Postal Life Insurance (PLI) is a life insurance scheme run by the government of India. It offers various policies to provide financial security to policyholders and their families.
As a government-backed insurance scheme, PLI offers various benefits to its policyholders, making it an ideal choice for those seeking financial security for themselves and their families.
It is one of India’s most reliable insurance schemes, with many satisfied customers. The scheme was launched in 1884 to cater to the life insurance needs of government employees.
PLI now covers employees of Central & State Governments, Defence and Para-Military Services, Public Sector Undertakings, Banks, Educational Institutions, Local Bodies, professionals (such as doctors, engineers, chartered accountants, MBAs, lawyers, etc.) and employees of companies listed with National Stock Exchange (NSE) / Bombay Stock Exchange (BSE).
Eligibility criteria for Postal Life Insurance
PLI is a life insurance scheme offered by the Indian Postal Service. To be eligible for PLI, an individual must fulfil the following criteria:
- The individual must be a citizen of India.
- The individual must be an employee of the postal department.
- Must be an employee of the Indian Postal Service, including the Department of Posts, Gramin Dak Sevaks (GDS), and other employees of the Postal Department.
- Must be an Armed Forces member, including Army, Navy, and Air Force.
- Must be a Central or State Government member or a local body or autonomous body, such as a university or public sector undertaking.
- Must be an employee of a scheduled bank, a financial institution, or a public sector company.
- Must be a professional, such as a doctor, engineer, or lawyer, with a professional degree registered with the relevant regulatory body.
- Must be a member of a cooperative society or a credit society recognized by the government.
- Must be someone who has taken a loan from a bank or financial institution to purchase a residential property.
- Must be a spouse or dependent child of an eligible individual.
| Name of the Insurance | Postal Life Insurance |
|---|---|
| Title | Check the Post office PLI details |
| Subject | Indian Postal Service introduced PLI Policy |
| Category | Insurance |
| India Post Website | https://www.indiapost.gov.in/ |
| PLI Website | India Post PLI Insurance Website |
Types of Postal Life Insurance
These policies cater to the diverse needs of people of different age groups and income levels. The PLI policies (Saving Schemes) are Endowment Assurance, Whole Life Assurance, Joint Life Assurance, Convertible Whole Life Assurance, and Annuity.
Several types of postal life insurance policies are available to suit the different needs of policyholders. Let’s take a closer look at some of these policies:
PLI Suraksha
Whole Life Assurance (Suraksha): This policy provides life insurance coverage for the policyholder’s entire lifetime.
The premium payments for this policy are made for a specified period, and the policyholder can receive the sum assured and bonus on maturity or to their nominee in case of death.
PLI Santosh
Endowment Assurance (Santosh): This policy provides life insurance coverage and savings. The premium payments are made for a specified period, and the policyholder can receive the sum assured and bonus on maturity or to their nominee in case of death.
PLI Suvidha
Convertible Whole Life Assurance (Suvidha): This policy provides life insurance coverage for the policyholder’s entire lifetime.
The premium payments for this policy are made for a specified period, and the policyholder can convert the policy to Endowment Assurance during the premium-paying term.
PLI Sumangal
Anticipated Endowment Assurance (Sumangal): This policy provides life insurance coverage and savings. The premium payments are made for a specified period, and the policyholder can receive a percentage of the sum assured at specified intervals during the policy term.
PLI Yugal Suraksha
Joint Life Assurance (Yugal Suraksha): This policy provides life insurance coverage for two individuals under a single policy.
The premium payments for this policy are made for a specified period, and the policyholder can receive the sum assured and bonus on maturity or to their nominee in case of death of either of the insured individuals
PLI Bal Jeevan Bima
Children’s Life Insurance (Bal Jeevan Bima): This type of policy provides coverage for your children in the event of their death. It can also help cover the funeral costs or other final expenses.
Accidental Death and Dismemberment Insurance: This type of policy provides coverage in the event of an accidental death or dismemberment. It can help provide financial security for you and your family in a tragic accident.
Each policy has unique features and benefits, making it easier for individuals to choose one that best suits their needs.
Benefits of PLI
- High Sum Assured: PLI offers a high sum assured to its policyholders. The sum assured depends on the premium paid and the policyholder’s age. It can be up to Rs. 50 lakhs.
- Low Premiums: Compared to other insurance schemes, PLI offers low premiums. The premium is calculated based on the policyholder’s age and sum assured.
- Guaranteed Returns: PLI offers guaranteed returns on investment. The returns are calculated based on the sum assured, premium paid, and policy duration.
- Tax Benefits: PLI offers tax benefits under Section 80C of the Income Tax Act. The premiums paid towards the policy are eligible for tax deductions.
- Long-term Savings: PLI policies help policyholders save for their families’ long-term financial needs. The policies offer guaranteed returns, making them a safe investment option.
- Life Cover: PLI policies also offer life cover, which provides financial security to the policyholder’s family in case of the policyholder’s unfortunate demise.
Coverage Options of PLI
PLI offers a variety of coverage options and benefits to meet the unique needs of postal employees and their families. Our policies offer:
- Flexible Coverage Options: We understand that your life insurance needs may change over time, so we offer flexible coverage options tailored to your changing needs.
- Guaranteed Acceptance: Our policies are available to all postal employees and their families, regardless of their health or medical history. We offer guaranteed acceptance for many of our policies, so you can get the coverage you need without worrying about medical exams or health screenings.
- Quick and Easy Claims Process: In the event of a claim, our experienced agents will work with you to expedite the process and ensure that you receive the benefits you are entitled to as quickly as possible.
- Additional Benefits: Some of our policies offer additional benefits, such as accidental death and dismemberment coverage, waiver of premium in the event of disability, and accelerated death benefits in the event of a terminal illness.
Features of Postal Life Insurance
- Simple Application Process: The application process for PLI is simple and hassle-free. The policy can be applied through the official website or by visiting the nearest post office.
- Flexible Premium Payment: PLI offers flexible premium payment options. The premium can be paid annually, half-yearly, quarterly, or monthly.
- Multiple Plans: PLI offers multiple plans to choose from, designed to cater to the diverse needs of policyholders.
- Nomination Facility: PLI offers its policyholders a nomination facility. The policyholder can nominate a person to receive the policy’s benefits in case of their demise.
Why Choose Postal Life Insurance?
When it comes to life insurance, you have many options. However, not all policies are created equal. Postal Life Insurance stands out from the competition for several reasons, including:
Tailored Policies: We understand that no two families are alike, and everyone’s life insurance needs are different. That’s why we offer policies tailored to your unique situation. Our experienced agents will work with you to create a plan that meets your needs and budget.
Affordable Rates: Everyone deserves access to quality life insurance, regardless of budget. That’s why we offer some of the most competitive rates in the industry. Our policies are designed to provide comprehensive coverage at a price you can afford.
Excellent Customer Service: At PLI, we put our customers first. Our knowledgeable agents can answer any questions and help you choose the right policy for your needs. We strive to provide excellent customer service and support throughout the life of your policy.
Things to Consider Before Choosing a PLI Policy
Before choosing a postal life insurance policy, consider the following: Your Age: PLI policies have age restrictions.
The minimum age to apply for a PLI policy is 19, and the maximum age is 55. So, before choosing a policy, check if you can apply for it.
Your Budget: PLI policies offer coverage at affordable premiums. However, it is best to choose a policy that fits your budget and financial goals.
Policy Benefits: Each PLI policy offers different benefits. It would be best to choose a policy that offers benefits relevant to your needs.
Claim Settlement Ratio: Before choosing a PLI policy, you should check the company’s claim settlement ratio. This will give you an idea of how efficient the company is in settling claims.
Bonus Declaration: PLI policies offer bonuses to their policyholders. Before choosing a policy, you should check the company’s bonus declaration history.
Check the steps before applying for PLI
The following steps must be taken to apply for PLI: Eligibility Criteria Check if you are eligible for PLI. Any Indian citizen between 19 and 55 years of age can apply for the scheme. Documents Required: You will need to submit the following documents to apply for PLI:
- ID proof
- Address proof
- Age proof
- Passport-sized photographs
Premium Payment Modes: Choose the premium payment mode that is convenient for you. PLI offers various premium payment modes such as monthly, quarterly, half-yearly, or yearly.
Online Application Process: Visit the official PLI website and complete the application form. Submit the required documents and pay the premium online. Once the application is processed, you will receive the policy documents.
How to Apply for Postal Life Insurance
Postal Life Insurance is an excellent insurance scheme for India’s postal employees. It offers a high sum assured, low premiums, guaranteed returns, tax benefits, and flexible premium payment options. The application process is simple and hassle-free, and the policyholder can choose from multiple plans. Here’s how you can apply for a policy:
1. Visit the Official Website
The first step in applying for postal life insurance is to visit the official website of PLI. The website provides all the necessary information about the insurance scheme.
2. Choose the Plan
The next step is to choose the plan that suits your needs. PLI offers multiple plans to choose from.
3. Fill the Application Form
After choosing the plan, complete the application form with all the necessary details.
4. Pay the Premium
The final step is to pay the premium for the chosen plan. The premium can be paid online or by visiting the nearest post office.
Claim Process for Postal Life Insurance
To claim PLI, the following steps need to be taken: Types of Claims There are two types of claims: Maturity Claims and Death Claims. A Maturity Claim occurs when the policy matures, and the policyholder receives the maturity amount. A Death Claim occurs when the policyholder passes away, and the family receives the death benefit.
Documents Required To claim PLI, the following documents are required:
- Claim form
- Original policy document
- Death certificate (in case of death claim)
- Identity proof of the nominee
- Bank details of the nominee
Claim Settlement Process: Submit the required documents and the claim form to the nearest Post Office. The Post Office will process the claim, and the claim amount will be transferred to the nominee’s bank account.
PLI vs Private Insurance
Postal Life Insurance and private insurance have their advantages and disadvantages. Some of the key differences between the two are:
- Comparison of Features: PLI policies have limited features compared to private insurance policies.
- Premium Rates: PLI policies’ premium rates are lower than those of private insurance policies.
- Claim Settlement Ratio: PLI’s claim settlement ratio is higher than that of private insurance companies.
How to Purchase Postal Life Insurance?
Purchasing postal life insurance is simple. The interested individual can visit any post office and fill out the necessary forms to apply for the policy.
The applicant must provide their personal and health information, including age, occupation, and medical history. The policy premium is calculated based on this information.
Once the application is submitted, a medical examination may be required to determine the individual’s health status. After the medical examination, the policy will be issued, and the policyholder must pay the premium regularly to keep it in force.