According to the circular issued by the Insurance Regulatory and Development Authority of India (IRDAI). The ‘Saral Jeevan Bima’ plan will have to be offered by all insurers starting from January 1, 2021.

This is a standard life product which is being brought in the market to broadly meet the needs of an average customer. Saral Jeevan Bima will be a non-linked, non-participating, individual, pure risk premium, life insurance plan. It will provide for the payment of the sum assured in a lump sum to the nominee in the case of the life assured’s death during the policy term. It will be available to those in the age group of 18-65 years. The policy will be for a term of 5 to 40 years with a maximum maturity age of 70 years. The minimum sum assured will be between ₹5-25 lakh, and the insurers will have the option of offering a sum assured beyond the ₹25 lakh with all other terms and conditions remaining the same.

Premium payment options will include regular premium, limited premium payment terms for 5 & 10 years, and single premium. The waiting period will be 45 days from the date of commencement of risk. In the case of the revival of the policy, there will be no waiting period. There will be no maturity benefit under the policy, and suicide is excluded from it. There will be no surrender value and no loan facility is provided under this policy. The pricing of the plan will be decided by IRDAI.