Bajaj Life vs. SBI Life Insurance: Which Is Better?

Choosing between two established life insurers involves more than comparing premiums. 

SBI Life ranks second among life insurers by business volume after Life Insurance Corporation of India (LIC), while Bajaj Life has a higher solvency ratio and fewer complaints per 10,000 claims.

So, how do you decide which one is the right fit for you?

In this guide, we compare Bajaj Life vs. SBI Life Insurance on pricing, claim settlement records, customer complaints, business scale, and policy features to help you decide which insurer better fits your long-term protection needs.

About the Insurers

Bajaj Life

• Establishment: Bajaj Life Insurance was established in 2001.
• Branches: The insurer operates over 598 branches across India.
• IRDAI Registration Number: Bajaj Life Insurance operates under IRDAI registration number 116.
• Individual Agents: Bajaj Life has a network of 1.64 lakh agents.
• Assets Under Management (AUM): Bajaj Life Insurance manages over ₹1.46 lakh crore in assets as of September 30, 2026.
• Ownership: After Allianz SE exited in March 2026, Bajaj promoter-group entities collectively own 100% of the insurer.

SBI Life

• Establishment: SBI Life Insurance was established in 2000.
• IRDAI Registration Number: SBI Life operates under IRDAI registration number 111.
• Partnership: State Bank of India (SBI) is SBI Life’s principal promoter.
• Offices: SBI Life has a network of over 1,230 offices across India.
• Individual Agents: SBI Life has a distribution network of over 2.82 lakh agents.
• Assets Under Management (AUM): SBI Life managed assets worth over ₹5.2 lakh crore as of Sept 30, 2026.

Note: The table shows the insurer's overall performance across insurance products. The data is derived from Bajaj Life’s public disclosures, SBI Life’s public disclosures, and IRDAI annual reports. Explore the Ditto Data Lab for more such metrics.

Bajaj Life eTouch II vs. SBI Life Smart Shield Plus: Key Features Compared

The following flagship term insurance plans from the respective insurers include Bajaj Life eTouch II and SBI Life Smart Shield Plus.

• Terminal Illness Benefit: Bajaj Life eTouch II pays an accelerated benefit of up to ₹2 crore if two independent specialists certify a terminal illness with a life expectancy of six months or less. It also waives future premiums on the remaining sum assured. In contrast, SBI Life Smart Shield Plus does not offer this benefit.
• Life Stage Benefit: Bajaj Life eTouch II allows policyholders to increase cover after marriage, childbirth, or a home or education loan, subject to specified limits. SBI Life Smart Shield Plus offers similar flexibility through its Level Cover with Future Proofing Benefit variant, which allows increases after marriage, childbirth or adoption, and home loan disbursement.
• Smart Exit (Zero Cost Benefit): Bajaj Life eTouch II allows policyholders to exit after 25 policy years, provided they are at least 60 years old and not in the final five policy years. However, this option is unavailable if the policyholder has used the Life Stage Benefit. In contrast, SBI Life Smart Shield Plus does not offer this feature.
• Premium Break: Bajaj Life eTouch II offers Auto Cover Continuance with a 12-month premium deferral after three policy years, provided premiums were paid on time. The policy cover continues during this period, but the option is unavailable in the final year of the premium payment term. You must pay the deferred premiums with the next premium. In contrast, SBI Life Smart Shield Plus does not offer this feature.
• Instant Payout on Claim Intimation: Bajaj Life eTouch II provides an instant payout of ₹2 lakh within three working days of claim intimation to manage immediate expenses. This benefit requires a minimum sum assured of ₹50 lakh and a one-year waiting period. In contrast, SBI Life Smart Shield Plus does not offer this feature.
• Waiver of Premium: Bajaj Life eTouch II includes an inbuilt waiver benefit for accidental total and permanent disability and terminal illness, subject to a 180-day waiting and survival period. In contrast, SBI Life Smart Shield Plus does not offer the same inbuilt benefit.
• Better Half Benefit: Smart Shield Plus offers a Better Half Benefit that allows the spouse to continue life cover without paying premiums. The spouse receives cover equal to the lower of ₹25 lakh or 50% of the primary sum assured, subject to age, policy term, and other eligibility conditions. In contrast, Bajaj Life eTouch II does not offer this feature. 
• Increasing Cover: Unlike eTouch II, Smart Shield Plus offers an increasing cover option that raises the sum assured by 5% annually on a simple basis, up to 200% of the original sum assured, with increases continuing until age 71. However, at Ditto, we do not recommend increasing cover because it can raise your premiums without necessarily matching the growth in your financial responsibilities.
• Health Management Services: eTouch II provides health management services to support policyholders’ well-being (explained below). In contrast, SBI Life Smart Shield Plus does not offer such services.

Insight: At Ditto, we recommend considering Bajaj Life eTouch II if you want more than basic life cover. It offers terminal illness benefits, life-stage cover increases, premium break options, and additional rider benefits, making it worth comparing with other best term insurance plans.

Note: Besides eTouch II, Bajaj Life offers iSecure II, Bajaj Life Superwoman, and Bajaj Life Diabetic Term Plan II. 

SBI Life also offers Smart Shield Premier and eShield Insta, while several other plans focus on Return of Premium (ROP). 

At Ditto, we recommend pure term plans because they offer higher life cover for a lower premium. ROP plans cost 60% to 100% more and refund only the base premium with no interest earned. Moreover, by the time you get your money back, inflation has already reduced its value. 

Sample Premiums by Age and Life Cover

The premium comparison assumes a healthy, salaried, non-smoking male from Delhi (pincode: 110010) seeking ₹2 crore in term cover until age 65. First-year discounts are excluded. 

Actual premiums may vary based on underwriting, policy choices, and individual risk factors. You can use the Ditto premium calculator for rough estimates of the Bajaj Life plan.

Insight: SBI Life Smart Shield Plus has higher premiums for young buyers despite lacking features such as Smart Exit and Premium Break. This makes it less appealing to buyers who want more flexibility and additional benefits from their term insurance plan.

Pros & Cons of Bajaj Life & SBI Life

Pros of Bajaj Life

• Strong Solvency Ratio: Bajaj Life has a higher solvency ratio than SBI Life, indicating a larger financial buffer above the regulatory minimum of 1.5x and Ditto’s benchmark of 1.8x.
• Higher CSR: Bajaj Life Insurance claim settlement ratio is higher than SBI Life Insurance claim settlement ratio. However, CSR alone does not guarantee an individual claim outcome.
• Broader Rider Options: eTouch II offers additional protection options, including critical illness and waiver of premium benefits, subject to eligibility and policy terms.

Cons of Bajaj Life

• Smaller Branch Network: Bajaj Life has fewer branches than SBI Life, which may limit access to in-person support in some locations.
• Feature Restrictions: Benefits such as Smart Exit, Premium Break, and life-stage increases come with specific eligibility rules and limits that buyers should review before purchasing.

Pros of SBI Life

• Strong Business Scale: SBI Life has a larger business volume (more than 3 times) than Bajaj Life, reflecting its scale in the life insurance market.
• Extensive Branch Network: SBI Life benefits from a wide branch network and its association with State Bank of India, giving customers more options for offline assistance.
• Straightforward Plan Options: Smart Shield Plus offers defined variants, allowing buyers to compare benefits and choose a structure that fits their needs.

Cons of SBI Life

• Lower Solvency Ratio: SBI Life has a lower solvency ratio than Bajaj Life, although both insurers' reported figures are above the regulatory minimum.
• Higher Complaint Volume: SBI Life records more complaints per 10,000 claims than Bajaj Life in the supplied comparison.
• Fewer Built-In Features: Smart Shield Plus does not offer features available with eTouch II, such as Premium Break and terminal illness benefit. 

Why Choose Ditto for Term Insurance?

At Ditto, we’ve assisted over 12,00,000 people with choosing the right insurance policy. Why customers like Aaron below love us:

• 100% Free Consultation
• No Spam. No Sales Pressure.
• Rated 4.9/5 on Google Reviews by 30,000+ Happy Customers
• Backed by Zerodha
• Dedicated Claim Support Team
• Compare Plans and Premiums with a Trusted Insurance Advisor

You can book a FREE consultation. Slots are running out, so make sure you book a call or chat on WhatsApp now!

Conclusion

Both Bajaj Life and SBI Life offer term insurance plans with different strengths. The right choice depends on your coverage needs, premium budget, preferred features, and the insurer’s financial and service metrics.

• Bajaj Life: Consider it if you prioritize a higher claim settlement ratio, stronger solvency, fewer complaints, and a wider range of features and rider options.
• SBI Life: Consider it if you value a larger business scale, an extensive branch network, and term plans with coverage up to age 100 on select variants.

Before deciding, compare both insurers with other best term insurance companies to find a plan that fits your long-term protection needs.