Why PNB MetLife Endowment Savings Plan Plus Is A Good Purchase?

If your future goals include a self-owned house, stress-free educational expenses of children, and a financially stable future, then the “PNB MetLife Endowment Savings Plan Plus” is the appropriate plan to build a corpus and safeguard your family’s future. 

With a claim settlement ratio of 99.06% for the year 2023-24, PNB MetLife Insurance is serving millions of customers and fulfilling their promises. 

In this article, you will get all the required information about the benefits and how PNB MetLife Endowment Savings Plan Plus works.

What is PNB MetLife Endowment Savings Plan Plus? 

It is an individual, non-linked, participating, and savings life Insurance plan that helps policyholders build a retirement corpus along with life insurance coverage benefits. The most unique part about this policy is that the insured gets a waiver of premium option against 35 critical illnesses. 

How Does This Plan Work?  

PNB MetLife Endowment Savings Plan Plus offers two plan options-  

• Savings
• Savings Plus

Let’s understand with the following example- 

At the age of 30, Abhishek opted for the Savings Plus option of  PNB MetLife Endowment Savings Plan Plus. Below are the basic details. 

Policy Term	15 years
Premium Payment Term	15 years
Sum Assured	₹6,91,754
Yearly Premiums	₹50,000

In this case, the premium rate assumed is ₹75.28 per 1000 of Basic Sum Assured. The applicable high sum assured discount is ₹3 per 1000 of the basic sum assured. 

So, the basic sum assured is (1000×50,000)/(75.28-3) = ₹6,91,754. 

Here are the benefits explained in different scenarios. 

Scenario 1  - 

If Abhishek survives till the maturity: 

Benefits at maturity	@8% (In ₹)	@4% (In ₹)
Basic Sum Assured	6,91,754	6,91,754
Simple Reversionary Bonuses	3,94,300	1,91,962
Terminal bonus	19,715	9,598
Total benefit	11,05,769	8,93,314

Scenario 2 

In case Abhishek gets diagnosed with any of the 35 critical illnesses provided in the plan throughout the premium payment term, the future premiums will get waived, and the policy will continue to offer future benefits for the complete policy term. 

Scenario 3 

If Abhishek dies in the 8th year of the policy, the nominee will receive the following benefits, and the policy ends. 

Benefits at Death	@8% (₹)	@4% (₹)
Sum Assured on Death	6,91,754	6,91,754
Vested Bonuses	2,10,293	1,02,380
Total benefit	9,02,048	7,94,134

PNB MetLife Endowment Savings Plan Plus At A Glance 

Minimum Age at Entry (years)	Plan Option			Age at entry (years)
	Savings			8
	Savings Plus			18
Maximum Age at Entry(years)	Savings			Savings Plus
	Premium Payment Types	Annual	Other Modes	Premium Payment Types	Annual	Other Modes
	Regular Pay	55	50	Regular Pay	50	45
	Limited pay (10/7/5)	60	55	Limited pay (10/7/5)	55	50
Age At Maturity (years)	Plan Option			Age At Maturity
	Savings			80
	Savings Plus			Regular Pay: 65  Limited Pay: 80
Premium Paying Term (PPT) (Years)	Regular pay: same as policy term  Limited pay: 5, 7, and 10 years

Policy Term (Years)	Savings		Savings Plus
	Premium payment type	Policy Term	Premium payment type	Policy Term
	5 pay/7 pay	10-25	5 pay/7 pay	10-25
	10 pay	15-25	10 pay	15-25
	Regular pay	10-25	Regular pay	10-15

Min. Annual Premium (₹)	Premium Payment Types	Premium (In ₹)
	5 pay	48,000
	7 pay	34,000
	10 pay	24,000
	Regular pay	18,000
Maximum Premium	As per board approved underwriting policy
Minimum Sum Assured	₹2,20,000
Maximum Sum Assured	As per board approved underwriting policy
Premium Payment Modes	Yearly/ Half yearly/ Monthly

Key Benefits Of The PNB MetLife Endowment Savings Plan Plus

Death Benefit

In case of the death of the life assured, given the policy is still in force, the nominee will obtain the sum assured along with a terminal bonus and accrued simple reversionary bonus, if any. 

A minimum of 105% of the complete premium will be paid up to the date of death, and the policy will terminate. 

Here, the sum assured on death is highest of- 

• Basic Sum Assured- Exact amount assured to be paid on death 
• 10 times the annualized premium 

Maturity Benefit 

If the life assured survives up to the maturity date, given that the policy is in force, the maturity benefit payable will be the sum of -

• Accrued simple reversionary bonus
• Sum assured on maturity 
• Terminal bonus, if any

Policy Loans 

Policyholders can avail loan against the policy once it acquires a surrender value. The maximum amount available for a loan is 90% of the Special Surrender Value (SSV). 

High Sum Insured Discount 

If you opt for high premiums, the company offers premium discounts under both Savings and Savings Plus options. 

Grace Period 

A grace period of 30 days is allowed for yearly and half-yearly payment modes. While it is 15 days for monthly mode. 

Policy Revival 

A lapsed policy can be revived within 5 years from the due date of the first unpaid premium by paying all the outstanding premiums with applicable interest. 

Flexibility 

Flexibility to select how long you want to pay the premium: for 5/7/10 years or the complete policy term. 

Protection For Family 

With this policy, you will get life cover for the entire policy term. In addition, you can select a waiver of premium benefits against 35 critical illnesses and additional cover through serious illness rider and accidental death benefit rider plus at a nominal cost. 

Tax Benefits 

As per prevailing tax laws, avail tax benefits on premium paid and benefits received. 

Waiver of Premium (WOP) On Critical Illness Benefit  

• Savings Plan Option: Not Applicable 
• Savings Plus Option Plan: If the life assured suffers from the provided 35 critical illness, all the payable future premiums shall be waived for the remainder of the premium payment term subject to - 

The waiting period is 90 days, that is, from the date of inception or the last revival date of the policy. 

Exclusion: Waiver of Premium is not applicable to riders. 

Conclusion 

PNB MetLife Endowment Savings Plan Plus is a good buy for individuals looking for a secure and stable future. With benefits like bonus addition, maturity, and critical illness benefits, this plan stands out as the perfect investment option. 

Frequently Asked Questions (FAQs) 

What is the PNB MetLife endowment savings plan?

PNB MetLife endowment savings plan is a life insurance plan that helps individuals in the following ways: 

• Build retirement corpus 

• Provides life cover 

• Offers WOP for critical illness coverage in the case of 35 serious illnesses specified by the company. 

What plan options are available in the PNB MetLife Endowment Savings Plan? 

The plan offers two options:  

• Savings plan 

• Savings Plus plan 

Does the plan offer WOP on critical illness benefits under the Savings Plan Option?

No! The WOP On Critical Illness Benefit is not applicable under the Savings Plan option. 

Does PNB MetLife Endowment Savings Plan Plus offer Tax Benefits? 

Yes! Policyholders can avail of tax benefits on premiums paid and benefits received as per prevailing tax laws. 

What is the minimum age at entry for PNB MetLife Endowment Savings Plan Plus? 

The minimum age at entry 

• For the Savings plan: 8 Years 

• For the Savings Plus plan: 18 Years 

 

Also read - Why You Must Not Avoid Endowment Policies?

Is Purchasing An Endowment Policy Beneficial?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.