Shriram New Shri Life Plan Calculator

Shriram New Shri Life Plan Calculator

Shriram New Shri Life Plan is a participating (with-profits), limited premium payment whole life / endowment plan from Shriram Life Insurance. Its defining feature is that you only pay premiums for the first half of the Policy Term (rounded up) - once the Premium Payment Term ends, the cover continues uninterrupted until maturity with nothing more to pay. Along the way, the plan earns a yearly Simple Reversionary Bonus declared as a percentage of the Sum Assured, and - if the policy runs its full term - a one-time Terminal Bonus on top. This calculator projects your premiums, accrued bonuses, and the resulting maturity or death benefit.

How the Benefit Is Calculated

Premium Payment Term

$$\text{Premium Payment Term} = \lceil \text{Policy Term} / 2 \rceil$$

So a 15-year policy is paid up in 8 years; a 20-year policy is paid up in 10 years - the cover continues for the remaining years with no further premium due.

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 savings component that shrinks as the Premium Payment Term lengthens with a mortality component that rises with your Age at Entry. Larger policies earn a High Sum Assured Rebate on this rate: 2% for a Sum Assured of ₹5,00,000 and above, and 5% for ₹10,00,000 and above.

Reversionary and Terminal Bonus

$$\text{Accrued Reversionary Bonus (Year } t\text{)} = t \times \frac{\text{Sum Assured}}{1000} \times \text{Bonus Rate}$$

An illustrative Simple Reversionary Bonus rate of ₹45 per ₹1,000 of Sum Assured is credited every completed policy year and accumulates until maturity or earlier death. If the policy runs its full term, a one-time Terminal Bonus is added: ₹400 per ₹1,000 of Sum Assured for terms of 15-19 years, and ₹700 per ₹1,000 for terms of 20 years or more. Shorter terms don't qualify for a Terminal Bonus.

Maturity Benefit

$$\text{Maturity Benefit} = \text{Sum Assured} + \text{Total Accrued Bonus} + \text{Terminal Bonus}$$

Death Benefit

If death occurs before maturity, the plan pays the higher of the Sum Assured, 10 times the Annual Premium, or 105% of premiums paid to date - plus whatever Reversionary Bonus (and Terminal Bonus, if the full term had already elapsed) had accrued by that point.

How to Use This Calculator

1. Enter your Age at Entry.
2. Enter the Sum Assured you want.
3. Choose the Policy Term - the Premium Payment Term (half the Policy Term) is derived automatically.
4. Choose your Premium Payment Mode - Yearly, Half-Yearly, Quarterly, or Monthly.
5. Choose whether to add the Accident Benefit Rider.
6. Submit to see your Premium Payment Term, premium amounts, guaranteed minimum death benefit, total accrued bonus, terminal bonus, total maturity benefit, and a year-by-year benefit schedule.

Worked Example

A 35-year-old choosing a Sum Assured of ₹10,00,000 over a 20-year Policy Term, paying Yearly, with no rider:

• Premium Payment Term: 10 years (half of 20)
• High Sum Assured Rebate: 5% (Sum Assured is ₹10,00,000 or more)
• Approx. Annual Premium: around ₹62,650 (illustrative, payable for 10 years only)
• Total Accrued Reversionary Bonus at Maturity: ₹9,00,000 (20 years x ₹45 per ₹1,000 x ₹10,00,000 Sum Assured / 1000)
• Terminal Bonus: ₹3,50,000 (20-year term qualifies for the higher rate)
• Total Maturity Benefit: approximately ₹22,50,000 (Sum Assured + accrued bonus + terminal bonus)

Important Notes

• Illustrative, not official. The premium rates, bonus rates, and terminal bonus rates used here approximate the general shape of Indian participating limited-premium whole life pricing - they are not a reproduction of Shriram Life Insurance's official rate tables or bonus declarations, which vary by year and are declared at the insurer's discretion.
• Bonuses are not guaranteed. Reversionary and Terminal Bonuses depend on the insurer's actual investment and mortality experience each year - past or assumed rates are not a promise of future bonus declarations.
• Rider premiums are indicative and illustrated only for the Accident Benefit Rider; the plan offers additional riders not modeled here.
• 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 New Shri Life Plan policy document and benefit illustration before making any purchase decision.