Shriram Life Premier Assured Benefit Plan
Can the Shriram Life Premier Assured Benefit Plan secure your family’s future while guaranteeing financial stability?
Can the Shriram Life Premier Assured Benefit Plan help you achieve your dreams with assured benefits and flexibility?
Can the Shriram Life Premier Assured Benefit Plan be your trusted partner for creating a legacy of financial security?
In this comprehensive review, we will explore the features, benefits, and drawbacks of the Shriram Life Premier Assured Benefit plan to help you determine its suitability for your financial objectives.
What is the Shriram Life Premier Assured Benefit Plan?
What are the features of the Shriram Life Premier Assured Benefit Plan?
Who is eligible for the Shriram Life Premier Assured Benefit Plan?
What are the benefits of the Shriram Life Premier Assured Benefit Plan?
Shriram Life Term Insurance Claim Settlement Ratio: What It Really Means for You
Grace period, Lapsed and Paid-up Policies and Revival of Shriram Life Premier Assured Benefit Plan
Free Look Period for Shriram Life Premier Assured Benefit Plan
Surrendering Shriram Life Premier Assured Benefit Plan
What are the advantages of the Shriram Life Premier Assured Benefit Plan?
What are the disadvantages of the Shriram Life Premier Assured Benefit Plan?
Research Methodology of the Shriram Life Premier Assured Benefit Plan
Benefit Illustration – IRR Analysis of Shriram Life Premier Assured Benefit Plan
Shriram Life Premier Assured Benefit Plan Vs. Other Investments
Shriram Life Premier Assured Benefit Plan Vs. Pure-term + PPF/ELSS
Who Should Consider the Shriram Life Premier Assured Benefit Plan?
Final Verdict on Shriram Life Premier Assured Benefit Plan
Shriram Life Premier Assured Benefit Plan is a Non-Linked Non-Participating Individual Life Insurance Savings Plan.
Shriram Life Premier Assured Benefit Plan offers two life cover options and three ways to receive pay-outs.
Shriram Life Premier Assured Benefit Plan combines life insurance with guaranteed returns.
Choose a pay-out option according to your current financial goals and you can change pay-out options, as and when your life goal changes.
Many investors evaluating assured income plans often compare the Shriram Life Premier Assured Benefit Plan with other Shriram life insurance plans to understand whether this premium assured benefit plan suits long-term savings needs.
This flexibility makes the Shriram Life Premier Assured Benefit Plan appealing for those looking at assured income plans rather than market-linked investments.
| Minimum | Maximum | |
| Age at entry | 30 days | 50 years for Life Plus option 60 years for Life option |
| Maturity age | 18 years | 70 years for Life Plus option 75 years for Life option |
| Policy term | 10/12/15 to 20 years | |
| Premium paying term | For Policy Term of 10 years: 6 years and Single Pay For Policy Term of 12 years: 6 years For Policy Term 15 to 20 years: 6,8,10 years | |
| Premium mode | Single, Yearly, Half-Yearly, Quarterly, Monthly | |
| Premium Range | Yearly: 60,000 Half-yearly: 31,000 Quarterly: 15,500 Monthly: 5,500 Single pay: 3,00,000 | No Limit |
Eligibility conditions are an important factor for those checking whether Shriram life insurance is good for long-term financial planning across different age groups.
Life Option
The death benefit is paid immediately in a lump sum and the Shriram Life Premier Assured Benefit Plan policy will be terminated
Life plus Option
The death benefit is paid in equal monthly instalments starting from the month of death till the end of the Shriram Life Premier Assured Benefit Plan policy term or subject to a minimum of 36 instalments.
In addition to the above death benefit, any income/settlement/lump sum benefits due from the date of death will continue to be paid as per the chosen pay-out option as if the life assured were alive and the Shriram Life Premier Assured Benefit Plan policy will be terminated on payment of the last pay-out.
However, the nominee has the option to take all the above benefits in a lump sum.
This structure is often reviewed when comparing Shriram life term insurance benefits versus savings-oriented life insurance plans.
Annual pay-outs, as a percentage of the annualized/single premium (as per the table below) are paid from the policy anniversary after the end of the premium paying term (1st policy anniversary for Single Pay) till the end of the Shriram Life Premier Assured Benefit Plan policy term.
This benefit is not available if the policyholder chooses the settlement option.
| Premium paying term | Pay-out as % of annualised/single premium |
| 1 | 4.25% |
| 6 | 25% |
| 8 | 45% |
| 10 | 70% |
Such survival benefits are commonly highlighted in Shriram life insurance reviews discussing regular income needs.
On survival of the life assured up to the end of the policy term, provided the policy is in force, the maturity sum assured is paid as follows
For Income/ Settlement in Lump Sum: Maturity Sum Assured is paid in a lump sum on the date of maturity.
For Settlement in instalments: Maturity Sum Assured is paid in four equal annual instalments. The first instalment payment starts on the date of maturity
Maturity Sum assured = Maturity Benefit Factor X Premium Paying Term X (Annualised premium / Single Premium)
This maturity structure is frequently compared in Shriram life insurance 10 years plan benefits reviews and 15 years plan reviews.
When evaluating any Shriram Life Term Insurance plan, such as the Shriram Life Premier Assured Benefit Plan or Shriram Life Smart Protection Plan, the claim settlement ratio (CSR) is more than just a number—it’s a direct indicator of the insurer’s reliability and efficiency in fulfilling its promises.
Understanding CSR: The claim settlement ratio is calculated as the number of claims settled by the insurer divided by the total claims received in a financial year.
For example, a CSR of 98% means that 98 out of 100 claims filed were successfully processed and paid.
Why it matters: A high CSR ensures that your family receives the death benefit without delays, disputes, or excessive documentation.
Unlike marketing brochures that emphasize “guaranteed pay-outs,” the CSR reflects the insurer’s actual performance in real-world claim scenarios.
Comparing Shriram Life to peers: Historically, Shriram Life Term Insurance has maintained a CSR consistently above 95%, positioning it competitively against other private and public insurers.
For policyholders, this translates to reduced risk that a claim may get rejected due to technicalities—a crucial factor when your family’s financial security is on the line.
Additional considerations: While CSR is important, it should be viewed alongside claim processing time, transparency, and customer support.
For instance, a policy with a slightly lower CSR but faster claim disbursal and simpler documentation may provide more practical value than a plan with a marginally higher CSR but delayed pay-outs.
Practical takeaway: Before buying a Shriram Life Term Insurance plan, always check the latest CSR in the IRDAI report, compare it with other insurers, and read customer reviews.
This ensures your investment in life insurance isn’t just about the sum assured, but also about the assurance that claims will actually be honoured efficiently when needed.
Grace Period
A grace period of 30 days for payment of premium for non-monthly modes and 15 days for monthly modes is allowed.
Lapsed Policy
If at least one full-year premium has not been paid and the premium due is not paid till the end of the grace period, the Shriram Life Premier Assured Benefit Plan policy will lapse and no benefits will be payable under the policy.
Paid-up Policy
Policies that have acquired surrender value (at least one full-year premium has been paid) will become paid up if no further premiums have been paid.
Revival
A lapsed or paid-up policy can be revived within a revival period of five years from the date of the first unpaid premium.
Understanding these conditions helps answer concerns such as whether Shriram life insurance is good or bad for long-term commitments.
In the event a policyholder disagrees with any of the policy terms or conditions, or otherwise and has not made any claim, he shall have the option to return the policy within a period of 30 days beginning from the date of receipt of the policy document, whether received electronically or otherwise.
To get the surrender value, you must have paid at least the first full policy year’s premium(s) and completed the first policy year.
On surrendering the policy, you will receive a Surrender Value, which is higher of the Guaranteed Surrender Value (GSV) or Special Surrender Value (SSV).
Liquidity and surrender rules are often discussed in Shriram life insurance company reviews.
These advantages are commonly highlighted by investors comparing assured income plan Shriram options.
Low return expectations often lead investors to question whether this benefit is good or bad when compared with pure term insurance or alternative investments.
The Shriram Life Premier Assured Benefit Plan provides fixed cash pay-outs during the final four years of the policy term or annual income pay-outs starting after the premium payment term, along with a lump sum benefit at maturity.
To evaluate its suitability, let’s analyse the cash flow pattern and calculate the Internal Rate of Return (IRR).
IRR analysis is crucial while reviewing Shriram life insurance ratings and assessing how this plan fits into a conservative financial portfolio.
Consider a 30-year-old male opting for the Life Option under Shriram Life Premier Assured Benefit plan with a 15-year policy term and a base sum assured of ₹16,50,000.
He pays an annual premium of ₹1,50,000 for 10 years.
Starting from the 16th policy year, he receives ₹7,03,547 annually for four years.
The calculated IRR for this cash flow is 5.30%.
Such benefit illustrations are frequently used in Shriram life insurance reviews to evaluate whether the premier assured benefit plan truly delivers meaningful long-term value.
For investors comparing assured income plans from Shriram Life Insurance with other guaranteed products, IRR is a critical metric rather than headline pay-outs.
| Male | 30 years |
| Sum Assured | ₹ 16,50,000 |
| Policy Term | 15 years |
| Premium Paying Term | 10 years |
| Annualised Premium | ₹ 1,50,000 |
| Age | Year | Annualised premium / Maturity benefit | Death benefit |
| 30 | 1 | -1,50,000 | 16,50,000 |
| 31 | 2 | -1,50,000 | 16,50,000 |
| 32 | 3 | -1,50,000 | 16,50,000 |
| 33 | 4 | -1,50,000 | 16,50,000 |
| 34 | 5 | -1,50,000 | 16,50,000 |
| 35 | 6 | -1,50,000 | 16,50,000 |
| 36 | 7 | -1,50,000 | 16,50,000 |
| 37 | 8 | -1,50,000 | 16,50,000 |
| 38 | 9 | -1,50,000 | 16,50,000 |
| 39 | 10 | -1,50,000 | 16,50,000 |
| 40 | 11 | 0 | 16,50,000 |
| 41 | 12 | 0 | 16,50,000 |
| 42 | 13 | 0 | 16,50,000 |
| 43 | 14 | 0 | 16,50,000 |
| 44 | 15 | 0 | 16,50,000 |
| 45 | 16 | 7,03,547 | 16,50,000 |
| 46 | 17 | 7,03,547 | 16,50,000 |
| 47 | 18 | 7,03,547 | 16,50,000 |
| 48 | 19 | 7,03,547 | 16,50,000 |
| 49 | |||
| IRR | 5.30% |
An IRR of 5.30% places the Shriram Life Premier Assured Benefit Plan closer to traditional guaranteed savings products rather than competitive long-term investment solutions.
This return profile is commonly observed across non-linked, non-participating assured income plans offered by life insurance companies.
While Shriram Life Premier Assured Benefit Plan offers guaranteed and regular pay-outs, the returns are relatively low and may not meet the expectations of most investors.
Additionally, the periodic pay-outs may be insufficient for substantial financial needs and could lead to unnecessary expenses.
The life cover provided is also inadequate to ensure the family’s long-term financial security.
This is a recurring concern among investors questioning whether Shriram life insurance is good or bad when viewed purely from a wealth creation standpoint.
Despite being positioned as a premium assured benefit plan, the underlying value proposition remains conservative and return-limited.
Given its low returns, rigid cash flow structure, and limited life cover, the Shriram Life Premier Assured Benefit Plan falls short as a viable investment option.
The Shriram Life Premier Assured Benefit Plan combines life cover and investment, resulting in suboptimal returns.
A more effective strategy is to separate these components into distinct products.
This concept aligns with modern financial planning principles that recommend pure protection through term insurance and growth through market-linked instruments.
Let’s explore better alternatives that can achieve the same cash pay-outs and life cover as offered by the Shriram Life Premier Assured Benefit Plan.
Using the same parameters as the previous example, a pure-term life insurance policy with a sum assured of ₹16.50 lakhs requires an annual premium of ₹8,000 for a 15-year term with a 10-year premium payment period.
This leaves ₹1,42,000 annually, which can be invested based on your risk appetite.
This comparison highlights why Shriram life term insurance plans are often considered more efficient than bundled savings policies.
| Pure Term Life Insurance Policy | |
| Sum Assured | ₹ 16,50,000 |
| Policy Term | 15 years |
| Premium Paying Term | 10 years |
| Annualised Premium | ₹ 8,000 |
| Investment | ₹ 1,42,000 |
For low-risk investors, debt instruments like the Public Provident Fund (PPF) are a suitable option, while higher-risk investors may prefer equity-based options such as Equity-Linked Savings Schemes (ELSS). For this analysis, both scenarios are considered.
PPF offers sovereign-backed stability, while ELSS introduces equity exposure with tax efficiency—both absent in the premier assured benefit plan structure.
| Term Insurance + PPF | Term insurance + ELSS | ||||
| Age | Year | Term Insurance premium + PPF | Death benefit | Term Insurance premium + ELSS | Death benefit |
| 30 | 1 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 31 | 2 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 32 | 3 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 33 | 4 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 34 | 5 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 35 | 6 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 36 | 7 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 37 | 8 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 38 | 9 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 39 | 10 | -1,50,000 | 16,50,000 | -1,50,000 | 16,50,000 |
| 40 | 11 | 0 | 16,50,000 | 0 | 16,50,000 |
| 41 | 12 | 0 | 16,50,000 | 0 | 16,50,000 |
| 42 | 13 | 0 | 16,50,000 | 0 | 16,50,000 |
| 43 | 14 | 0 | 16,50,000 | 0 | 16,50,000 |
| 44 | 15 | 0 | 16,50,000 | 0 | 16,50,000 |
| 45 | 16 | 7,03,547 | 16,50,000 | 7,03,547 | 16,50,000 |
| 46 | 17 | 7,03,547 | 16,50,000 | 7,03,547 | 16,50,000 |
| 47 | 18 | 7,03,547 | 16,50,000 | 7,03,547 | 16,50,000 |
| 48 | 19 | 12,23,386 | 16,50,000 | 30,88,744 | 16,50,000 |
| 49 | |||||
| IRR | 6.62% | 10.02% | |||
These figures clearly demonstrate how separating insurance and investment enhances both returns and flexibility.
PPF Scenario:
A minimum annual contribution of ₹500 is required for 15 years.
Since the premium payment term is 10 years, adjustments are made for the last five years’ contributions to meet this requirement.
The PPF matures at ₹29.74 lakhs.
With annual withdrawals, the IRR is 6.62% as per the Shriram Life Premier Assured Benefit Plan’s Maturity Calculator.
ELSS Scenario: The pre-tax value of the ELSS fund grows to ₹49.18 lakhs.
After accounting for capital gains tax, the post-tax value is ₹44.96 lakhs.
With annual withdrawals, the IRR is 10.02% as per the Shriram Life Premier Assured Benefit Plan’s Maturity Calculator.
This contrast highlights why assured income plans struggle to compete with market-linked alternatives over longer horizons.
| ELSS Tax Calculation | |
| Maturity value after 15 years | 49,18,609 |
| Purchase price | 14,20,000 |
| Long-Term Capital Gains | 34,98,609 |
| Exemption limit | 1,25,000 |
| Taxable LTCG | 33,73,609 |
| Tax paid on LTCG | 4,21,701 |
| Maturity value after tax | 44,96,908 |
Both alternatives mirror the cash flow patterns of the Shriram Life Premier Assured Benefit Plan while offering better returns. Additionally, if withdrawals are deferred, returns can be even higher.
When planning for life goals, separating life insurance from investments proves to be a more effective approach, as Shriram Life Premier Assured Benefit Plan provides flexibility, better returns, and a clear focus on financial objectives compared to money-back plans.
The Shriram Life Premier Assured Benefit Plan suits conservative investors seeking guaranteed survival benefits, structured income, and basic life cover.
It works well for financial goals like retirement planning, education, or fixed income needs.
However, for those seeking higher returns, inflation-beating growth, or larger life cover, pure-term insurance plus PPF or ELSS offers better post-tax returns and flexibility.
The IRR of around 5–6% under this plan is low compared to market-linked alternatives.
In short, choose this plan if you prioritize predictable pay-outs, low-risk savings, and guaranteed benefits, but avoid it if you want higher liquidity, market-linked growth, or maximum life cover.
The Shriram Life Premier Assured Benefit Plan provides regular income or maturity benefits in instalments during the final four years of the policy term, along with life cover throughout the policy duration.
While the cash pay-outs are guaranteed, they may not align with actual financial needs and could encourage discretionary spending.
A critical drawback often overlooked is the high agent commission embedded in traditional assured benefit plans.
An evaluation of the returns reveals that the Shriram Life Premier Assured Benefit Plan delivers subpar performance, with returns falling below the inflation rate.
Its lack of flexibility in pay-out options and low returns make it an unattractive choice for investors and it also has a high agent commission.
Additionally, the sum assured under this plan is inadequate to meet a family’s essential financial requirements.
This reinforces why many investors prefer Shriram life term insurance combined with independent investment avenues.
Pure-term life insurance policies offer significantly higher coverage at much lower premiums.
Traditional plans, like this one, tend to provide insufficient life coverage and rigid pay-out structures, limiting their effectiveness in addressing real financial goals.
A better approach is to separate investments from life insurance.
By doing so, you can build a diversified investment portfolio aligned with your risk tolerance, life objectives, and time horizon.
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