Shriram Life Online Term Plan Calculator

Shriram Life Online Term Plan Calculator

Shriram Life Online Term Plan is a pure protection term insurance plan bought directly online. Because there is no agent commission built into an online policy, premiums are typically lower than an equivalent offline term plan for the same cover. Unlike a cashback or money-back plan, a pure term plan pays nothing back if the life assured survives the Policy Term - the entire premium goes toward funding the death benefit. This calculator projects your premium (including GST), the death benefit under a Level or Increasing Cover option, and how that cover changes over the term.

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 gender adjustment (female lives are priced lower than male lives, actuarially), a smoker loading (smokers pay a higher rate to reflect higher mortality risk), and a loading for the Increasing Cover option, if chosen. 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.

Goods and Services Tax (GST)

$$\text{Total Premium Payable} = \text{Annual Premium} \times (1 + 18\%)$$

Life insurance premiums in India attract 18% GST, added on top of the base tabular premium. The amount you actually pay each installment is the GST-inclusive figure.

Death Benefit - Level vs. Increasing Cover

Under Level Cover, the Sum Assured stays fixed for the entire Policy Term. Under Increasing Cover, the Sum Assured steps up by 5% every 5 policy years (capped at 2x the original Sum Assured), helping the cover keep pace with inflation and rising financial responsibilities:

$$\text{Sum Assured at Year } n = \min\left(\text{Sum Assured} \times \left(1 + 0.05 \times \left\lfloor \frac{n}{5} \right\rfloor\right),\ 2 \times \text{Sum Assured}\right)$$

No Maturity Benefit

This is the defining trait of a pure term plan: if the life assured survives the full Policy Term, the policy simply lapses at the end of the term with no payout - all the premium paid over the years funded the protection, not a savings component. This is why pure term plans are dramatically cheaper than cashback, money-back, or endowment plans for the same Sum Assured.

How to Use This Calculator

1. Enter your Age at Entry.
2. Choose your Gender.
3. Choose your Smoking Status.
4. Enter the Sum Assured you want covered.
5. Choose the Policy Term.
6. Choose the Cover Option - Level or Increasing.
7. Choose your Premium Payment Mode - Yearly, Half-Yearly, Quarterly, or Monthly.
8. Submit to see your GST-inclusive premium, the total premium payable over the term, and the death benefit schedule.

Worked Example

A 30-year-old non-smoking male choosing a Sum Assured of ₹1,00,00,000 over a 20-year Policy Term with Level Cover, paying Yearly:

• Approx. Annual Premium (before GST): around ₹13,300 (illustrative)
• GST (18%): around ₹2,400
• Total Premium per Year (with GST): around ₹15,700
• Total Premium Payable over 20 years: approximately ₹3,14,000
• Death Benefit: a constant ₹1,00,00,000 throughout the term, payable to the nominee if death occurs at any point
• Maturity Benefit: none - if the policyholder survives to the end of the 20-year term, the policy ends with no payout

Important Notes

• Illustrative, not official. The premium rates, gender/smoker loadings, and GST treatment used here approximate the general shape of Indian online term insurance pricing - they are not a reproduction of Shriram Life Insurance's official rate tables, which vary by underwriting, medical tests, and other factors, and are set at the insurer's discretion.
• Tax benefits may be available on premiums under Section 80C and on the 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 Online Term Plan policy document and benefit illustration before making any purchase decision.