Besides the life insurance plans offered by insurance companies in India, the post office also offers various types of life insurance schemes. These schemes are affordable schemes of life insurance which are offered by the Indian Post Office. The schemes are called PLI schemes. PLI full form is Postal Life Insurance (PLI).
Let’s have a look into the PLI India Post life insurance schemes.
Table of Contents
The concept of Postal Life Insurance was first floated in the year 1884 when the Secretary of State to Her Majesty approved life insurance schemes for the employees of the post office. In the year 1888, the scheme expanded its scope and covered the employees of the Telegraph department as well. Later on, in the year 1894, female employees in the Postal and Telegraph departments were also covered under PLI which was a first in the history of insurance.
PLI India Post is the oldest life insurance company in India. Initially, the plans offered under Postal Life Insurance provided coverage of up to INR 4000 only. However, in recent times, the limit has increased. Nowadays, you can enjoy coverage of up to INR 50 lakhs in aggregate under different types of post insurance schemes.
Post office life insurance schemes are offered to the following individuals if they fulfil the entry age limits prescribed under different plans –
PLI has the following aspects which you should know about –
As stated earlier, there are six types of traditional life insurance plans offered under post insurance. These plans and their features are as follows –
Suraksha is a whole life insurance companies policy offered by PLI which runs till 80 years of age. The policy promises a death benefit in case of death during the policy tenure as well as a maturity benefit if the plan matures. The features of the scheme are as follows –
Premiums are payable only up to 55, 58 or 60 years of age
| Entry age | 19 to 55 years |
| Maturity age | 80 years |
| Sum assured | INR 20,000 to INR 50 lakhs |
| Policy term | 80 – age at entry |
Here are the annual premiums payable for the policy at different combinations of age and premium payment term if the sum assured is INR 10 lakhs
| Age of the insured | If premium is paid for up to 55 years | If premium is paid for up to 60 years |
| 30 years | INR 24,950 | INR 22,550 |
| 40 years | INR 44,150 | INR 36,950 |
| 50 years | INR 135,360 | INR 76,610 |
This is an endowment assurance plan where either a death benefit or a maturity benefit is paid. The salient features of the plan are as follows –
Attractive rates of bonus are declared under the plan
| Entry age | 19 to 55 years |
| Maturity age | 35 to 60 years |
| Sum assured | INR 20,000 to INR 50 lakhs |
| Policy term | 5 to 41 years |
Here are the sample annual premiums payable for the policy at different combinations of age and term if the sum assured is INR 5 lakhs
| Age of the insured | Term 15 years | Term 20 years |
| 20 years | INR 31,430 | INR 23,290 |
| 30 years | INR 32,600 | INR 23,290 |
| 40 years | INR 32,600 | INR 24,450 |
Suvidha is a whole life insurance plan which allows you the facility of conversion. You can convert the plan to an endowment assurance plan if you want. The features of the policy are as follows –
| Entry age | 19 to 50 years |
| Maturity age | For whole life cover – 60 years If conversion option is selected – 50, 55 or 58 years |
| Sum assured | INR 20,000 to INR 50 lakhs |
| APolicy term | If conversion option is not selected – 10 to 41 years If conversion option is selected – 5 years to 39 years |
Here are the sample monthly premiums payable for the policy if the conversion option is exercised and not exercised. The sum assured is assumed to be INR 5 lakhs
| Age of the insured | If conversion option is not selected and the plan matures at 60 years of age | If conversion option is selected and the plan matures at 50 years of age |
| 20 years | INR 700 | INR 1500 |
| 30 years | INR 1000 | INR 2500 |
| 40 years | INR 1600 | INR 7700 |
This is an anticipated endowment assurance plan or simply a money back plan which pays you income at specified intervals. The salient features of the policy are as follows –
| Entry age | 19 to 45 years |
| Maturity age | 60 years |
| Sum assured | Up to INR 50 lakhs |
| Policy term | 15 or 20 years |
Here is the sample monthly premiums payable for the policy at different combinations of age and term if the sum assured is INR 5 lakhs –
| Age of the insured | Term 15 years | Term 20 years |
| 30 years | INR 3300 | INR 2500 |
| 40 years | INR 3400 | INR 2700 |
Yugal Suraksha is a joint life plan which covers two individuals under the same plan. The features of Yugal Suraksha are as follows –
| Entry age | 21 to 45 years |
| Maturity age | 60 years |
| Sum assured | INR 20,000 to INR 50 lakhs |
| Policy term | 5 to 20 years |
Here is the sample monthly premiums payable for the policy at different combinations of age and term if the sum assured is INR 10 lakhs –
| Equivalent age of the couple | Term 10 years | Term 15 years | Term 20 years |
| 25 years | INR 9300 | INR 6000 | INR 4200 |
| 30 years | INR 9400 | INR 6000 | INR 4300 |
| 35 years | INR 9400 | INR 6100 | INR 4400 |
Bal Jeevan Bima, as the name suggests, is a child insurance plan which helps in creating a financial corpus for your child. The salient features of the plan are as follows –
| Entry age of the child | 5 to 20 years |
| Entry age of the parent | Up to 45 years |
| Sum assured | Minimum – INR 3 lakhs Maximum – equal to the sum assured of the parent |
All PLI insurance plans offer attractive bonus rates every financial year. The bonus rates are not fixed. They depend on the profit experience of PLI during the financial year. However, for the last financial year, the bonus declared under different plans of PLI is as follows –
| Name of the plan | Bonus declared |
| Suraksha | INR 85/ INR 1000 sum assured |
| Santosh | INR 58/INR 1000 sum assured |
| Suvidha | INR 85/ INR 1000 sum assured |
| Sumangal | INR 53/ INR 1000 sum assured |
| Yugal Suraksha | INR 58/ INR 1000 sum assured |
| Bal Jeevan Bima | INR 58/ INR 1000 sum assured |
There are various benefits of buying PLI insurance plans. These are as follows –
Whether you have a claim or you need any other service under your PLI insurance policy, the post office ensures that the services are done quickly. As per the guidelines, there are different time limits for different services that you need. These time limits are as follows –
| Type of service | Maximum turnaround time taken |
| Issue of acceptance letter or policy bond of the insurance policy | 15 days after receiving the documents |
| Payment of maturity claim, paid-up value or survival benefit | 15 days after receiving the documents |
| Payment of death claims | 30 days after receiving the documents if no investigation is involved 90 days if the investigation is involved |
| Revival or conversion of the policy | 15 days after receiving the documents |
| Taking a policy loan | 10 days after receiving the request |
| Changing the address in the policy documents | 5 days after receiving the request |
| Changing the nomination under the policy | 10 days after receiving the request |
| Assignment of the policy | 10 days after receiving the request |
| Issuance of a duplicate policy bond | 10 days after receiving the request |
There are different types of forms under PLI schemes which you need to fill and submit depending on the type of service you need. The forms and their respective uses are as follows –
| Type of form | Need |
| PLI Proposal Form | This form is needed to propose a scheme of PLI insurance that want to buy |
| RPLI Proposal Form | This form is needed to propose a scheme of Rural Postal Life Insurance that you want to buy |
| Maturity Claim Form | If your PLI policy matures, you would need to fill up this form and submit it to receive the maturity benefit of the policy |
| Loan Application Form | If you want to apply for a policy loan under any of your PLI insurance plan, you would need to fill out and submit this form |
| Nomination Form | This form would be required to appoint a nominee who can collect the death benefit of the PLI policy in case of your death. You can also use the form to change an existing nominee under an existing PLI insurance policy |
| Personal bond of Indemnity | If you lose your original policy bond you would have to fill up and submit this indemnity bond to get a duplicate policy bond |
| Revival Application Form | If your PLI policy has been lapsed due to non-payment of premium and you want to revive the lapsed policy, this form would be needed for revival |
| Surrender Application Value | This form would be needed if you want to surrender an existing PLI insurance policy and receive the surrender value |
| AEA Survival Benefit Form | This form is applicable for Sumangal plan which is an anticipated endowment assurance (AEA) plan. This form is needed to claim the money back benefit which is payable under the policy |
| APS Children Policy Proposal Form | This form needs to be filled and submitted if you want to buy the Bal Jeevan Bima policy which is a children’s policy |
| APS PLI Proposal Form | This is a proposal form for buying PLI |
| Children Policy Proposal | This is a proposal form for buying a child plan |
| CWA Conversion Form | If you buy Suvidha policy which is a whole life convertible plan, you would need to fill out and submit this form if you want to convert your whole life plan to endowment plan |
| Death claim form | This form would have to be filled and submitted by the nominee or legal heirs of the insured to claim the death benefit of the PLI policy |
All the above-mentioned forms can be downloaded from PLI website using the https://www.postallifeinsurance.gov.in/innerpage/downloads.php. You should fill up the downloaded forms, sign them and submit them to the post office to get your service request resolved.
PLI offers its customers complete guidelines on buying and storing their insurance plans so that they can enjoy the plan benefits easily. The customer guidelines prescribed by PLI for its customers are as follows –
1. Safety of the bond
The policy bond of the policy should be kept in a safe place so that it can be submitted to make a claim when required.
2. Policy number
Each PLI policy comes with a 13 digit unique policy number. You should keep this number handy to enquire about your policy details or to make a claim.
3. Premium payment
The premiums of the policy should be paid timely. If the premiums are not paid on time, the policy would lapse. The premiums should be paid in advance on the 1st of the month. However, if you forget, you get a grace period till the last day of the month to pay the premiums. You can also arrange for auto-debit of your premium from your monthly salary.
4. Online transactions
You can transact online under your PLI policy. To do so you should generate a customer ID and register your mobile number and email ID at the nearest post office. Once your details are registered with the post office and you get a customer ID, you can transact online.
5. Your communication details
Your address and phone number should be maintained with the post office throughout the duration of the policy. If there is any change in the address you should inform the same to the post office and get the address updated.
6. Nomination
Nominating an individual to receive the death benefit is necessary. If you have made a nomination the death claim is settled without hassles. You can also change the nominee during the policy tenure whenever you want by making a simple request.
7. Lapse of the policy
Policy lapses if the due premiums are not paid. If the policy has not completed three years and you have paid premiums for less than six months, your policy would lapse. However, if the policy has completed three years and you have not paid premiums for more than twelve months, the policy would lapse if premiums are not paid within the due date.
8. Revival
A lapsed policy can be revived by paying the due premiums. Automatic revival is possible if you have not paid premiums for 12 months and the policy has completed 3 years or if you have not paid premiums for 6 months and the policy has not completed 3 years. To revive you should pay the due premiums and inform the Chief Postmaster General. You would also have to submit a declaration of good health and a letter from the employer stating that you have not taken leave for medical reasons.
9. Customer care
You can contact the toll-free number of the postal department for any queries regarding your policy. The numbers are 1800 180 5232 and 155232. For any complaints, you can https://ccc.cept.gov.in/complaintregistration.aspx and register your complaint. You can also send an email to pli.dte@gmail.com with your complaint.
You can buy any insurance policy offered by PLI India Post online or offline. Offline policies can be bought by visiting the nearest post office and applying for the policy. Alternatively, you can buy the policy online easily. PLI offers you the facility to buy the policy online from its website. To buy, you should take the following steps –
You would have to submit your documents to buy PLI insurance plans. These documents are as follows:
By filling up the form and submitting these documents a PLI policy can be easily bought.
Ever since it was conceptualized in the year 1884, PLI has been popular given the low premium rates and attractive bonus declarations. The success story of PLI insurance policies in the last few years can be seen from the below-mentioned statistics –
| Financial year | Number of policies sold during the year | Total number of in-force policies at the end of the financial year | The aggregate sum assured of all in-force policies | Premium income earned during the financial year |
| 2011-12 | 482,423 | 50,06,060 | INR 76,591.33 crores | INR 3681.03 crores |
| 2012-13 | 454,053 | 52,19,326 | INR 88,896.46 crores | INR 4557.29 crores |
| 2013-14 | 433,182 | 54,06,093 | INR 102,276.08 crores | INR 5352.01 crores |
| 2014-15 | 324,022 | 52,42,257 | 109,106.93 crores | INR 5963.46 crores |
| 2015-16 | 198,606 | 49,30,838 | INR 109,982.09 crores | INR 6657.03 crores |
| 2016-17 | 213,323 | 46,80,013 | INR 113,084.81 crores | INR 7233.89 crores |
The bottom line
If you are eligible to buy postal life insurance plans, you can invest in any plan of your choice. The plans would give you good insurance coverage and also promise returns through bonus declarations. So, choose an insurance policy of your needs and invest in PLI India post plans.
Also Read:
1. Can I avail a loan even if my policy is in a lapsed state?
Loans under PLI insurance plans are available only if your policy has completed three years. Even then, if the surrender value is at least INR 1000 can you avail a loan. So, if your policy is in a lapsed state but it has completed three years and the surrender value is more than INR 1000 you can apply for a policy loan.
2. What is the assignment?
The assignment is when you transfer the ownership of your policy to someone else. If you assign the policy the policy benefits would be payable to the new owner. However, you would continue to remain the life insured
3. Can I apply for a child plan if I am more than 45 years old?
No, the age of the parent should be below 45 years to apply for the child insurance plan offered by PLI.
4. If I live in a rural sector can I buy PLI plans?
There are different types of plans created for the population of the rural sector. These are called Rural Postal Life Insurance (RPLI) Plans. So, if you live in the rural sector, you can buy RPLI plans.
