Life is uncertain, but financial planning helps reduce the stress that uncertainty brings. One of the most important ways to secure your loved ones’ future is by choosing the right term insurance plan. Among the many options available in India, the ICICI Prudential iProtect Smart plan stands out as a trusted, flexible, and affordable solution.
This blog will walk you through every important detail of iProtect Smart—its features, benefits, eligibility, riders, tax advantages, and frequently asked questions. By the end, you’ll know whether this plan is right for your family’s financial security.
What is iProtect Smart?
ICICI Prudential iProtect Smart is a term life insurance policy that offers financial protection to your family in the unfortunate event of your death, disability, or critical illness. Unlike endowment or money-back plans, it is a pure protection plan. That means there is no maturity value—you don’t get back money if you survive the policy term. The main purpose is to ensure your family does not face financial difficulties in your absence.
What makes this plan different is its customizable structure. It allows you to add riders such as critical illness cover, accidental death benefit, and waiver of premium, so you can tailor it as per your needs.
Key Features of iProtect Smart
- Life Cover Protection – Ensures your family receives a lump sum or income in case of your demise.
- Terminal Illness Benefit – If you are diagnosed with a terminal illness (life expectancy less than 6 months), the policy pays out the cover amount immediately.
- Critical Illness Benefit – Covers 34 critical illnesses such as cancer, heart attack, kidney failure, and stroke.
- Accidental Death Benefit (Optional) – Enhances your coverage by providing an extra payout in case death is caused by an accident.
- Waiver of Premium on Disability – If you suffer permanent disability due to an accident, all future premiums are waived, but coverage continues.
- Flexible Payout Options – Nominee can choose lump sum, monthly income, or a mix of both.
- Coverage Till 99 Years – Whole life coverage available for long-term security.
- Affordable Premiums – Offers high sum assured at low premium rates compared to traditional insurance.
- Tax Savings – Premiums are eligible for deduction under Section 80C and 80D, and payouts are tax-free under Section 10(10D).
Plan Variants
The plan offers four options to suit different needs:
- Life Option – Standard term cover with terminal illness protection.
- Life Plus Option – Includes Life Cover + Accidental Death Benefit.
- Life & Health Option – Includes Life Cover + Critical Illness Benefit.
- All-in-One Option – Combines Life Cover, Accidental Death, and Critical Illness protection.
Eligibility Criteria
Entry Age: Minimum 18 years, Maximum 65 years.
Maturity Age: Up to 99 years.
Policy Term: 5 years to 40 years, or whole life (till 99 years).
Sum Assured: Minimum ₹50 lakhs (varies by option).
Premium Frequency: Monthly, half-yearly, or yearly.
Premium Payment Options: Single pay, regular pay, or limited pay (e.g., 10, 15, or 20 years).
Premium Example
For a 30-year-old healthy non-smoker male:
Life cover of ₹1 crore for 30 years under Life Option → Approx. ₹700–₹800 per month.
If he adds Critical Illness cover of ₹25 lakhs → Approx. ₹1,200–₹1,500 per month.
(Note: Premiums vary based on age, gender, lifestyle, and chosen benefits.)
Riders Available
Accidental Death Benefit Rider – Extra sum assured in case of accidental death.
Critical Illness Rider – Covers 34 illnesses with lump-sum payout.
Waiver of Premium Rider – Waives all future premiums in case of disability.
These riders enhance protection, though they slightly increase premium costs.
Claim Settlement Process
ICICI Prudential has a strong claim settlement record with a high claim ratio. The claim process is simple:
- Inform the Company – Intimate the claim online, via email, or at a branch.
- Submit Documents – Provide claim form, death certificate, policy documents, ID proofs, and medical reports if required.
- Claim Decision – Once verified, claims are usually settled within 30 days.
Tax Benefits
Section 80C – Premiums up to ₹1.5 lakh annually are deductible from taxable income.
Section 80D – Premiums for critical illness cover qualify for extra tax benefits.
Section 10(10D) – Death benefit payouts are fully exempt from tax.
Pros and Cons
Advantages:
✔ Wide coverage including life, accident, and illness.
✔ Coverage till 99 years.
✔ Affordable premiums for large cover.
✔ High claim settlement ratio.
✔ Option to customize plan.
Limitations:
❌ No maturity benefit.
❌ Riders increase premium amount.
❌ Higher premiums for smokers and people with health issues.
Frequently Asked Questions (FAQ)
- What is iProtect Smart?
It is a term insurance plan offering life cover, terminal illness, and optional benefits like critical illness and accidental death cover. - Does it offer maturity value?
No, this is a pure protection plan. If you survive the policy term, there is no payout. - What is the maximum coverage age?
Coverage is available till age 99 under the whole life option. - Is accidental death automatically covered?
No, you need to choose Life Plus or All-in-One option to include accidental death benefit. - How many critical illnesses are covered?
34 illnesses such as cancer, heart attack, kidney failure, and major organ transplant. - Is there a waiting period for critical illness claims?
Yes, typically 90 days from policy start and a 30-day survival period post diagnosis. - What is the claim settlement ratio?
ICICI Prudential has consistently maintained a settlement ratio above 97%. - Can NRIs purchase this plan?
Yes, NRIs can buy it, subject to underwriting norms. - Does smoking increase the premium?
Yes, smokers pay a higher premium compared to non-smokers. - What happens if I stop paying premiums?
The policy will lapse, and benefits will cease. You may revive it within the revival period by paying overdue premiums. - Is suicide covered?
Yes, but only after 12 months from the policy start date, as per standard insurance norms. - Can I choose how my nominee receives the claim amount?
Yes, options include lump sum, monthly income, or a mix of both. - What is terminal illness cover?
If diagnosed with a terminal illness with life expectancy less than 6 months, 100% of the sum assured is paid immediately. - Can I change the sum assured later?
No, the sum assured chosen at policy start remains fixed. - Are online premium payments accepted?
Yes, you can pay through net banking, debit/credit cards, UPI, or auto-debit.
Final Thoughts
ICICI Prudential iProtect Smart is one of the most comprehensive term plans available in India. It is ideal for those looking to combine affordable life cover with extra protection against health and accidental risks. While it doesn’t offer maturity benefits, the strength of the plan lies in protecting your family’s financial future.
If your priority is to ensure your loved ones live without financial worries in your absence, this plan deserves serious consideration.
Frequently Asked Questions (FAQs) on ICICI Prudential iProtect Smart
- What is ICICI Prudential iProtect Smart plan?
It is a term life insurance policy that offers financial protection to your family in case of your death, and also provides optional benefits like accidental death and critical illness cover. - Can I get money back at the end of the policy term?
No, iProtect Smart is a pure protection plan. It does not provide maturity or survival benefit. The only benefit is financial security for your family if something happens to you. - How long can I stay covered under this plan?
You can choose coverage up to the age of 99 years, depending on the option selected. - Is critical illness automatically included?
No, it is optional. You need to select either the Life & Health option or the All-in-One option to add critical illness cover. - How many illnesses are covered under the critical illness benefit?
The plan covers 34 major illnesses like cancer, heart attack, stroke, kidney failure, and organ transplant. - Does the policy cover accidental death?
Yes, but only if you choose Life Plus or All-in-One option. In those cases, an additional payout is made in case of accidental death. - What happens if I cannot pay premiums due to disability?
If you suffer permanent disability from an accident, all future premiums are waived, but your policy remains active. - Is there a waiting period for critical illness claims?
Yes. Generally, there is a 90-day waiting period from the start of the policy and a 30-day survival period after diagnosis. - Can NRIs purchase iProtect Smart?
Yes, NRIs are eligible to buy the plan, subject to company underwriting rules. - Will my premium increase every year?
No, once you choose a premium at the start, it remains fixed for the entire policy term (unless you opt for additional covers later). - How is the claim amount paid to my family?
Your nominee can choose lump sum, monthly income, or a mix of both, depending on what is best for them. - What is terminal illness cover in this plan?
If you are diagnosed with a terminal illness and your life expectancy is less than six months, the company pays the full sum assured immediately. - Is suicide covered in this plan?
Yes, but only after 12 months from the date the policy starts, as per standard insurance rules. - Can I revive my lapsed policy?
Yes, you can revive your policy within the revival period by paying overdue premiums and meeting health requirements, if asked. - What is the claim settlement ratio of ICICI Prudential?
The company has maintained a high claim settlement ratio, usually above 97%, which shows strong reliability in settling claims.
