HDFC Endowment Plan

What is HDFC Life Sanchay Plus Endownment Plan?

HDFC Life Sanchay Plus Endowment Plan is a comprehensive investment plan designed to provide you with financial security and peace of mind. With its guaranteed benefits and flexible payout options, this plan ensures that your loved ones are taken care of in times of need.

What are the Features of HDFC Endowment Plan? 

• Multiple Payout Options: You have the option to receive the guaranteed benefits as a one-time lump sum amount. Alternatively, you can opt for regular income payouts.

• Guaranteed Benefits: You can rest assured that your investment will yield returns as promised. This means you won't have to worry about market fluctuations or economic uncertainties affecting your policy's performance. The plan offers financial stability and predictable returns, making it an ideal choice for risk-averse individuals.

• Tax Benefits: The HDFC Endowment Plan offers attractive tax benefits to policyholders. Under Section 80C of the Income Tax Act, you can claim tax deductions on the premium paid, reducing your taxable income. Additionally, under Section 10 (10D), the maturity benefits, death claim, and surrender value are eligible for tax exemptions, ensuring that your returns remain tax-efficient.

• Riders: You have the option to enhance your HDFC Endowment Plan by adding riders such as critical illness coverage. These riders offer supplementary protection against specific risks, providing comprehensive coverage tailored to your unique needs.

• Life Long Income Option: The Life Long Income option offers you a unique advantage - a guaranteed income for life. You will receive regular payouts until you reach the age of 99 years, ensuring financial security throughout your lifetime. 

• Long Term Income Option: If you prefer a guaranteed income for a specific period, the Long Term Income option is tailored for you. With this choice, you can receive guaranteed payouts for a fixed term of 25 to 30 years. At the end of the payout period, you also have the added advantage of receiving back all the premiums you paid.

Comparison Between

Fixed Deposits, Guaranteed Return Plans & Debt Mutual Fund

Guaranteed Return Plans, Fixed Deposits &
Debt Mutual Fund

Guaranteed Return Plans

Returns Before Tax

7.5% ^(TAX-FREE)

Returns After Tax

7.5%

Guaranteed Returns

Yes

Life Cover

Yes

Tax on Profit

Tax Free*

Risk

No Risk

Still Better than FD’s and Debt Mutual Fund

Fixed Deposits

Returns Before Tax

7% ^(TAXABLE)

Returns After Tax

4.8%

Guaranteed Returns

Yes

Life Cover

No

Tax on Profit

Taxable

Risk

Low Risk

Debt Mutual Fund

Returns Before Tax

8% ^(TAXABLE)

Returns After Tax

5.5%

Guaranteed Returns

No

Life Cover

No

Tax on Profit

Taxable

Risk

High Risk

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*For annual premium upto ₹5 Lacs

What are the Benefits of HDFC Endowment Plan?

The HDFC Endowment Policy offers a number of benefits, including:

• Low Risk Investment: The HDFC Endowment Plan is designed as a low-risk investment option, making it suitable for individuals who prefer a steady and secure approach to growing their savings.

• Maturity Benefit: Upon payment of all due premiums and life assured surviving the policy term, the policyholder receives a Guaranteed Income for a fixed term of 10 or 12 years. 

  Alternatively, they can opt for a guaranteed income up to age 99 years with a return of total premiums paid at the end of the payout period for Life Long Income. The Long Term Income option offers guaranteed income for a fixed term of 25 or 30 years, with a return of total premiums paid at the end of the payout period.

• Death Benefit: In the event of the policyholder's death during the policy term, the nominee will receive the death benefit, which is the highest of:

  • 10 times the Annualized Premium

  • 105% of total premiums paid

  • Premiums paid accumulated at an interest of 5% p.a. compounded annually

  • Guaranteed Sum Assured on Maturity, or 

  • An absolute amount equal to the Sum Assured

  • The policy terminates upon the payment of the death benefit.

• Systematic and Regular Savings: With this plan, you can invest systematically and save regularly, ensuring disciplined contributions towards your financial goals.

• Financial security: The sum assured provides financial security for your family in case of your death.

• Growth potential: The maturity benefit can grow over time, thanks to the addition of bonuses.

• Tax benefits: The HDFC Endowment Policy offers a number of tax benefits, which can help you save money on your taxes.

• Flexibility: The HDFC Endowment Policy is a flexible plan that can be customized to meet your individual needs.

What is the Eligibility Criteria for HDFC Endownment Plan?

Who Should Buy HDFC Endowment Policy?

HDFC Life Endowment Plan is suitable for individuals who:

• Seek more than just life coverage and desire long-term financial security.

• Want to provide financial protection to their family.

• Aim to build a lump sum amount for future needs.

• Have a stable source of income.

• Are comfortable with lower returns in exchange for low risks.

How to Buy HDFC Endowment Plan through Policybazaar?

You can apply for the HDFC Endowment Policy online or through a licensed HDFC Life agent like Policybazaar. 

To buy the HDFC Endowment Plan through Policybazaar follow these steps:

• Visit the Policybazaar website or mobile app.

• Fill in your personal details and insurance requirements like investment amount, how long you want to stay invested for. 

• Compare different options available.

• Choose the plan that suits your needs and budget.

• Complete the online application and payment process.

• Review the policy details and documentation.

• Once the payment is confirmed, you'll receive the policy documents via email or mail.

Conclusion

The HDFC Endowment Policy is a popular investment plan that offers a range of features and benefits. If you are looking for a plan that can provide financial security for your family, growth potential, and tax benefits, the HDFC Endowment Plan is a good option to consider.