Gram Suvidha

What is RPLI Gram Suvidha | RPLI Convertible Whole Life Assurance (Gram Suvidha) | 1 Best Investment cum life Insurance policy

Table of Contents

Blog Introduction

Hello Friends, Welcome to my Blog Investinfy.com the best financial blogs where you will be able to read about the end to end information on many investment schemes and financial topics. In this Blog post we will be focusing on RPLI Gram Suvidha.

Generally when we want to invest money on any investment scheme , we always asks our friends and relatives that where we can invest ? and they suggests the investment schemes which they like most. Then we invest as per their suggestions, that is good as we consider them as our well wisher , But here I want to mention one thing, if we know end to end information of each investment schemes at least it will help us to understand if that investment scheme is good for us or not.

Hence it is better to have a complete idea about each investment scheme where we invest. Therefor this blog will help you to know end to end information of many Indian investment schemes available right Infront of you.

In this blog post I will be explaining my analysis on RPLI Gram Suvidha . This will be a complete guide on RPLI Gram Suvidha. Please read till end of the blog post to know the complete information about this RPLI Gram Suvidha. Lets get started.

Before you read this blogpost, please check RPLI Overview to learn about the basics of RPLI

What is RPLI Gram Suvidha?

It is an investment cum life insurance policy. It is also known as Convertible Whole Life Assurance policy (CWLA).

It is a life insurance policy and it has the features of both “Whole Life Assurance (Gram Suraksha)” and “Endowment Assurance (Gram Santosh)” policies. This scheme is suitable for those who are unable to decide between “Whole Life Assurance (Gram Suraksha)” and “Endowment Assurance (Gram Santosh)” policies.

This scheme provides an option of starting with the Whole Life Assurance (Gram Suraksha) policy and then converting it to Endowment Assurance (Gram Santosh) policy after 5 years. If you don’t convert within 6 years of taking the policy, then your policy will be continued as Whole Life Assurance (Gram Suraksha).

Converting to EA:

  • If you choose to convert the policy to Endowment Assurance (Gram Santosh) after 5 years, then the maturity amount (sum assured amount plus accumulated bonus amount) will be paid to you when you reach the pre-determined maturity date.
  • In case of death during the policy term, the sum assured amount and any bonus amount accumulated till the day of death will be paid to nominees or legal heirs.

Not Converting:

  • If you don’t convert your policy, then it’ll work like a Whole Life Assurance (Gram Suraksha) policy where. The maturity amount (sum assured amount plus accumulated bonus amount) will be paid to you when you reach 80 years of age.
  • In case of death before the age of 80 years, the sum assured amount and any bonus accumulated till the day of death will be paid to nominees or legal heirs.

Policy Term

This insurance policy provides flexible term periods.

Converting to EA: If you decide to convert this policy into Endowment Assurance (Gram Santosh) policy after 5 years, then you can choose a policy term period from 10 years to 41 years depending on your age of entry into the policy.

Not Converting: If you don’t convert this policy, then you’ll run it like Whole Life Assurance (Gram Suraksha) policy. In this case, you can choose a premium paying term period from 15 years to 41 years depending on your age of entry into the policy.

Sum Assured Amount

  • Minimum amount – Rs. 10,000.
  • Maximum amount – Rs. 10 Lakhs.

Bonus Rate of Gram Suvidha

Converting to EA: If you choose to convert this policy to Endowment Assurance (Gram Santosh) after 5 years, then the bonus rate of Endowment Assurance policy will be paid. The current bonus rate is Rs. 48 per Rs. 1,000 Sum Assured per year.

Not Converting: If you don’t convert this policy to Endowment Assurance, then the bonus rate of the Whole Life Assurance (Gram Suraksha) policy will be paid. The current bonus rate is Rs. 60 per Rs. 1,000 Sum Assured per year.

The bonus rate is not fixed and it changes from time to time as announced by the Government.

Maturity Benefit of Gram Suvidha insurance Policy

Converting to Endowment Assurance: If you survive till the end of the policy term, then you’ll receive the maturity amount. The maturity amount is the total of the sum assured amount and the accumulated bonus.

Not Converting to EA: If you survive till 80 years of your age, then you’ll receive the maturity amount. The maturity amount is the total of the sum assured amount and the accumulated bonus amount.

Death Benefit

Converting to Endowment Assurance: If die during the policy term, then nominees or legal heirs will receive the entire sum assured amount and any bonus accumulated till the day of death.

Not Converting to EA: If die before 80 years of age, then your nominees or legal heirs will receive the entire sum assured amount and any bonus accumulated till the day of death.

Medical Test in Gram Suvidha insurance policy

  • To purchase this policy, whether you need to undergo a medical test or not is based on the sum assured amount and your age.
  • If the sum assured amount is Rs. 25,000 or less and your age is 35 years or less, then you need not undergo any medical test.
  • If the sum assured amount is more than Rs. 25,000 or you are more than 35 years old, then the medical examination is compulsory to prove that you are healthy.

Loan Facility in Gram Suvidha

Loan facility is available in this policy. You can apply for a loan after completion of 4 years. But, you will not get any bonus if you pledge your policy for a loan before completion of 5 years. The proportionate bonus on the reduced sum assured amount is accumulated if the policy is assigned for a loan after 5 years.

Surrender Policy in Gram Suvidha

  • You can surrender the policy after completion of 3 years. But, you will not get any bonus if you surrender your policy before completion of 5 years.
  • The proportionate bonus on the reduced sum assured amount is paid if the policy is surrendered after 5 years.

FAQ About Gram Suvidha

What is the Entry Age for RPLI Gram Suvidha?

You can purchase this insurance policy between 19 years and 45 years of your age.

I am a NRI Can I invest in this RPLI Gram Suvidha Insurance Policy ?

No. NRI cant invest in this policy. Please read RPLI Overview Blog post to know more about who are eligible to open this account

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