Quick Overview
Most people choose term insurance based solely on price, without considering the key factors that truly matter when choosing an insurer. At Ditto, we evaluate insurers using hard data, not just marketing claims, to assess their reliability.
By the end of this article, you’ll see how Shriram Life Insurance stacks up against leading insurers in the market and whether it’s the right fit for you.
Key Performance Metrics: Shriram Term Insurance
Key Insights
- Claim Settlement Ratio:
While Shriram’s CSR is decent, the insurer doesn’t even make it to the list of top 10 term insurers ranked by CSR. - Amount Settlement Ratio:
While Shriram's ASR is respectable, it’s on the lower side compared to other insurers, who often have ASRs around 94%. - Solvency Ratio:
A solvency ratio above 1.5 is generally seen as financially healthy, and that is what IRDAI recommends. - Complaint Volume:
Although it’s relatively low, it’s still higher than some of the market leaders, which have fewer complaints. For example, HDFC Life has a complaint volume of 1.33 per 10,000 claims. - Business Volumes:
This is much lower than that of larger insurers, which could suggest limited market penetration.
Note: These metrics are for the entire life insurance segment of the insurer, which includes term insurance, ULIPs, whole life insurance, etc. They provide a comprehensive view of the insurer's overall performance and financial health, which is still relevant to the term insurance segment specifically.
Term Insurance Plans by Shriram Term Insurance
Shriram Term Insurance offers a wide range of term plans to cater to different protection needs. Its portfolio includes the Smart Protection Plan, Family Protection Plan, Cash Back Term, My Spouse Term Plan, and the IRDAI-mandated Saral Jeevan Bima.
Let’s take a closer look at Shriram’s flagship term offerings: Flexi Shield and Online Term Plan
1) Shriram Life Flexi Shield
This plan allows you to choose from four plan variants, depending on your protection requirements. It also gives you the option to opt for whole-life coverage.
Key Features:
- Entry Age:
Minimum: 18 years
Maximum: 45 years (with increasing and decreasing life cover or life stage shield options), 65 years (for all other options) - Maturity Age:
Minimum: 23 years (Regular Payment), 33 years (Limited Payment)
Maximum: 85 years (for regular term plan), 100 years (for whole life coverage) - Sum Assured: Starts from 10,00,000 and has no upper limit (depends on board-approved underwriting)
- Inbuilt waiver of premium & 50% payout of S.A in case of terminal illness
- A special exit option, under which you may receive 100% of the premiums paid, subject to specific conditions
Let’s look at the premiums for different age groups. For this comparison, we’re considering healthy non-smoker profiles with a sum assured of 1 crore, covering them until age 65.
2) Shriram Life Online Term Plan
The Shriram Life Online Term Plan is a straightforward online plan with three coverage options.
Key Features:
- Entry Age: 18-55 years (for lump sum payout option), 18-45 years (for monthly income/lump sum+ monthly income)
- Maturity Age: 28-75 (for lump sum payout option), 38-65 (for monthly income/lump sum+ monthly income)
- Sum Assured: ₹25 lakhs to ₹10 crores (in multiples of ₹1 lakh) (depending on underwriting)
- It comes with inbuilt benefits for terminal illness and accidental total and permanent disability, offering essential protection without the need for additional riders.
Riders Available with Shriram Term Insurance
Critical Illness Plus Rider
Shriram Life Critical Illness Plus offers financial protection against 23 major critical illnesses, including cancer, heart attack, kidney failure, and stroke. If the policyholder is diagnosed with a covered illness, after a 30-day survival period, the insurer pays a lump-sum benefit to cover treatment costs and related expenses.
Accident Benefit Rider
This rider offers additional protection if the insured person dies or becomes totally and permanently disabled due to an accident during the rider term. It pays a lump sum equal to the rider's sum assured on accidental death or disability. Moreover, if disability occurs, future base policy premiums may be waived off while maintaining coverage.
Family Income Benefit Rider
If the insured dies or becomes totally and permanently disabled due to an accident during the rider term, the rider pays a regular monthly income instead of a lump sum. Typically, the payment is 1% of the rider's sum assured per month, starting from the end of the month following the accident, for a guaranteed period (e.g., 10 years) or until the rider term ends (whichever is longer).
What Are the Documents Required for Buying a Shriram Term Insurance Policy?
The required documents are the same as for a standard term insurance policy. For more details, you can refer to the infographic attached below:
How to Claim Shriram Term Insurance?
The claim settlement process for Shriram Term Insurance is the same as for any other insurer. For more details, you can refer to the infographic attached below:
Why Choose Ditto for Term Insurance?
At Ditto, we’ve assisted over 8,00,000 customers with choosing the right insurance policy. Why customers like Aaron below love us:
- No-Spam & No Salesmen
- Rated 4.9/5 on Google Reviews by 15,000+ happy customers
- Backed by Zerodha
- 100% Free Consultation
You can book a FREE consultation. Slots are running out, so make sure you book a call now!
Conclusion
With a solid CSR and flexible plans, Shriram Term Insurance is a reliable option. However, the relatively low ASR and smaller business volume may make other insurers, such as HDFC Life and Axis Max Life, more appealing to some buyers. It’s essential to weigh all factors before making your decision.
If you need help in choosing an insurer that best suits your needs, book a free consultation with our expert advisors now.
Note: Shriram Life Insurance is not a partner insurer of Ditto. Therefore, all the data for the article has been taken from publicly available sources, the insurer’s website, and policy documents.
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