Shriram Life Insurance Review

What if we told you a life insurer backed by Rahul Dravid is quietly outperforming the industry in Bharat? Yes, The Wall is the brand ambassador for Shriram Finance, and that trust seems well-placed. In FY2025, Shriram Life saw a 20% jump in total premiums, crossing ₹4,200 crore, with individual businesses growing faster than the industry. 

Ditto experts reviewed claim track records, business volumes, and claims paid data from over 25 insurers over the last 3 years, and Shriram Life stood out. Maybe it’s their no-frills, affordable approach. Maybe it’s their Bharat focus. Either way, they’re clearly doing something right.

However, the picture isn’t as rosy as it may seem at first glance. Their Amount Settlement Ratio trails far behind industry standards, and their market reach isn’t yet deep enough to be considered among the top players. Let’s unpack it all.

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Overview 

Overview of Shriram Life Insurance

In addition to its term and endowment plans, Shriram Life Insurance offers a diverse suite of products catering to underserved rural and semi-urban populations. The company has consistently focused on inclusive insurance by targeting middle- and low-income segments, especially in tier 3 and tier 4 towns.

Despite operating in a highly competitive market, Shriram Life has carved out a strong niche. With over ₹13,000 crore in assets under management and more than 61,000 claims settled last year, the company is steadily scaling its relevance. Today, Shriram Life’s strategy hinges on sustainable expansion and tech-backed distribution, making it one of the few players actively bridging the insurance gap in Bharat. Despite that, it’s important to remember that they are a new entrant in the industry and do not yet have the financial bandwidth to compete with more established players.

Claim Settlement Ratio of Shriram Life Insurance

Generally, a CSR above 97% is considered good; however, consistency over time and comparison with the industry average provide a clearer picture of how the insurer is performing. 

Let’s take a look at Shriram Life’s performance over the past three financial years:

Insight: Shriram Life’s claim settlement record has steadily improved, crossing the 98% mark in recent years. While it slightly trails the overall industry average, it still reflects a dependable track record, especially impressive considering the company’s strong focus on middle- and lower-income segments, where documentation and claim complexities tend to be higher. The upward trend signals better processes and growing trust among its policyholders.

Amount Settlement Ratio of Shriram Life Insurance

The ASR is calculated as:

(Total amount of claims paid ÷ Total amount claimed) × 100

An Amount Settlement Ratio of over 90% typically indicates that the insurer pays out all claims, whether high-value or smaller amounts, with equal reliability. 

Here’s a snapshot of Shriram Life Insurance’s ASR performance over the past three financial years:

Insight: Shriram Life’s ASR has hovered around 80.1% on average over the last three years, a notable gap from the industry’s 94.1% average. 

This lower ratio may suggest that the insurer is more cautious when it comes to paying out high-value claims. While the company serves a broad rural and mass-market customer base, where smaller policy sums are more common, the trend may raise concerns for customers seeking more extensive coverage. If you're considering Shriram Life, it’s essential to understand the claim process, documentation requirements, and the fine print on exclusions to avoid any surprises later.

Complaint Volume of Shriram Life Insurance

One useful indicator of customers’ claim settlement experience with an insurer is the complaint volume, measured as the number of complaints per 10,000 claims. Naturally, the lower the complaint volume of an insurer, the more seamless its claim settlement process. 

Here’s how Shriram Life Insurance has fared in recent years:

Insight: Shriram Life Insurance reported an average of 13.4 complaints per 10,000 claims over the last three years, slightly above the industry trendline. 

While its 2022–23 and 2024–25 numbers were better than the market average, the spike in 2023–24 suggests some inconsistency in service delivery. This could reflect challenges in managing expectations or resolving queries in a timely manner. If you're considering Shriram Life, it may be wise to review customer reviews and understand their grievance redressal process to set realistic service expectations.

Offered Riders in Shriram Life Insurance’s Term Insurance Plans

Term Insurance Plans Offered by Shriram Life Insurance

While Shriram Life Insurance’s term plans aren’t available for purchase through Ditto, and we typically recommend opting for larger insurers with stronger claim settlement records and longer track records, these plans are still worth a closer look. Especially for first-time buyers or those in rural areas, they might offer decent value for money. Let’s get into it: 

1) Shriram Life Smart Protection Plan

Shriram Life Smart Protection Plan is a term insurance plan that offers three distinct cover options — Silver, Gold, and Diamond, designed to meet varying protection needs. It provides affordable life cover, built-in accident and illness benefits (for Gold and Diamond), and flexible payout options, making it a versatile choice for comprehensive protection.

1. Variants

2. Payout
   The death benefit under all three options can be received as a lump sum, in monthly installments over 1 to 5 years, or as a combination of both.
3. Age Limits
   The minimum entry age is 18 years, and the maximum entry age is 65 years (varies by policy term and chosen option). The maximum maturity age is 75 years, depending on the policy term and option selected.
4. Policy Term
   Policy term options include 5, 10, 15, 20, 25, and 30 years.
5. Premium Payment Term
   Premium payment terms are either regular pay (the same as the policy term) or limited pay options, depending on the term selected.
6. Sum Assured
   The minimum sum assured is ₹1,00,000 (₹30,000 for limited pay), and the maximum is ₹14,00,000, subject to underwriting. Payment frequencies include yearly, half-yearly, quarterly, and monthly modes.
7. Discounts
   Women enjoy discounted premium rates, calculated using rates for a male three years younger.
8. Exclusions
   Exclusions apply for accidental death and critical illness claims, including suicide within 12 months, war, hazardous activities, pre-existing conditions, and certain specific cancer types.

A suitable choice for individuals seeking flexible and affordable term insurance with the added benefit of accidental and critical illness protection and a simplified premium and benefit structure. However, the plan lacks disability coverage and a payout for terminal illnesses. 

2) Shriram Life Online Term Plan

Shriram Life Online Term Plan is a non-linked, non-participating, online-only pure term insurance plan that offers high life cover at affordable premiums. It provides flexibility in choosing benefit payout options and comes with optional add-ons like critical illness and accidental death benefits, making it a well-rounded digital-first protection plan.

1. Payout
   The plan offers three base payout options, selectable at policy inception: Lump Sum, Monthly Income, and Lump Sum + Monthly Income. Claim payouts are made immediately in case of the lump sum option, and the monthly income starts from the month of death or terminal illness claim approval (based on the chosen option).
2. Free Add-ons
   All base options include inbuilt Terminal Illness Cover (sum assured is paid on diagnosis of a terminal illness) and Waiver of Premium on Total and Permanent Disability due to Accident, ensuring that future premiums are waived if the life assured becomes permanently disabled due to an accident.
3. Optional Add-ons
   The plan also offers two optional benefits, which can be added at the time of purchase: Critical Illness Cover, which pays an additional lump sum upon diagnosis of any of 23 listed major critical illnesses, and Accidental Death Benefit, which pays an additional lump sum if death occurs due to an accident.
4. Maturity
   The plan provides coverage up to 75 years of age under the Lump Sum option and up to 65 years under the Monthly Income and Lump Sum + Monthly Income options.
5. Discounts
   Women policyholders benefit from a 3-year age setback in premium calculations. High Sum Assured Discounts are available for selecting higher life cover amounts.
6. Policy Term
   Policy Term ranges from 10 to 57 years (Lump Sum) and 20 to 47 years (other options), depending on entry age and payout choice.
7. Age Limits
   Entry Age is 18 to 55 years for Lump Sum, and 18 to 45 years for Monthly Income and Lump Sum + Monthly Income options. Maturity Age is a minimum of 28 years (Lump Sum) or 38 years (others), and a maximum of 75 years (Lump Sum) or 65 years (others).
8. Premium Paying Frequency
   Premiums can be paid annually, half-yearly, quarterly, or monthly (modal factors apply).
9. Critical Illnesses
   The 23 Critical Illnesses covered include cancer of specified severity, first heart attack, stroke, kidney failure, major organ transplant, permanent limb paralysis, Parkinson’s disease, and others.

This plan is ideal for individuals looking for a convenient, fully online term insurance policy with flexibility in payouts and optional coverage enhancements.

Should You Opt for Shriram Life Insurance Plans?

If you’re weighing Shriram Life Insurance for your term insurance or savings needs, here’s a balanced breakdown of where it shines and where it falls short.

Pros of Shriram Life Insurance

• Strong Claim Settlement Ratio (CSR) – Over the past three financial years (FY 22–23 to FY 24–25), Shriram Life has maintained an impressive average CSR of 98.07%, indicating a solid track record of honoring claims, a critical metric for policyholders and their families during life’s most difficult moments.
• Reasonable Complaint Volume – With an average of 13.4 complaints per 10,000 claims, Shriram Life’s grievance count is largely within acceptable limits, especially when benchmarked against the broader industry. This suggests a generally satisfactory service experience.
• Deep Rural & Semi-Urban Reach – Shriram Life stands out for its strong penetration in Tier 3 towns and rural India, thanks to its grassroots distribution model. This makes it a reliable option for customers in underserved areas seeking basic protection products.

Cons of Shriram Life Insurance

• Weak Amount Settlement Ratio (ASR) – Despite its good claim count, Shriram Life’s average ASR stands at only 80.1%, well below the industry norm of 94.1%. This suggests it may be settling a higher volume of smaller claims while falling short on larger payouts, which is a concern for those opting for high sum assured plans. Moreover, the actual sum of money paid as a death benefit is also relatively low compared to industry standards. 
• Limited Scale & Market Share – As a relatively small insurer in India’s life insurance landscape, Shriram Life has a modest footprint compared to established giants like LIC, HDFC Life, or SBI Life. This could impact policy innovation, brand trust, and long-term servicing strength.
• Young Entrant in the Sector – Established only in 2005, Shriram Life is among the newer players in the private life insurance space. While it has built momentum in rural markets, it still has to prove itself in terms of financial scale, product diversity, and long-term stability.

Ditto’s Review of Shriram Life Insurance

Shriram Life Insurance offers basic term and traditional savings plans with a decent claim payout record and strong rural reach, making it a potentially valuable pick for customers in smaller towns. However, the low ASR raises flags for those seeking high-value protection, and its limited scale could mean fewer digital tools and long-term guarantees compared to more mature insurers.

If you’re in a rural or semi-urban area and need affordable, accessible coverage, Shriram Life fits the bill. But if you’re looking to insure a higher sum or expect sophisticated digital service, you may want to compare it against larger, better-capitalized players before making a final choice.

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Conclusion

Before you decide, here are the most important things to remember about Shriram Life Insurance:

• Reliable claim approvals but cautious on large payouts: With a strong CSR of 98.07%, Shriram consistently approves claims. However, a lower ASR (~80%) highlights caution in high-value payouts.
• Great for rural customers and value-focused buyers: Its deep reach in Tier 3 & rural India makes it a compelling option for value-conscious customers outside metro areas.
• Young but under pressure to prove itself: Established in 2005, Shriram offers flexibility. However, if you're seeking digital sophistication, extensive product suites, or a strong market presence, bigger names might fit better.

Ultimately, if you live in a non-metro area and want a no-frills, affordable term plan with a good track record, Shriram Life may make the cut. But if your needs include high-value coverage, advanced digital tools, and expansive policy options, consider comparing it against larger, more established insurers first.