Guidelines on Standard Individual Term Life Insurance Product, “Saral Jeeva

Page 1 of 13 Annexure 1 to Circular IRDAI/Life/Cir/Misc/254/10/2020 dated 14/10/2020 <Life Insurance Company Name> Registration Number:<Regn. No.> <Insurer’s name> Saral Jeevan Bima (UIN:_________) A Non-Linked Non-participating Individual Pure Risk Premium Life Insurance Plan PART A <Welcome Letter, Preamble and Schedule> Part – B: Definitions: The definitions of terms/words used in the Policy Document are as under: 1. Age is the age of the Life Assured on the last birthday at the time of commencement of the policy. 2. Annualized Premium is the total amount of premium payable in a policy year excluding taxes, rider premiums, underwriting extra premiums and loadings for modal premiums, if any. 3. Appointee is the person to whom the proceeds/benefits secured under the Policy are payable if the benefit becomes payable to the nominee and nominee is minor as on the date of claim payment. 4. Assignee is the person to whom the rights and benefits are transferred by virtue of an Assignment. 5. Assignment is the process of transferring the rights and benefits to an “Assignee,” in accordance with the provisions of Section 38 of Insurance Act, 1938, as amended from time to time. 6. Assignor means the person who transfers the rights of the life insurance policy to the Assignee. 7. Base Policy is that part of the Policy referring to basic benefit (benefits referred to in this Policy Document excluding benefits covered under Rider(s), if opted for). 8. Basic Sum Assured means the amount specified in the Schedule as opted by the Policyholder at the time of taking the policy. 9. Beneficiary/Claimant means the person who is entitled to receive benefits under this Policy. The Beneficiary may be Life Assured or Policyholder or his Assignee or Nominees or proved Executors or Administrators or other Legal Representatives as the case may be. 10. Business Day or Working Day means the day on which the offices of the Company remain open for transactions with the public at the place where the concerned transaction is to be carried out. 11. Company or Corporation means <Insurer Name>. Page 2 of 13 12. Date of commencement of policy is the start date of this Policy. 13. Date of commencement of risk is the date on which the Company accepts the risk for insurance (cover) as evidenced in the schedule of the policy. 14. Date of issuance of policy means the date as specified in the policy schedule. 15. Date of Maturity means the date specified in the Schedule on which the Policy Term is completed. 16. Death Benefit means the benefit, agreed at the commencement of the contract, and means the amount as specified in the policy bond and is payable on death of Life Assured as per the terms and conditions of the policy. 17. Discharge form is the form to be filled by policyholder/claimant to claim the death benefit/refund under the policy. 18. Due Date (applicable in case of Regular Premium / Limited Premium payment) means a fixed date on which the policy premium is due and payable by the policyholder. 19. Endorsement means conditions attached/ affixed to this Policy incorporating any amendments or modifications agreed to or issued by the Company. 20. Free Look Period is the period of 15 days (30 days if the Policy is an electronic policy or is purchased through Distance Marketing where distance marketing means through any means of communication other than in person) from the date of receipt of the Policy Document by the Policyholder to review the terms and conditions of this policy and where the Policyholder disagrees to any of those terms and conditions, he/ she has the option to return this policy as detailed in Condition 2 of Part D of this Policy Document. 21. Grace period is the time granted by the insurer from the due date for the payment of premium, without any penalty/ late fee, during which time the policy is considered to be inforce with the insurance cover without any interruption as per the terms of the policy. 22. Inforce policy means a policy in which all the due premiums have been paid and the premiums are not outstanding. 23. IRDAI / Authority means Insurance Regulatory and Development Authority of India. 24. Lapse is the status of the Policy when due premium is not paid within the grace period and the benefits under the Policy will cease from the date of such unpaid premium. 25. Life Assured is the person on whose life the insurance cover has been accepted. 26. Material information is the information already known to the Life Assured at the time of applying for Life Insurance, which has a bearing on underwriting of the proposal /Policy submitted. 27. Nomination is the process of nominating a person(s) in accordance with provisions of Section 39 of the Insurance Act, 1938 as amended from time to time. 28. Nominee(s) means the person(s) nominated by the Policyholder (who is also the Life Assured) under this Policy who is(are) authorised to receive the claim benefit payable under this Policy. 29. Non-Participating means the Policy is not eligible for share of profit depending upon the Company’s experience. 30. Policy Anniversary means one year from the date of commencement of the Policy Page 3 of 13 and the same date falling each year thereafter, till the date of maturity. 31. Policy Cancellation means complete withdrawal or termination of the entire policy before the stipulated date of maturity. 32. Policy Cancellation Value means an amount, if any, that becomes payable in case of cancellation in accordance with the terms and conditions of this policy. 33. Policy/ Policy Document means this document along with endorsements, if any, issued by the Company which evidences the contract of Insurance between the policyholder and the Company. 34. Policyholder is the legal owner of this policy. 35. Policy term is the period, in years, as chosen by the policyholder and mentioned in the Schedule, commencing from the Date of commencement of policy to the date of Maturity. 36. Policy year is the period between two consecutive policy anniversaries. This period includes the first day and excludes the next policy anniversary day. 37. Premium is the contractual amount payable by the Policyholder at specified times periodically as mentioned in the schedule of this Policy Document to secure the benefits under the policy. The premium payable will be “Total Single / Instalment Premium” which includes single / instalment Premium for Base Policy and instalment Premium for Rider(s), if rider(s) has/have been opted for. The term ‘Premium’ used anywhere in this Policy Document does not include any taxes which are payable separately. 38. Premium paying term means the period, in years, during which premium is payable. 39. Proof of continued insurability is the information that may be sought from the policyholder to decide revival of the policy. This includes Form of declaration of Good Health, Medical Reports, Special Reports and any such document as may be called for by the Company, in accordance with the Board Approved Underwriting Policy of the Company. 40. Proposer is a person who proposes the life insurance proposal. 41. Revival of a policy means restoration of a lapsed policy which was discontinued due to the non-payment of premium, by the insurer with all the benefits mentioned in the policy document, with or without rider benefits if any, upon the receipt of all the premiums due and other charges/late fee, if any, as per the terms and conditions of the policy, upon being satisfied as to the continued insurability of the insured/ policyholder on the basis of the information, documents and reports furnished by the policyholder, in accordance with the then existing Board Approved Underwriting Policy of the Company. 42. Revival Period means the period of five consecutive years from the due date of first unpaid premium or as is allowed under applicable Product Regulations, during which period the policyholder is entitled to revive the policy which was discontinued due to the non-payment of premium. 43. Rider is an add-on benefit which the Proposer has purchased separately in addition to basic benefits as specified under this Policy Document. 44. Rider Premium is the premium payable by the policyholder which is in addition to the premium paid under Base Policy towards the additional cover/benefit opted under the rider, if opted. 45. Rider Sum Assured is the assured amount payable on happening of a specified