SBI Life Insurance Plans: Types, Benefits & How to Buy

SBI Life Insurance began operations in 2001 as a joint venture between SBI and BNP Paribas Cardif. Since then, the latter has sold its stake and is no longer a promoter. Over the last two decades, SBI Life has grown into one of India's largest private life insurers.

But here’s the real question: Does a big brand automatically mean every plan from the insurer is right for you? Not really.

That’s why, in this guide, we break down the SBI Life Insurance plans list, look at a ULIP example, and then give you Ditto’s clear verdict on what you should prioritize.

SBI Life offers various life insurance plans, each addressing a different problem. But if your first goal is to protect your dependents, start with term insurance. It is simple, affordable, and designed for one job: helping your family cover their expenses if you’re no longer around.

Key Features of Popular SBI Life Insurance Plans

Smart Shield Premier

• Smart Shield Premier is a term insurance plan that offers two coverage structures: level and increasing.
• Policyholders can enter the plan between ages 18 and 60, and coverage can continue up to age 85. 
• The minimum sum assured starts at ₹2 crore, making it suitable for high-income earners or individuals with significant financial responsibilities. 
• Customers can choose between regular pay and limited pay premium options, with premium payment terms ranging from 5 to 25 years. 

Smart Shield Plus

• Smart Shield Plus is a term insurance plan that offers three cover options: level, increasing, and level with a future-proofing benefit. 
• Buyers can choose from single-pay, regular-pay, or limited-pay premium options, as well as yearly, half-yearly, monthly, or single-premium frequencies. 
• The plan offers a minimum sum assured of ₹25 lakh with no predefined upper limit, subject to underwriting. 
• It also includes optional rider support through the accident benefit rider, which provides benefits for accidental death and accidental partial permanent disability. 
• Another unique feature is the better-half benefit, which allows policyholders to extend coverage to their spouse. 

Smart Fortune Builder

• Smart Fortune Builder is a Unit Linked Insurance Plan (ULIP) that combines life insurance protection with market-linked investment opportunities. 
• The plan provides access to 12 unit-linked investment funds, allowing policyholders to choose investment strategies that align with their risk appetite and financial goals. 
• It also includes guaranteed additions at maturity and offers regular pay, limited pay, and single-pay premium options, with policy terms extending up to 30 years. 
• The death benefit is the highest of the fund value, sum assured after applicable adjustments, or 105% of the total premiums paid.

Key Takeaway: For pure financial protection, term insurance plans like Smart Shield Premier and Smart Shield Plus are more cost-effective than ULIPs because they offer significantly higher life cover at much lower premiums.

ULIPs combine life insurance with market-linked investments and typically provide a death benefit linked to the policy structure. ULIPs provide built-in life cover of roughly 7–20× annual premium, while term insurance can offer 20–30× annual income at a lower insurance cost.

They also involve charges such as fund management, mortality, administration, and policy-related fees. Mutual funds generally involve expense ratios, exit loads, and applicable taxes.

ULIPs have a mandatory five-year lock-in, while most mutual funds offer greater liquidity. Equity-Linked Savings Scheme (ELSS) funds have a three-year lock-in. ULIP investments are managed through insurer-provided funds, while mutual funds offer a wider range of fund choices based on your investment preferences.

You can also refer to the infographic attached below for more details: 

Premium Comparison of SBI Life Insurance Plans With Other Leading Insurers

For this example, we’ve considered healthy, non-smoking, salaried individuals living in a tier-1 city like Delhi (pincode: 110010) and covered for a sum assured of ₹2 crore until age 65. 

Ditto’s Verdict: SBI Life’s premiums are close to Axis Max Life’s and cheaper than HDFC Life’s. However, premiums are only one part of the decision. These need to be considered alongside plan features, available riders, flexibility, and the insurer's claim experience. 

In this scenario, Smart Term Plan Plus ranks higher due to its balance of insurer reliability, product features, and pricing. Similarly, HDFC Life offers a more comprehensive feature set and smoother experience for policyholders. 

Ditto’s Verdict on SBI Life Insurance Plans

The purpose of life insurance is to replace income. If you pass away during your earning years, your family may still need money for rent, EMIs, school fees, daily expenses, and long-term goals. A term plan gives you a large cover at a relatively affordable premium.

• Among SBI Life term insurance plans, Smart Shield Plus is the better starting point for most buyers. It offers comprehensive protection, multiple coverage options, a better-half benefit, and flexible payment options. 
• SBI Life Smart Fortune Builder is better viewed as an investment-linked insurance product rather than your core protection plan. It gives market-linked fund options and life cover, but the life cover is too low for true income replacement. So, if you need ₹1 crore or ₹2 crore of protection, do not rely on a ULIP. Buy a term plan first. 

Once you have enough term insurance, you can then think about investments separately. You can compare mutual funds, Public Provident Fund (PPF), National Pension System (NPS), Fixed Deposits (FDs), and other options. If you still want to evaluate ULIPs or savings plans after that, do it based on your risk appetite, lock-in comfort, charges, and expected returns.

Note: These metrics reflect the insurer's entire life insurance segment and are not disclosed separately for term insurance or individual plans. At Ditto, we believe in looking at 3-year averages to provide a comprehensive view of the insurer’s performance. This also ensures that one-off events do not cloud our judgment. 

The data in the table has been derived from public disclosures by SBI Life’s public disclosures and IRDAI annual reports. For more insurer metrics, explore Ditto Data Lab.

Why Choose Ditto for Life Insurance?

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• 100% Free Consultation
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Conclusion

Smart Shield Plus is a strong option to consider, especially if you prefer SBI Life as your insurer. However, it should not be the only plan you evaluate. To make an informed decision, compare it with other leading term insurance plans, such as Axis Max Life Smart Term Plan Plus and HDFC Life Click2Protect Supreme Plus.

A broader comparison is worthwhile because SBI Life ranks fifth among the best term insurance companies in India, behind Axis Max Life, HDFC Life, ICICI Prudential, and Bajaj Life. Evaluating plans across these insurers can help you identify the coverage, features, and value that best match your needs.