The Postal Life Insurance Scheme (PLI) is one of the oldest and popular life insurance plans in India. Launched in 1884, this scheme was offered the benefits of affordable life insurance to government /semigovernment employees . The intricacy of the plan afforded membership in the PLI plan to employees finding industries outside of the postal services.
Ultimately, what is postal life insurance scheme may be beneficial to those contemplating financial decisions. More so, the postal life insurance plan is a government plan which supports the insurance component of the plan and provides a large degree of options. For these reasons, this is the preferred plan by citizens looking for long term savings and long time protection.
What is Postal Life Insurance Scheme? An Overview
The Postal Life Insurance Scheme is administered by the Ministry of Communications, Government of India under the Department of Posts and consists of several insurance schemes, which will address some specific life events and probable financial commitments. The main focus of the scheme is to offer affordable premium and extensive coverage life insurance to the citizens of India in order to build a savings habit.
Popular Plans Under Postal Life Insurance Schemes in India
Plan Name | Type of Coverage | Key Feature |
| Whole Life Assurance (Suraksha) | Life-long coverage | Sum assured + bonus on maturity or death |
| Endowment Assurance (Santosh) | Life cover + savings | Lump-sum payment with accrued bonus |
| Convertible Whole Life Assurance (Suvidha) | Convertible to endowment plan | Flexibility after 5 years |
| Anticipated Endowment Assurance (Sumangal) | Money-back policy | Periodic returns during policy term |
| Joint Life Assurance (Yugal Suraksha) | For married couples | Joint coverage for both partners |
| Children Policy (Bal Jeevan Bima) | For child’s future | Coverage for children without medical exam |
For more details on individual plans, visit the India Post Insurance official page.
Key Features and Benefits of the Indian Postal Life Insurance Scheme
The Indian Postal Life Insurance Scheme provides several distinct advantages over private companies:
- Bonus Rate: PLI has one of the highest bonuses in India.
- Government Sealed Safety: 100% government guarantee support for complete safety.
- Premiums Payment Flexibility: Payment can be made monthly, quarterly, semi-annually, or annually.
- Loan Facility: After 3 years, loan is available against the policy.
- Nomination Facility: Can be nominated at any time during the term of the policy.
- Easy to Service: Customers can pay premiums at the post office with service across the country.
Rural Postal Life Insurance Scheme (RPLI)
RPLI is the term for the Rural Postal Life Insurance Scheme. It was introduced in 1995 in order to provide insurance protection for the rural population of India. RPLI aims to meet the requirements for insurance protection in the rural area of India, and reduce the rural-urban divide in insurance protection. RPLI offers life insurance (with a guaranteed renewal) at a substantial premium and provides easy access to insurance for individuals in rural India.
RPLI will offer life insurance policies that are similar to those offered through PLI, and they will be at a reduced premium, given the income levels of rural families. The RPLI scheme will be targeted towards the rural family and provide them with an insurance method for the family to make provision for their family as well as incentives to save, in the form of government-backed insurance.
Feature | PLI | RPLI |
| Coverage Area | Urban/Semi-urban | Rural areas |
| Eligibility | Govt. & PSU employees | Rural residents |
| Premium | Moderate | Low |
| Bonus Rates | High | Moderate |
For rural policy information, refer to the Rural Postal Life Insurance Portal.
Postal Life Insurance Scheme Details
Here are the main postal life insurance scheme details that every buyer should know:
- Eligibility: Employees of central/state governments, universities, PSUs, banks, and professionals like doctors or engineers.
- Minimum Age: 19 years
- Maximum Age: 55 years (varies by plan)
- Minimum Sum Assured: ₹20,000
- Maximum Sum Assured: ₹50 lakh
- Policy Term: 5 to 40 years
- Medical Examination: Required for higher sum assured amounts
Conclusion
So, what is postal life insurance scheme? The postal life insurance schemes in India are very affordable and are a power of trust and confidence. The schemes are administered by institutions established by the Government of India, which provide transparency, trustworthiness, and reach through the postal network in India.
Furthermore, the existence of the products PLI and RPLI means that insurance is available to the most remote parts of India, and provides for the Government of India's vision of financial inclusion.
Frequently Asked Questions (FAQ's)
1. What is the Postal Life Insurance Scheme? Who is eligible for this?
Postal life insurance is a government-supported life insurance scheme for people employed with central and state government bodies, banks, PSUs and professionals.
2. What are the perks of the Rural Postal Life Insurance Scheme?
The RPLI plans are low-cost life insurance plans that are made available to rural male and female citizens with simple modes of premium payments (monthly, quarterly, semi-annually, annually) and with higher options for bonuses.
3. What is the difference between India Postal Life Insurance scheme and private insurance?
The PLI funds are guaranteed for assured sums with life cover of 10-15 times premiums, while private insurers do provide returns to planholders based on market performance.
4. Can I buy a postal insurance scheme online?
Yes, a policyholder can purchase and manage their plans through the official India Post Insurance application.
5. What is the maximum sum assured by Postal Life Insurance?
The highest sum assured in the PLI scheme is 50 lakh rupees.
