Postal Life Insurance Premium Calculator

If you have been planning to invest in SIPs, here are a few frequently asked questions that you must take a look at to get a better idea of the investment. Rest assured, these questions will help you in making an informed decision. 

Are you thinking of purchasing a Postal Life Insurance policy, or do you currently have one? Either way, it is essential to have an estimate of the premium so that you can plan your finances accordingly. 

The Postal Life Insurance premium calculator is a vital online tool that can simplify your policy premium calculation. Just by providing some basic information like the type of policy, sum assured and date of birth, the premium can be calculated in no time. This not only makes you aware of your financial commitments but also makes it possible to look at different policy options that suit you. 

Let us further understand how the PLI calculator can be a great help for you!

Postal Life Insurance Premium Calculator

At present, India Post manages around 154,939 branches throughout the nation, encompassing even the most remote areas. While providing diverse services, India Post is renowned for delivering cost-effective premium rates and attractive assured sums for life insurance. The Postal Life Insurance scheme has extended approximately 4.6 million insurance policies, benefiting individuals across the entire expanse of India.

What is Postal Life Insurance?

Postal Life Insurance (PLI) is one of the oldest life insurance schemes in India. It started on 1 February 1884 and was initially intended for postal workers. Later, it extended to many other sections, such as the employees of the Telegraph Department, Central Government, State Government, Defence Services, and even other public sectors. Today, it also includes professionals like doctors, engineers, lawyers and employees of companies listed on the NSE and BSE.

The main objective of the PLI scheme is to make insurance coverage available at a low cost, especially for the rural economy, women workers, and the economically weaker sections of India. PLI has achieved remarkable growth with more than 50 lakh policies in force, becoming a popular and reliable insurance option all over India.

Here are several advantages accessible to policyholders through PLI:

• Alterations and adjustments to policy nominations are feasible.
• Under the Endowment Assurance Plan within PLI, after a policy has been active for a minimum of three years, policyholders are eligible to request a loan using the policy as collateral. The policy must be pledged to the respective Circle Heads.
• For loan procurement purposes, the policy can be assigned to any reputable financial institution.
• Lapsed policies have the potential to be reinstated under PLI.
• In cases where the original policy bond is misplaced, damaged by fire, or torn, a duplicate policy bond can be provided.

What is a Postal Life Insurance Calculator?

A Postal Life Insurance Calculator is a web-based tool that helps a user calculate the expected premium payments of a selected PLI policy. By entering details such as the sum assured, policy term, age of the insured, and the type of policy selected, the calculator gives an estimated premium amount.

For instance, if a 30-year-old individual takes out a ₹10 lakh Whole Life Assurance policy for 25 years, they can quickly enter the exact details in the PLI calculator, and it'll calculate their estimated premium. This tool makes the process easier, thus allowing users to make the right choices even before buying their insurance coverage plan.

Types of Policies Offered under Postal Life Insurance

There are a number of Postal Life Insurance policies that are offered to suit particular financial needs. Here's a breakdown of the main types:

1. Whole Life Assurance (Suraksha): This policy pays out the sum assured and bonus either upon reaching the age of 80 years or in death, whichever comes first, provided the policy is in force. It guarantees that the dependents of the assured will enjoy financial protection even after their death.
2. Convertible Whole Life Assurance (Suvidha): This is a flexible policy which is first availed as Whole Life Assurance; however, the policyholder is permitted to alter it into Endowment Assurance after a period of five years. This gives reasonable options in terms of both protection and savings. 
3. Endowment Assurance (Santosh): Under this policy, the sum assured and bonus are paid when the insured person attains a certain age (35 to 60 years). A good policy for individuals wanting insurance coverage for a certain age while also wishing to save towards something.
4. Joint Life Assurance (Yugal Suraksha): This policy is intended for married couples with a provision for covering both spouses in a single policy but with at least one spouse meeting the eligibility requirements for PLI. It is designed for both savings and life cover.
5. Anticipated Endowment Assurance (Sumangal): Sumangal is a money-back policy designed to provide regular payouts to meet the policyholder's immediate financial needs. In case of the death of the policyholder, the sum assured, along with the bonus, is payable to the beneficiary, irrespective of earlier payouts.
6. Children Policy (Bal Jeevan Bima): It gives coverage for a maximum of two children (5-20 years old) of the policyholder. After the untimely death of the parent, there are no premiums to be paid, thus securing the child's future.

Let's understand the key features of these policies in depth –

Policy Type	Minimum & Maximum Age	Sum Assured	Loan Facility	Surrender Facility	Bonus Rate	Special Features
Whole Life Assurance (Suraksha)	19-55 years	₹ 20,000 - ₹ 50 lac	After 4 years	After 3 years	₹ 76/- per ₹ 1,000/yr	Can be converted to Endowment Assurance, premium paying term can be opted for 55, 58, or 60 years
Convertible Whole Life Assurance (Suvidha)	19-50 years	₹ 20,000 - ₹ 50 lac	After 4 years	After 3 years	₹ 76/- per ₹ 1,000/yr (if not converted)	Option to convert to Endowment Assurance after 5 years
Endowment Assurance (Santosh)	19-55 years	₹ 20,000 - ₹ 50 lac	After 3 years	After 3 years	₹ 52/- per ₹ 1,000/yr	Assurance for a specific maturity age (35-60 years)
Joint Life Assurance (Yugal Suraksha)	21-45 years	₹ 20,000 - ₹ 50 lac	After 3 years	After 3 years	₹ 52/- per ₹ 1,000/yr	Covers both spouses, benefits paid to survivor in case of spouse’s death
Anticipated Endowment Assurance (Sumangal)	19 years (max 40/45 years depending on term)	₹ 20,000 - ₹ 50 lac	No loan	No surrender	₹ 48/- per ₹ 1,000/yr	Money Back Policy with periodic survival benefits
Children Policy (Bal Jeevan Bima)	5-20 years (children); parent max 45 years	₹ 3 lac or equal to parent's sum assured (whichever is less)	No loan	No surrender	₹ 52/- per ₹ 1,000/yr	Covers children of policyholder, no premium on parent’s death, no medical exam for children

How To Use A PLI Calculator?

A Postal Life Insurance (PLI) calculator is very straightforward and fast. Just do the following: 

1. Select Policy Type: Select the type of policy preferred, for example,  Joint Life Assurance, Whole Life Cover, etc.  
2. Enter Date of Birth: Enter the policyholder's date of birth. It'll help in determining the age at which the policy will be effective.
3. Sum Assured: Provide the coverage amount offered by the policy.
4. Click Calculate: Click on the calculate button and get the premium amount calculated instantly.

Benefits Of Using PLI Calculator Online

Using the Postal Life Insurance (PLI) premium calculator offers several benefits that simplify your insurance experience.

• User-Friendly: The calculator is easy to handle and understand as it has a very simple interface.
• Time-Saving: There is no need to worry about complex calculations or even visit a branch. The calculator will give instant results at your convenience.
• Free to Use: This is an online application that does not need any payments or memberships to access.
• Accuracy: The PLI calculator provides you with very accurate estimates of the premium, which is far better than manual calculations.

Details Required To Use Postal Life Insurance Calculator 

In order to calculate your policy premium through PLI calculator, you'll need to provide –

• Policy Type
• Date of Birth of Policyholder
• Sum Assured

Why Use the Postal Life Insurance Premium Calculator?

Utilizing the PLI calculator enables you to acquire a precise projection of the premium associated with your chosen plan. Additionally, as an accessible online resource, it can be employed repeatedly to explore diverse plans and assured sums, gauging premiums for each.

Nevertheless, it is essential to keep in mind that the estimate furnished by the PLI premium calculator serves as an approximation. Thus, the premium amount displayed on the calculator may not precisely match the premium quoted by your insurer.

Factors That Influence PLI Premiums

Many factors help determine the premium of a Postal Life Insurance (PLI) policy: 

• Age of the Insured: This is often due to the nature of the policies and the risks involved. Premiums for younger individuals whose policies have lesser risk are lower, and as one grows older, the age premiums tend to increase.
• Sum Assured: The chosen sum assured directly impacts the premium; higher sum assured amounts result in higher premiums.
• Policy Term: Having more extended policy periods may cut down on the annual premium payable, but this may result in higher total premiums paid throughout the life of the policy.
• Policy Type: Besides the benefits and coverage, there are also variations in the premiums of the different policies.
• Health Condition: Although, in most cases, this is not an issue that PLI will consider, some PLI products will have premiums based on health and medical history.
• Lifestyle Choices: Lifestyle that encourages risky behaviour like smoking and alcohol consumption tend to increase premiums due to the health risks associated with such activities.

Who Should Avail Benefits of Postal Life Insurance (PLI) Calculator?

The Postal Life Insurance (PLI) calculator is an essential tool for people thinking of getting a life insurance policy. It is beneficial for: 

• First-Time Buyers: People unfamiliar with the insurance world can easily get premium estimates and understand the policy better.
• Budget-Conscious Individuals: Those wishing to stay within their budgets may want to use the calculator to look for less costly premium rates.
• Policyholders Evaluating Options: Current policyholders may use a PLI calculator to compare premiums and find out if there are better policies than the ones they currently have in place.

Conclusion

Lastly, the Postal Life Insurance Premium Calculator is an excellent tool for anyone who understands how life insurance works. It helps you to make the right call when it comes to your budget since it allows you to provide premium figures more reliably. 

Use the PLI calculator today to plan a financially stable tomorrow!

FAQs

Frequently Asked Questions

Ques 1. What information do I need to provide to use a PLI calculator?

Ans. You will have to specify the type of policy, the birth date of the insured, and the coverage amount to determine your premium rate.

Ques 2. Is the PLI calculator free to use?

Ans. Of course, the use of the Postal Life Insurance Calculator is free of charge and does not demand subscription fees or any payment at all.

Ques 3. Who can benefit from using the PLI calculator?

Ans. The calculator will be helpful to those who are buying insurance for the first time and who are already insured and want to consider their options within the budget.

Ques 4. What factors influence the PLI premiums?

Ans. Primary determinants consist of the age of the individual being insured, the sum assured, policy duration, type of policy and lifestyle, among others.

Ques 5. Can I use the calculator for any type of PLI policy?

Ans. Indeed, the calculator is flexible and can also be applied to different types of PLI policies such as Whole Life Assurance, Convertible Whole Life Assurance, Endowment Assurance, Joint Life Assurance, Anticipated Endowment Assurance, and Children Policy.