Bandhan Life Shubh Samriddhi Review: Returns, Benefits & IRR Analysis

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Is the Bandhan Life Shubh Samriddhi Plan truly a “shubh” (auspicious) way to build long-term savings — or just another traditional endowment with limited upside?

Does the Bandhan Life Shubh Samriddhi Plan offer enough flexibility in payout frequency (monthly/quarterly/annual) to make it practical — or does the commitment outweigh the benefits?

Is the Bandhan Life Shubh Samriddhi Plan really suited for both wealth accumulation and income — or does it try to be everything and master nothing?

This review breaks down the plan’s features, benefits, and limitations, along with a detailed illustration, to help you make an informed decision.

What is the Bandhan Life Shubh Samriddhi?

Bandhan Life Shubh Samriddhi is a Non-Linked Participating Life Insurance Individual Savings Plan. It is a comprehensive savings solution.

You get the advantage of an additional cash flow and a significant lump sum at the end of the policy term, along with life coverage to ensure your family’s future remains safeguarded.

What are the features of the Bandhan Life Shubh Samriddhi?

Receive long-term regular income through cash bonus payouts.
You also have the option to accumulate these bonuses and withdraw the funds whenever required.
Enjoy long-term life insurance protection, with coverage extending up to 100 years of age.
Get a lump sum at maturity to support your future financial goals.
In the event of an unfortunate demise, your family will receive a lump sum benefit to safeguard their financial security.
Pay premiums for a limited period while continuing to enjoy the benefits over an extended duration.

Who is eligible for the Bandhan Life Shubh Samriddhi?

	Minimum	Maximum
Entry Age	3 months	For PPT 5 years: 50 years For PPT 6, 7, 8, 9, 10, 12 years: 65 years
Maturity Age	20 years	For PPT 5 years: 90 years OR 100 years if (100–age at entry) policy term combination has been chosen. For PPT 6, 7, 8, 9, 10, 12 years: 95 years OR 100 years if (100–age at entry) policy term combination has been chosen
Policy Term	20 years to 40 years, subject to the maturity age not breaching 95 years	100 – age at entry
Premium Payment Term (PPT)	Age 50 and below: 5/ 6/ 7/ 8/ 9/ 10/ 12 years
Premium Payment Term (PPT)	Age 51 and above: 6/ 7/ 8/ 9/ 10/ 12 years
Premium	Annual: ₹25,000 Half-Yearly: ₹12,800 Quarterly: ₹6,475 Monthly: ₹2,175	No Limit (subject to ‘Board Approved Underwriting Policy’ of the Company)
Sum Assured on Maturity	₹ 3,00,000	No limit, subject to the ‘Board Approved Underwriting Policy’ of the Company
Premium Payment Mode	Yearly, Half-yearly, Quarterly and Monthly

What are the benefits of the Bandhan Life Shubh Samriddhi?

1. Survival Benefit

Survival Benefit in the form of Cash Bonus (if any) will be payable in arrears from the 1st Policy Year until death of the Life Assured, surrender, or end of Bandhan Life Shubh Samriddhi Plan Policy term, whichever is earlier.

Cash Bonus = Cash Bonus Rate X Annualised Premium

Frequency	Conversion
Semi-annually	98% of annual Cash Bonus/ 2
Quarterly	97% of annual Cash Bonus/ 4
Monthly	96% of annual Cash Bonus/ 12

2. Maturity Benefit

If the policy is in force and the life assured survives till the date of maturity, the maturity benefit shall be payable as a lump sum amount equal to the sum of:

Sum Assured on Maturity; and
Terminal Bonus, if any

where Sum Assured on Maturity means an absolute amount of benefit which is guaranteed to become payable at the end of the Bandhan Life Shubh Samriddhi Plan policy term.

Accumulated cash bonus (if any), if not paid earlier, will also be paid along with the Maturity Benefit.

3. Death Benefit

If the policy is in force and the life assured dies during the Bandhan Life Shubh Samriddhi Plan policy term, the Death Benefit shall be paid as a lump sum to the Claimant. Death Benefit shall be equal to:

Sum Assured on Death, plus
Interim Cash Bonus (if any), plus
Terminal bonus, if anywhere,

Interim Cash Bonus = Interim Cash Bonus Rate X Annualised Premium X Months elapsed from last Cash Bonus payout date/12

Sum Assured on Death means an absolute amount of benefit which is guaranteed to become payable on the death of the life assured in accordance with the terms and conditions of the policy.

This shall be the highest of:

11 times the Annualised Premium Sum Assured on Maturity
Death Benefit multiple times Annualised Premium
The Death Benefit at no time shall be less than 105% of Total Premiums Paid

Grace Period, Discontinuance and Revival of the Bandhan Life Shubh Samriddhi

Grace Period

You have a grace period of 15 days for policies under a monthly premium payment frequency and 30 days for policies under all other payment frequencies, from the premium due date, to pay the premium.

Discontinuance

If you have not paid the first year’s premium in full, Your Policy will automatically lapse at the expiry of the grace period, and no benefit will be payable under the Bandhan Life Shubh Samriddhi Plan Policy.

If you have paid the first year’s premium in full and subsequent premiums have not been paid, your Policy shall not lapse, but will be automatically converted to a reduced paid-up policy, and the maturity benefit and death benefit under the policy will automatically be reduced

Revival

You can apply for revival of the lapsed or paid-up policy within five consecutive complete years from the due date of the first unpaid policy premium (“Revival Period”) and before the expiry of the policy term.

Free Look Period for the Bandhan Life Shubh Samriddhi

In case you are not satisfied with any of the Terms and Conditions of the Bandhan Life Shubh Samriddhi Plan Policy or otherwise and have not made any claim, you may return the policy for cancellation within 30 days from the date of receipt of the policy document, whether received electronically or otherwise.

Surrendering the Bandhan Life Shubh Samriddhi

Surrender value shall become payable after completion of the first policy year, provided one full year’s premium has been received.

Surrender value shall be calculated as the higher of Guaranteed Surrender Value (GSV) and Special Surrender Value (SSV) as on the date of surrender.

What are the advantages of the Bandhan Life Shubh Samriddhi?

You can change your premium payment frequency anytime during the premium payment term.
At any point during the policy term, you may choose to accumulate the Cash Bonus (if payable).
You also have the flexibility to modify the Cash Bonus payout frequency.
You can opt to receive the Cash Bonus on a special date of your choice.
Policy loans are available, up to a maximum of 80% of the surrender value.

What are the disadvantages of the Bandhan Life Shubh Samriddhi?

The survival benefit begins as early as the first policy year, which disrupts the compounding potential of your investment.
This benefit does not increase with inflation, causing its real value to diminish over time.
Since the survival benefit is non-guaranteed, you cannot reliably plan or earmark it for any specific expense.

Research Methodology of Bandhan Life Shubh Samriddhi

To assess whether the Bandhan Life Shubh Samriddhi Plan is suitable for your financial goals, we first need to estimate its potential returns. The plan offers both a survival benefit and a maturity benefit.

However, both are non-guaranteed, as the cash bonus rates vary from year to year. Using the figures provided in the policy brochure, let us calculate the Internal Rate of Return (IRR).

Benefit Illustration – IRR Analysis of Bandhan Life Shubh Samriddhi

A 35-year-old male purchases the Bandhan Life Shubh Samriddhi Plan with a sum assured of ₹7.20 lakhs. The premium paying term is 10 years, and the annual premium is ₹60,000.

Survival benefits begin right from the end of the first policy year and continue for life.

Male	35 years
Sum Assured	₹ 7,20,000
Policy Term	65 years
Premium Paying Term	10 years
Annualised Premium	₹ 60,000

The brochure provides illustrations based on two assumed future investment return rates: 4% p.a. and 8% p.a.

These rates are purely illustrative, not guaranteed, and not indicative of the maximum or minimum possible returns. The actual outcome will depend on several factors, including future investment performance.

		At 4% p.a.		At 8% p.a.
Age	Year	Annualised premium / Maturity benefit	Death benefit	Annualised premium / Maturity benefit	Death benefit
35	1	-60,000	7,20,000	-60,000	7,20,000
36	2	-48,600	7,20,000	-39,000	7,20,000
37	3	-48,600	7,20,000	-39,000	7,20,000
38	4	-48,600	7,20,000	-39,000	7,20,000
39	5	-48,600	7,20,000	-39,000	7,20,000
40	6	-48,600	7,20,000	-39,000	7,20,000
41	7	-48,600	7,20,000	-39,000	7,20,000
42	8	-48,600	7,20,000	-39,000	7,20,000
43	9	-48,600	7,20,000	-39,000	7,20,000
44	10	-48,600	7,20,000	-39,000	7,20,000
45	11	11,400	7,20,000	21,000	7,20,000
46	12	11,400	7,20,000	21,000	7,20,000
47	13	11,400	7,20,000	21,000	7,20,000
48	14	11,400	7,20,000	21,000	7,20,000
49	15	11,400	7,20,000	21,000	7,20,000
50	16	11,400	7,20,000	21,000	7,20,000
51	17	11,400	7,20,000	21,000	7,20,000
52	18	11,400	7,20,000	21,000	7,20,000
53	19	11,400	7,20,000	21,000	7,20,000
54	20	11,400	7,20,000	21,000	7,20,000
55	21	11,400	7,20,000	21,000	7,20,000
56	22	11,400	7,20,000	21,000	7,20,000
57	23	11,400	7,20,000	21,000	7,20,000
58	24	11,400	7,20,000	21,000	7,20,000
59	25	11,400	7,20,000	21,000	7,20,000
60	26	11,400	7,20,000	21,000	7,20,000
61	27	11,400	7,20,000	21,000	7,20,000
62	28	11,400	7,20,000	21,000	7,20,000
63	29	11,400	7,20,000	21,000	7,20,000
64	30	11,400	7,20,000	21,000	7,20,000
65	31	11,400	7,20,000	21,000	7,20,000
66	32	11,400	7,20,000	21,000	7,20,000
67	33	11,400	7,20,000	21,000	7,20,000
68	34	11,400	7,20,000	21,000	7,20,000
69	35	11,400	7,20,000	21,000	7,20,000
70	36	11,400	7,20,000	21,000	7,20,000
71	37	11,400	7,20,000	21,000	7,20,000
72	38	11,400	7,20,000	21,000	7,20,000
73	39	11,400	7,20,000	21,000	7,20,000
74	40	11,400	7,20,000	21,000	7,20,000
75	41	11,400	7,20,000	21,000	7,20,000
76	42	11,400	7,20,000	21,000	7,20,000
77	43	11,400	7,20,000	21,000	7,20,000
78	44	11,400	7,20,000	21,000	7,20,000
79	45	11,400	7,20,000	21,000	7,20,000
80	46	11,400	7,20,000	21,000	7,20,000
81	47	11,400	7,20,000	21,000	7,20,000
82	48	11,400	7,20,000	21,000	7,20,000
83	49	11,400	7,20,000	21,000	7,20,000
84	50	11,400	7,20,000	21,000	7,20,000
85	51	11,400	7,20,000	21,000	7,20,000
86	52	11,400	7,20,000	21,000	7,20,000
87	53	11,400	7,20,000	21,000	7,20,000
88	54	11,400	7,20,000	21,000	7,20,000
89	55	11,400	7,20,000	21,000	7,20,000
90	56	11,400	7,20,000	21,000	7,20,000
91	57	11,400	7,20,000	21,000	7,20,000
92	58	11,400	7,20,000	21,000	7,20,000
93	59	11,400	7,20,000	21,000	7,20,000
94	60	11,400	7,20,000	21,000	7,20,000
95	61	11,400	7,20,000	21,000	7,20,000
96	62	11,400	7,20,000	21,000	7,20,000
97	63	11,400	7,20,000	21,000	7,20,000
98	64	11,400	7,20,000	21,000	7,20,000
99	65	11,400	7,20,000	21,000	7,20,000
100		9,27,600		89,85,000

	IRR	2.56%		6.57%

Scenario 1: 4% Assumed Return

Survival Benefit: ₹11,400 per year (payable for life)

Maturity Benefit: ₹9.27 lakhs (payable at age 100)

IRR: 2.56% as per the Bandhan Life Shubh Samriddhi Plan maturity calculator

Scenario 2: 8% Assumed Return

Survival Benefit: ₹21,000 per year (payable for life)

Maturity Benefit: ₹89.85 lakhs (payable at age 100)

IRR: 6.57% as per the Bandhan Life Shubh Samriddhi Plan maturity calculator

Under this plan, once the premium-paying term ends, your investment remains locked in for the entire duration of the policy.

While you receive a survival benefit, this amount is non-guaranteed and too small to be considered a meaningful source of income.

The maturity benefit is accessible only when the policyholder turns 100 years old. At that stage, neither the maturity payout nor the death benefit would offer any practical financial value to the policyholder.

As a result, all the benefits—including the survival benefit, maturity benefit, and even the death benefit—offer limited real-world utility, making the overall effectiveness of the plan questionable.

Bandhan Life Shubh Samriddhi Vs. Other Investments

The regular income offered by the Bandhan Life Shubh Samriddhi Plan does not keep pace with inflation. As a result, its real value declines over time.

A more effective approach is to separate your insurance and investment components—this not only provides adequate life cover but also helps generate inflation-adjusted income. The following illustration highlights the advantages of this strategy.

Bandhan Life Shubh Samriddhi Vs. Pure-Term + Equity Mutual Fund

A pure-term life insurance policy with a sum assured of ₹7.5 lakhs costs approximately ₹13,000 per year for a 35-year-old male.

After paying this term insurance premium, ₹47,000 per year remains available for investment.

Pure Term Life Insurance Policy
Sum Assured	₹ 7,50,000
Policy Term	35 years
Premium Paying Term	10 years
Annualised Premium	₹ 13,000
Investment	₹ 47,000

For the first 10 years, this amount can be invested in either equity or debt. In this example, we assume it is invested in an equity mutual fund.

After 10 years, the accumulated corpus is shifted to an instrument that offers a 7% p.a. return, which is then used to provide regular withdrawals—similar to the income offered under the Bandhan Life Shubh Samriddhi Plan.

		Term insurance + Equity Mutual Fund
Age	Year	Term Insurance premium + Equity Mutual Fund	Death benefit
35	1	-60,000	7,50,000
36	2	-39,000	7,50,000
37	3	-39,000	7,50,000
38	4	-39,000	7,50,000
39	5	-39,000	7,50,000
40	6	-39,000	7,50,000
41	7	-39,000	7,50,000
42	8	-39,000	7,50,000
43	9	-39,000	7,50,000
44	10	-39,000	7,50,000
45	11	21,000	7,50,000
46	12	21,000	7,50,000
47	13	21,000	7,50,000
48	14	21,000	7,50,000
49	15	21,000	7,50,000
50	16	21,000	7,50,000
51	17	21,000	7,50,000
52	18	21,000	7,50,000
53	19	21,000	7,50,000
54	20	21,000	7,50,000
55	21	21,000	7,50,000
56	22	21,000	7,50,000
57	23	21,000	7,50,000
58	24	21,000	7,50,000
59	25	21,000	7,50,000
60	26	21,000	7,50,000
61	27	21,000	7,50,000
62	28	21,000	7,50,000
63	29	21,000	7,50,000
64	30	21,000	7,50,000
65	31	21,000	7,50,000
66	32	21,000	7,50,000
67	33	21,000	7,50,000
68	34	21,000	7,50,000
69	35	21,000	7,50,000
70	36	21,000	7,50,000
71	37	21,000
72	38	21,000
73	39	21,000
74	40	21,000
75	41	21,000
76	42	21,000
77	43	21,000
78	44	21,000
79	45	21,000
80	46	21,000
81	47	21,000
82	48	21,000
83	49	21,000
84	50	21,000
85	51	21,000
86	52	21,000
87	53	21,000
88	54	21,000
89	55	21,000
90	56	21,000
91	57	21,000
92	58	21,000
93	59	21,000
94	60	21,000
95	61	21,000
96	62	21,000
97	63	21,000
98	64	21,000
99	65	21,000
100		1,08,66,323

	IRR	6.81%

Post-tax corpus after 10 years: ₹5.76 lakhs

This corpus earns 7% p.a., enabling annual withdrawals equivalent to the payouts under the 8% return scenario of the Shubh Samriddhi Plan.

Corpus remaining at age 100: ₹1.08 crores

IRR: 6.81%

Equity Mutual Fund Tax Calculation
Maturity value after 65 years	5,76,242
Purchase price	4,70,000
Long-Term Capital Gains	1,06,242
Exemption limit	1,25,000
Taxable LTCG	0
Tax paid on LTCG	0
Maturity value after tax	5,76,242

If withdrawals are delayed in the initial years, the compounding effect becomes even stronger, further boosting both the corpus and the IRR.

The biggest advantage of this alternative strategy is flexibility. You can adjust your withdrawals based on your evolving needs, increasing them over time to counter inflation.

In contrast, the Bandhan Life Shubh Samriddhi Plan provides fixed, non-inflation-adjusted income with limited flexibility.

In short, inflation-adjusted income and withdrawal flexibility—two essential features for long-term financial security—are missing in the Bandhan Life Shubh Samriddhi Plan.

Final Verdict on the Bandhan Life Shubh Samriddhi

The Bandhan Life Shubh Samriddhi Plan is a traditional life insurance policy in which you pay premiums for a limited period and begin receiving survival benefits either for a limited period or for the rest of your life.

However, these payouts are non-guaranteed, making them unreliable for planning or meeting any specific financial goals. Since the survival benefit starts from the very first year, your investment gets little time to compound, reducing its potential to support major future expenses.

While the plan does offer coverage up to 100 years, the sum assured is too low to provide meaningful financial protection. In personal finance, your life cover should be aligned with your long-term goals, liabilities, and income—something this plan fails to achieve.

The plan’s key drawbacks include subpar returns, an inadequate sum assured, and a rigid cash-flow structure with fixed payouts that do not adjust for inflation or evolving needs and it also has a high agent commission.

A more effective strategy is to separate insurance and investment. A pure-term life insurance policy provides substantial coverage at an affordable cost, ensuring sufficient financial protection for your family.

For wealth creation and regular income, investing your savings in suitable financial instruments helps you build the necessary corpus more efficiently.

Do Quora, Facebook, and Twitter have the final say when it comes to financial advice?

Select investments based on your risk appetite, time horizon, and financial objectives. If you are uncertain about where to begin, consulting a certified financial planner can help you create a personalised and goal-focused financial plan.

Bandhan Life Shubh Samriddhi Plan: Good or Bad? A Detailed Review

Table of Contents:

What is the Bandhan Life Shubh Samriddhi?

What are the features of the Bandhan Life Shubh Samriddhi?

Who is eligible for the Bandhan Life Shubh Samriddhi?