The Kotak Single Invest Plus Plan offered by Kotak Life Insurance is a single premium unit-linked joint life insurance plan with a fixed tenure of 5 years. The Kotak Single Invest Plus Plan offers the convenience of one-time single premium payment with an option of joint life cover. With the advantage of loyalty addition, the policyholder gets an option to invest in a wide variety of funds. This policy allows an individual to enjoy the benefits of investment and insurance throughout the entire policy term.
In order to be eligible for the Kotak Single Invest Plus Plan, the applicant needs to fulfill certain criteria as prescribed by Kotak Life Insurance. The eligibility factors are mentioned below:
|Parameters||Criteria for Eligibility for Primary Life||Criteria for Eligibility for Secondary Life|
|Maximum age at entry||55 years for 10 years policy term and 52 years for 15 years term||55 years for 10 years policy term and 52 years for 15 years term|
|Minimum age at entry||28 years||18 years|
|Maximum age at maturity||65 years for 10 years policy term and 67 years for 15 years term||65 years for 10 years policy term and 67 years for 15 years term|
|Term of the policy (fixed)||10 and 15 years|
Underwriting screening will be applicable for age 3 to 7 years
Sum Assured – The sum assured payable on 1st death is 1.25 times of the single premium sum assured and the sum assured payable on the 2nd death is 10 times of the single premium.
Premium – The Premium is the amount that the policyholder pays as the one-time single payment to keep the Kotak Single Invest Plus Plan’s coverage active. The details of the Premium payment are listed below:
|Premium Payment option||Single Pay|
|Premium amount||Minimum of Rs.3,00,000 and no limit for the maximum premium amount|
The Kotak Single Invest Plus Plan provides insurance cover on two lives. This policy allows secondary coverage only for a close relationship of the primary policyholder such as spouse, parent, child, grandparent or grandchild. The death benefit is paid out in case of any of the insured lives meeting with an unfortunate event either independently or together during the tenure of the policy. The death and maturity benefit payable under various circumstances are explained below:
|Maturity Benefit||In case either of the two lives survives till the end of the policy terms, the fund value including the loyalty additions will be paid out to the surviving policyholder. The policyholder can choose to take either the lump sum as a one-time payout or opt for part payments through the settlement options upon the maturity proceeds.|
|Surrender Benefit||The linked insurance products such as Kotak Single Invest Plus Plan do not offer any liquidity in the first five years of the policy. The policyholder is not allowed to surrender or withdraw any benefit out of the investments in the policy completely or partially till the end of the fifth year of starting the policy.|
|Death Benefit||In case the insured policyholder encounters an event of death, the death benefits under Kotak Single Invest Plus Plan will be paid out based on various factors such as –
|Loyalty Addition||Kotak Single Invest Plus Plan provides the benefit of additional units called loyalty additions. The units are credited to the policy fund at the end of 10th policy year applicable for a policy of 10 year term. Also, for a 15 year policy term, the addition of units are credited to the fund on the 10th and 15th policy year. The additional units will be credited as a percentage of the average fund value as below:
The primary policyholder is responsible for appointing a legal guardian at the inception of the policy for a minor secondary policyholder
There are no riders or add-ons available under this policy.
In case the primary, secondary or both the policyholders commit suicide within one year of the policy inception date, the beneficiary would be entitled to receive only the fund value and no other benefits will be paid out. Additionally, the policy will be terminated once the fund value is paid out to the beneficiary.
|Freelook Period||The Kotak Single Invest Plus Plan offers 15 days freelook period to the policyholder for buying a policy from any channel. If the policy is bought from a Distance Marketing Channel, the policyholder is provided with a 30 days freelook period. Within the freelook period, the policyholder can claim for a refund if the terms and conditions are not agreeable to him/her. The policyholder will be required to return the policy with a valid reason in order to receive a refund of the fund value on the date of cancellation.|
|Access to funds||The policyholder can choose to withdraw a partial amount at the end of 5th policy year in order to meet interim emergency expenditure.|
|Flexible settlement options||At the end of the policy term, the policyholder can choose to receive the total maturity benefits (whole amount) as regular installments or a part of the whole amount as a lump sum and the rest through regular installments.|
|Discontinuance of policy||The policy comes with a 5 year lock-in period, depending on the year of discontinuance, the benefits of the policy will be paid out at the end of the 5th policy year or on the date of the discontinuance, and whichever is later.|
The tax benefits are subject to the terms and conditions specified under section 10(10D) and section 80C of the Income Tax Act, 1961. The customers are advised to discuss the tax benefits with a qualified tax consultant before buying the policy. Considering the fact that the tax regulations are subject to amendments, a qualified tax consultant can help you understand the latest tax rules.
The Kotak Single Invest Plus Plan offers tax benefits through the investment in the policy. In addition to providing life coverage, the policy also allows the policyholder to save on tax. By paying the insurance premium, the policyholder can save on tax under Section 80C of the Income Tax Act, 1961. The Section 10(10D) of the Income Tax Act, 1961, allows the maturity benefit, death benefit, etc. to be eligible for tax deductions.
Kotak Life Insurance is one of the most trusted and popular life insurance providers in India. The company offers expertise in mutual funds, protection plans, Kotak investments, insurance plans, and various other financial products that are customized to meet the requirements of individuals from diverse income groups. The company offers policies to individuals in most age groups that helps them in saving tax while maximizing their return on investments. Currently, Kotak Life Insurance has 32 products that include 9 group products, 10 ULIPs, and 18 rider options in the company’s product portfolio. The company also specializes in a broad range of banking and insurance products. With an excellent customer service and quick claim processing record, the insurance provider is second to none when it comes to insurance products in India.
The Kotak Single Invest Plus Plan is one of the most sought after policy in the market that offers multiple benefits. By buying this policy, the policyholder can take advantage of both insurance and investment benefits. Based on the customer’s requirements, risk appetite, and investment objective, the policy provides 5 fund options. With a one-time single premium payment, the policyholder can enjoy insurance coverage throughout the policy term. The joint live cover, loyalty addition, and multiple investment options make it one of the ideal policies for anybody looking for a single premium unit-linked joint life insurance plan.
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