as given below:

 

Policy Term (Years) 7 years 10 years 12 years 15 years 20 years
Premium Payment Term (Years) 7 Pay Single Pay or 5 Pay or 10 Pay 12 Pay Single Pay or 7 Pay or 12 Pay Single Pay or 10 Pay

 

5. What is the Minimum and Maximum Base Sum Assured available in DHFL Pramerica TruShield?

Minimum: 5,00,000
Maximum: 50 Crores, subject to underwriting as per Board Approved Underwriting Policy

 

6. What are the premium modes available in DHFL Pramerica TruShield?

The customer can pay premium by Single Pay as well as Annual and Monthly Mode. (Monthly Mode only via Credit Card, Direct Debit or ECS)

 

7. What is the minimum Premium in DHFL Pramerica TruShield Plan?

Minimum premium** depends upon the Cover Option Chosen & Premium Payment Option chosen.

 

  For Level Benefit For Reducing Benefit
Limited Pay Annual Mode 6,395 5,950
Regular Pay 13,420 11,820
Single Pay 29,125 26,280

 

**Substandard lives may also be covered subject to Company’s underwriting norms and with an extra Premium, if applicable
Applicable GST will be charged over and above the quoted Premium.

 

8. How does the DHFL Pramerica TruShield Plan work?

  • Customer selects the Death Benefit option as per his/her need from Option-A (Level Cover Option) or Option-B (Reducing Cover Option),
  • Customer selects a Base Sum Assured subject to minimum of 5 Lacs and a maximum of 50 Crores subject to underwriting as per Board approved underwriting policy,
  • Customer chooses the Policy tenure and the duration for which he/she wants to pay his/her Premiums from the below options:
Policy Term (Years) 7 years 10 years 12 years 15 years 20 years
Premium Payment Term (Years) 7 Pay Single Pay or 5 Pay or 10 Pay 12 Pay Single Pay or 7 Pay or 12 Pay Single Pay or 10 Pay

 

  • Finally the Premium based on Age at Entry, Gender of Life Insured, Base Sum Assured, Mode of Premium Payment, Death Benefit Option, Policy Term & Premium Payment Term chosen is paid subject to underwriting norms of the Company.

 

9. What is the Death Benefit under DHFL Pramerica TruShield Plan?

On unfortunate demise of the life insured during the Policy Term while the Policy is in force for full Policy Benefits, the Company will pay Death Sum Assured as lump sum to the Nominee as per the Cover Option Chosen. The Plan also provides an additional death benefit (Additional Shield Cover) after all due premiums have been paid under the Policy.

 

  • Option-A: Level Cover - Death Sum Assured remains constant throughout the Policy Term
  • Option-B: Reducing Cover - Death Sum Assured reduces over Policy Term. Death Sum Assured at any point of time will be equal to Principal amount outstanding at the start of each Policy Year assuming a loan (equal to Base Sum Assured) with interest rate of 15%pa being repaid annually in arrears over the Policy Term. The Death Benefit schedule will be fixed at outset and forms part of the Policy Document. The reducing death benefit schedule for a loan amount of 1000 is illustrated in a table in the next page for different applicable Policy Terms.

 

Policy

Year

Policy Term

7 Years

10 Years

12 Years

15 Years

20 Years

1

1,000.00

1,000.00

1,000.00

1,000.00

1,000.00

2

909.64

950.75

965.52

978.98

990.24

3

805.73

894.11

925.87

954.81

979.01

4

686.22

828.97

880.27

927.02

966.10

5

548.8

754.07

827.82

895.05

951.26

6

390.76

667.92

767.52

858.30

934.18

7

209.01

568.86

698.16

816.02

914.55

8

 

454.94

618.41

767.41

891.97

9

 

323.93

526.69

711.50

866.01

10

 

173.26

421.21

647.21

836.15

11

 

 

299.91

573.28

801.81

12

 

 

160.42

488.25

762.32

13

 

 

 

390.47

716.90

14

 

 

 

278.02

664.67

15

 

 

 

148.71

604.61

16

 

 

 

 

535.55

17

 

 

 

 

456.12

18

 

 

 

 

364.77

19

 

 

 

 

259.73

20

 

 

 

 

138.92

 

The Plan also provides an additional death benefit (Additional Shield Cover) after all due premiums have been paid under the Policy.
Death Sum Assured would be at least equal to minimum death benefit conditions as defined in the next page:

 

Limited/Regular Pay Option:
Highest of:
10 times of Annualized Premium* or
Maturity Sum Assured; or
Absolute amount assured to be payable on death which is equal to Base Sum Assured (Option -A Level Cover option) or Reducing Sum Assured (Option -B Reducing Cover option), as applicable.
Death Sum Assured shall at least be equal to
105 % multiplied by all the premium paid# as on date of death
Single Pay Option
Highest of:
125% of Single Premium* in case Age at Entry is less than 45 years (110% of Single Premium* in case Age at Entry is 45 years and above) or
Maturity Sum Assured; or
Absolute amount assured to be payable on death which is equal to Base Sum Assured (Option-A Level Cover option) or Reducing Sum Assured (Option-B Reducing Cover option), as applicable;
Death Sum Assured shall at least be equal to 105% multiplied by all the premium paid# as on date of death

 

*The Annualized/Single Premium shall be the Premium payable in a Policy Year chosen by the Policyholder, excluding the underwriting extra Premiums and loadings for modal Premiums, if any #Premium paid for this purpose is Premium exclusive of any underwriting extras, if any.

 

10. What is the Maturity Benefit in DHFL Pramerica TruShield?

On survival of Life Insured to Maturity Date and provided the Policy is in force for full Policy Benefits, the Company will pay an amount equal to Maturity Sum Assured, where Maturity Sum Assured is defined as below:

 

Premium Payment Option Maturity Sum Assured
Limited Pay Total Premium Payable under the policy (excluding any underwriting extra, if any)
Single Single Premium(excluding any underwriting extra, if any)

 

Note: The Plan guarantees Return of Premiums on maturity. However extra premiums collected, if any would not form part of maturity benefit

The maturity benefit will be paid in both the options- Level Cover and Reducing Cover.

 

11. What is Additional Shield Cover in DHFL Pramerica TruShield policy?

 

Additional Shield Cover means the death benefit payable in addition to the Death Sum Assured after Premium Payment Term is over and complete Premiums payable under the Policy has been paid. The Additional Shield Cover shall vary for each Policy Year and shall be calculated by multiplying the Annualized Premium (or Single Premium, as applicable) with the Factor specified in the Table below:

 

Additional Shield Cover as a Multiple Of Single/Annualized Premium^
Policy Term 10 15 20 7 10 10 12 15 15 20
Premium Payment Term 1 1 1 7 5 10 12 7 12 10
Policy year of death
1 10/10 15/15 20/20 NA   NA NA      
2 9/10 14/15 19/20 NA   NA NA      
3 8/10 13/15 18/20 NA   NA NA      
4 7/10 12/15 17/20 NA   NA NA      
5 6/10 11/15 16/20 NA   NA NA      
6 5/10 10/15 15/20 NA 5 NA NA      
7 4/10 9/15 14/20 NA 4 NA NA      
8 3/10 8/15 13/20 NA 3 NA NA 7    
9 2/10 7/15 12/20 NA 2 NA NA 6    
10 1/10 6/15 11/20 NA 1 NA NA 5    
11   5/15 10/20 NA   NA NA 4   10
12   4/15 9/20 NA   NA NA 3   9
13   3/15 8/20 NA   NA NA 2 12 8
14   2/15 7/20 NA   NA NA 1 11 7
15   1/15 6/20 NA   NA NA 0 10 6
16     5/20 NA   NA NA     5
17     4/20 NA   NA NA     4
18     3/20 NA   NA NA     3
19     2/20 NA   NA NA     2
20     1/20 NA   NA NA     1

 

^The multiples are given in terms of fractions or whole numbers for making it easy for the Policyholder to understand.

The fractions would be rounded to 2 decimal points for death benefit calculation.

The Additional Shield Cover will not be given in case of Reduced Paid-Up policies.

 

12. What is the Premium payable?

Premium payable would depend on the band basis the chosen Base Sum Assured.

The following five Base Sum Assured Bands are applicable under this Plan:

 

Band 1 500,000 - 850,000
Band 2 850,001- 12,50,000
Band 3 12,50,001 - 25,00,000
Band 4 25,00,001 - 50,00,000
Band 5 50,00,001 and Above

 

Modes offered and Modal factors:

 

Premium Modes Factors
Annual 1
Monthly 0.09

 

Single Mode of Premium Payment is allowed with modal factor 1

 

13. Can Loans be availed against DHFL Pramerica TruShield Plan?

Loan facility is not available under this policy.

 

14. Are Riders available in DHFL Pramerica TruShield Plan?

No

 

15. What happens if customer wants to surrender DHFL Pramerica TruShield policy?

It is always advisable to pay Premiums for the full Premium Payment Term to enjoy maximum benefits under the Policy.
For Limited Pay & Regular policies, any time during the Policy Term while your Policy is in effect and Premium for at least first three consecutive Policy years for Premium Payment Term 10 years (and Premium for at least first two consecutive years for Premium Payment Term of 5 or 7 years) has been received in full, you can surrender your Policy.

In case of Single Pay  premium option, the Policy can be surrendered immediately after payment of Single premium.

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 Premium paid (excluding underwriting extra, if any), where X is as defined below in the next page:

 

Percentage of premiums paid (X)
Policy Term 7 10 10 12 15 15 20 10 15 20
Premium Payment Term 7 5 10 12 7 12 10 1 1 1
Policy year Of Surrender
1 N/A N/A N/A N/A N/A N/A N/A 70.0% 70.0% 70.0%
2 30.0% 30.0% N/A N/A 30.0% N/A N/A 73.0% 73.0% 72.0%
3 50.0% 30.0% 30.0% 30.0% 30.0% 30.0% 30.0% 76.0% 73.0% 72.0%
4 55% 50.0% 50.0% 50.0% 50.0% 50.0% 50.0% 79.0% 76.0% 72.0%
5 60% 50.0% 50.0% 50.0% 50.0% 50.0% 50.0% 82.0% 78.0% 74.0%
6 65% 55.0% 55.0% 52.5% 50.0% 50.0% 50.0% 85.0% 80.0% 74.0%
7 70% 55.0% 55.0% 55.0% 50.0% 50.0% 50.0% 88.0% 82.0% 76.0%
8 N/A 60.0% 60.0% 57.5% 55.0% 52.5% 52.5% 90.0% 84.0% 76.0%
9 N/A 65.0% 65.0% 60.0% 55.0% 55.0% 55.0% 90.0% 86.0% 78.0%
10 N/A 70.0% 70.0% 62.5% 55.0% 57.5% 57.5% 100.0% 88.0% 78.0%
11 N/A N/A N/A 65% 60.0% 60.0% 60.0% N/A 90.0% 80.0%
12 N/A N/A N/A 70% 60.0% 62.5% 62.5% N/A 90.0% 80.0%
13 N/A N/A N/A N/A 65.0% 65.0% 65.0% N/A 90.0% 82.0%
14 N/A N/A N/A N/A 65.0% 67.5% 67.5% N/A 92.0% 84.0%
15 N/A N/A N/A N/A 70.0% 70.0% 70.0% N/A 100.0% 86.0%
16 N/A N/A N/A N/A N/A N/A 70.0% N/A N/A 88.0%
17 N/A N/A N/A N/A N/A N/A 70.0% N/A N/A 90.0%
18 N/A N/A N/A N/A N/A N/A 70.0% N/A N/A 90.0%
19 N/A N/A N/A N/A N/A N/A 75.0% N/A N/A 93.0%
20 N/A N/A N/A N/A N/A N/A 75.0% N/A N/A 100.0%


 


(where N/A is not applicable)

 

The Special Surrender Value is not guaranteed and may change depending upon the prevailing market conditions subject to prior approval of IRDAI. Please contact the Company for further details in this regard. The Policy shall terminate on payment of Surrender Value and all rights, benefits and interests under this Policy shall cease

 

16. What happens if the Policyholder is unable to pay Premium?

For Policy with Premium Payment Term less than 10 years:

If the Policyholder discontinues the Premium Payment before paying Premium for at least first two consecutive Policy years in full, the Policy will lapse at the expiry of the grace period. Such lapsed policies can be revived within a period of two years from the date of first unpaid Premium but before Maturity Date by paying all due Premiums with interest subject to Company’s Underwriting Policy.

 

If the Policyholder decides not to pay any further Premiums after paying Premium for at least two consecutive years in full, the Policy will be converted into a Reduced Paid-Up Policy after the expiry of the Grace Period with reduced benefits as mentioned under Reduced Paid-Up section. The Policyholder also has an option to surrender a Reduced Paid-Up policy to receive an immediate benefit.

 

For Policy with Premium Payment Term greater than or equal to 10 years:

If the Policyholder discontinues the Premium Payment before paying Premium for at least first three consecutive Policy years in full, the Policy will lapse at the expiry of the grace period. Such lapsed policies can be revived within a period of two years from the date of first unpaid Premium but before Maturity Date by paying all due premiums with interest subject to Company’s underwriting policy.

 

If the Policyholder decides not to pay any further Premiums after paying Premium for at least three consecutive years as applicable in full, the Policy will be converted into a Reduced Paid-Up Policy after the expiry of the Grace Period with reduced benefits as mentioned under Reduced Paid-Up section. The Policyholder also has the option to surrender a Reduced Paid-Up Policy to receive an immediate benefit.

 

Reduced Paid-Up:

To enjoy full benefits under the policy, the Reduced Paid-Up Policy can be revived within a period of two years from the date of first unpaid Premium but before Maturity Date by paying all due Premiums with interest subject to underwriting policy.

 

Death:

If the Life Insured dies at any time before the Maturity Date while the Policy is in Reduced Paid-Up status, then the Company will pay following benefits to the Nominee:

 

T (divided by) N (multiplied by) Death Sum Assured Where: T = Number of premiums paid, N = Number of premiums payable under the policy

 

Maturity:

On survival of Life Insured to Maturity Date of the reduced paid up Policy, the Company will pay the Policyholder an amount equal to

 

T (divided by) N (multiplied by) Maturity Sum Assured

Where:

T = Number of premiums paid

N = Number of premiums payable under the policy

 

Surrender:

Upon Surrender, higher of Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV), as defined above, would be payable

 

Early Termination Value for policies which have not acquired Surrender Value

If a Policy has not acquired Surrender Value due to nonpayment of Premiums, the Company would pay the following amount (%Premium paid*) on subsequent death or on the expiry of revival period or immediately on receiving a written request from the Policyholder, whichever is earlier.

 

Number of Complete Years Premium Paid Premium Payment Term
5 Years 7 Years 10 Years 12 Years
1 15% 0% 0% 0%
2 Not applicable, as the policy has already acquired a Surrender Value 30% 30%

 

*Premium paid for this purpose is premium exclusive of any underwriting extras.

 

17. Can a lapsed/reduced paid-up policy be revived at a later stage?

  • Revival of a policy is available up to 2 years from the date of first unpaid premium.
  • Payment of all unpaid premiums with applicable interest is required to revive the Policy in all cases.
  • Upon revival of the Policy, the Policyholder will become entitled to all the Policy benefits as per the terms and conditions of the Policy.
  • Revival of the Policy is subject to underwriting policy of the Company as applicable from time to time.

 

18. What is the Grace Period in DHFL Pramerica TruShield policy?

A grace period of 30 days is allowed for payment of premiums under this Plan. If death happens during grace period, the Company will pay the applicable death benefit after deducting outstanding Premiums, if any.

 

19. What if the Policy Holder wants to cancel the policy since he/she does not agree with the terms and conditions mentioned in the policy?

He/she 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 bond to review the terms and conditions of the Policy and where he/she disagrees to any of these terms and conditions, he/she has an option to return the policy stating the reasons for objection. On receipt of the letter along with the policy bond, the Company will refund the premiums paid, subject to the deduction of proportionate risk premium for the period of risk cover and any expenses incurred by the Company on insurance stamp duty and medical examination.

 

*Distance Marketing includes every activity of solicitation (including lead generation) and sale of insurance products through the following modes:

  • Voice mode, which includes telephone calling
  • Short messaging services (SMS)
  • Electronic mode which includes e-mail, internet and interactive television (DTH)
  • Physical mode which direct postal mail and newspaper & magazine inserts;
  • Solicitation through any mean of communication other than in person

 

20. What are the tax benefits available under the DHFL Pramerica TruShield Plan?

Tax benefits may be applicable as per prevailing tax laws. Tax laws are subject to change. Customers should consult their Tax advisors for details.

 

21. What happens in case of suicide under the DHFL Pramerica TruShield Plan?

If death occurs due to suicide, whether sane or insane, within twelve months of the Date of Commencement of Risk 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 as on date of death, if any.