Canara HSBC Life Insurance’s New Policy With One-Time Premium Payment Option

Named Guaranteed One Pay Advantage, this policy has been designed keeping in mind hassle-free and one-time premium payment option for a non-linked non-participating savings-oriented insurance plan
Canara HSBC Life Insurance’s New Policy With One-Time Premium Payment Option

Canara HSBC Life Insurance has introduced a new life insurance policy with guaranteed maturity benefit and the option of a one-time premium payment facility.

Named as the ‘Guaranteed One Pay Advantage (GOPA)’ plan, it is a non-linked and non-participating plan centred on individual savings, the company announced in a press release. The policy term is for five, seven and 10 years, respectively.

According to the insurer, this plan has been designed to cater to the needs of those individuals who are looking for a hassle-free and one-time savings insurance plan that provides both life cover and maturity benefits to the insured or their family. 

The company said that GOPA will offer two distinct benefits, namely death benefit during the policy term, and maturity benefits after the policy term. 

Buyers can also customise their policy to suit their financial needs, either by single of joint life coverage. 

To begin with, they will have to first choose the policy either on single or joint life basis. Then, they can choose how much they want to contribute towards their goal. This will be their premium. Next, they can choose the policy term. After this, they can choose the life cover. In case of single life, they can choose life cover of 10 times or 1.25 times the single premium. In case of joint life though, they can skip this step as the life coverage is fixed. Lastly, the guaranteed sum assured on maturity in this plan will be determined on the basis of the proposer’s age and the options selected.

The death benefit during the policy term is also designed according to the plan chosen. In case of single life, the sum assured will be paid on the death of the life assured, and the policy will terminate.

In case of joint life, the policy will pay 1.25 times the single premium on the death of either of the lives assured, and policy will continue. On the death of the surviving life assured, the policy will pay the sum assured, after which the policy will terminate.

The minimum age for buying is 13, 11 and 8 years for policy terms of five, seven and 10 years, respectively. The maximum age is 50 years.

The minimum amount for making the single premium is Rs 5 lakh.

The key benefits introduced under the insurance policy are as follows:  

  • Life cover for the entire policy term 

  • Short one-pay premium payment commitment 

  • Flexibility to choose coverage option - either single life or joint life 

  • Freedom to choose life insurance coverage – 1.25 times the single premium or equal to 10, based on the customer’s financial protection needs 

  • Ability to avail of tax benefits under existing tax laws 

The policy will also offer loan facility after it reaches its surrender value. 

“With the introduction of our new offering, we aim to provide our customers a simplified and balanced life insurance product that will empower them to achieve their financial goals irrespective of the prevailing market behaviour. One Pay will allow customers to protect themselves and their families with just one single premium payment,” said Anuj Mathur, managing director and CEO, Canara HSBC Life Insurance. 

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