HDFC Life Group Traditional Secure Plan

For Non Superannuation Schemes –
A sum of Rs. 5,000 will be paid by the company to the trustees/ beneficiary from the policy account value² subject to a maximum of 10% of the policy account value² at the start of the financial year.

For Superannuation schemes –
Benefit is in accordance with scheme rules of the employer payable from the policy account value² subject to a maximum of 10% of the same at the start of the Financial Year or the assured benefit³.

On payment of death benefit, all benefit in respect of the member will cease.

At the end of specified period⁵ the Master policyholders shall have the following three options:

Option 1 (Default option): If the Master Policyholders has an existing traditional policy (HDFC SL Group Traditional Plan), the maturity/vesting amount should be transferred into that and in this case the tranche⁴ will be closed.

Option 2: The Master Policyholders can choose to reinvest the maturity/vesting amount in a new tranche⁴ of its choice at existing interest rates at that time. In this case the policy will continue with a new tranche⁴ created.

Option 3: The Master Policyholders can choose to withdraw the entire maturity/vesting amount. Once this benefit is paid, the existing tranche⁴ will be closed.

At maturity/vesting of a tranche⁴, all benefits in respect of the member associated to that tranche³ will cease and there shall be no further benefit payable.

The surrender benefit shall be the master policy account value less surrender charge as per the prevailing regulations less Market Value Adjustment (MVA) charge. The surrender charges as per current regulations are 0.05 percent of the master policy account value with a maximum of Rupees Five Lakhs if the policy is surrendered within third annual renewal of the policy, nil otherwise.

On surrender of the policy all rights, benefits and interests under the Policy shall be terminated.

Surrender can be executed on tranche⁴ level and interest needs to be accumulated on pro-rata basis for that financial year.

For more information on Market Value Adjustment (MVA) charge, please refer the brochure.