Shriram Life Cashback Term Plan Calculator

Shriram Life Cashback Term Plan Calculator

Shriram Life Cashback Term Plan is a term insurance plan with a twist: instead of paying nothing back if you survive the term (like a plain term plan), it returns periodic cashback payouts - a fixed percentage of your Sum Assured - every few years while the policy runs, and pays back the remaining premiums at maturity. Crucially, if death occurs at any point during the term, the plan still pays the full Sum Assured, undiminished by any cashback already received. This calculator projects your premiums, the cashback schedule, the maturity payout, and the death benefit.

How the Benefit Is Calculated

Annual Premium

$$\text{Annual Premium} = \frac{\text{Sum Assured}}{1000} \times \text{Tabular Rate} \times (1 - \text{Rebate})$$

The Tabular Rate (₹ per ₹1,000 of Sum Assured) combines a mortality component that rises with Age at Entry, a loading for the Cashback Percentage you choose (a higher periodic payout costs more), and a small loading for longer Policy Terms (more payouts to fund over time). Larger policies earn a High Sum Assured Rebate: 2% for a Sum Assured of ₹50,00,000 and above, 5% for ₹1,00,00,000 and above. Premiums are payable for the entire Policy Term - unlike a limited-pay endowment plan, there is no separate shorter Premium Payment Term.

Cashback Schedule

$$\text{Cashback per Payout} = \text{Sum Assured} \times \frac{\text{Cashback \%}}{100}$$

A cashback payout is made every 5 policy years (excluding the final year, which is the maturity payout instead) - so a 20-year policy pays cashback at years 5, 10, and 15, with the maturity benefit paid at year 20.

Maturity Benefit

$$\text{Maturity Benefit} = \text{Total Premiums Paid} - \text{Total Cashback Already Paid}$$

If you survive the full Policy Term, the plan returns your total premiums paid over the term, net of the cashback payouts you already received along the way - so the cashback effectively arrives early rather than being an extra benefit on top of a full premium refund.

Death Benefit

$$\text{Death Benefit} = \max(\text{Sum Assured},\ 10 \times \text{Annual Premium})$$

If death occurs at any time during the Policy Term, the nominee receives the full Death Benefit - not reduced by any cashback instalments already paid out to the policyholder.

How to Use This Calculator

1. Enter your Age at Entry.
2. Enter the Sum Assured you want covered.
3. Choose the Policy Term.
4. Choose the Cashback Percentage paid out at each interval.
5. Choose your Premium Payment Mode - Yearly, Half-Yearly, Quarterly, or Monthly.
6. Submit to see your premium amounts, the full cashback payout schedule, the total premium refunded at maturity, and the death benefit.

Worked Example

A 30-year-old choosing a Sum Assured of ₹50,00,000 over a 20-year Policy Term, a 5% Cashback Percentage, paying Yearly:

• Approx. Annual Premium: around ₹22,500 (illustrative), payable for all 20 years
• Total Premium Payable: approximately ₹4,50,000
• Cashback per Payout: ₹2,50,000 (5% of Sum Assured), paid at years 5, 10, and 15 - Total Cashback Paid: ₹7,50,000
• Maturity Benefit: since cashback already paid (₹7,50,000) exceeds total premiums in this illustrative example, the maturity payout floors at ₹0 - the cashback effectively front-loaded the premium refund
• Death Benefit: ₹50,00,000 (the Sum Assured), undiminished by any cashback already paid, payable at any point during the term

Important Notes

• Illustrative, not official. The premium rates and loadings used here approximate the general shape of Indian cashback/money-back term insurance pricing - they are not a reproduction of Shriram Life Insurance's official rate tables, which vary by underwriting and are set at the insurer's discretion.
• Tax benefits may be available on premiums under Section 80C and on the maturity/death benefit under Section 10(10D) of the Income Tax Act, subject to conditions in force at the time.
• This calculator is for educational illustration only and does not constitute financial or insurance advice. Refer to the official Shriram Life Cashback Term Plan policy document and benefit illustration before making any purchase decision.