Kotak Premier Moneyback Plan – Overview
Kotak Premier Moneyback Plan is a participating, savings cum protection plan. This limited pay plan provides lump-sum cash payouts at periodic intervals throughout the policy term to meet interim financial requirements. Savings grow with yearly reversionary bonuses and a lump-sum maturity addition. The plan offers superior life protection as it includes death due to an accident in which case an additional Basic Sum Assured is paid along with the Death Benefit. It offers a choice of fixed policy term of 16, 20 and 24 years.
Kotak Premier Moneyback Plan - Key Features
- Regular Payouts: The plan provides regular cash backs at equal intervals as a percentage of the Basic Sum Assured depending on the chosen policy term. The remaining Sum Assured is paid at policy maturity. These payouts help meet requirements at different stages in life during the policy term.
- Maturity Addition: Maturity Addition is paid as a lump-sum benefit along with the final payout at the end of the policy term. It is determined as a percentage of the Basic Sum Assured and differs based on the chosen policy tenure.
- In-Built Accidental Death Benefit: The plan also covers accidental death and offers it as a standard feature. In the event of the death of the life insured as a result of an accident, an additional Basic Sum Assured is paid along the Death Benefit.
- High Sum Assured Discount: The plan offers a premium discount for large Sum Assured amounts where the Sum Assured is greater than or equal to Rs. 5 lakh. The discount is to the tune of Rs. 2 per Rs. 1,000 of Sum Assured.
- Additional Protection through Riders:The plan offers a choice of 3 optional riders which help increase the level of protection. These can be opted for by paying reasonable additional premiums.
- Kotak Term Rider (KTB): This rider provides an additional death cover over and above the Death Benefit of the base plan
- Kotak Life Guardian Benefit Rider (LGB): This rider waves off the future insurance premiums in case of death of the life insured. The remaining premiums are paid by the insurance company on behalf of the policyholder.
- Kotak Accidental Disability Guardian Benefit Rider (ADGB): This rider waves off the future insurance premiums in case the life insured becomes disabled as a result of an accident. The remaining premiums are paid by the insurance company on behalf of the policyholder.
- Reduced Paid-Up Benefit: If subsequent premiums are not paid within the grace period once the policy has acquired a Surrender Value, the policy is automatically converted into a Reduced Paid-Up policy. This ensures that policy benefits continue as before.
Kotak Premier Moneyback Plan - Benefits
- Death Benefit: In the event of the passing away of the life insured due to natural causes (other than an accident) during the tenure of the policy, the Death Benefit is paid to the nominee.
Death Benefit = Sum Assured on Death
+ Accrued Reversionary Bonuses and Terminal bonus (if any)
If the entry age of the life insured is less than or equal to 45 years, the Sum Assured on Death is higher of the following:
- 11 times of Annual Premium
- Basic Sum Assured
If the entry age of the life insured is greater than 45 years, the Sum Assured on Death is higher of the following:
- 7 times of Annual Premium
- Basic Sum Assured
The minimum Death Benefit at any given point in time is 105% of the total premiums paid till the date of death (excluding any extra premium).
The Death Benefit is paid irrespective of the regular payouts (survival benefits) already paid.
- Maturity Benefit: The plan gives a Maturity Benefit on the date of maturity.
Maturity Benefit = Balance of the Basic Sum Assured (i.e. 40% of the Sum Assured)
+ Maturity Addition
+ Accrued Reversionary Bonus (if any)
+ Terminal Bonus (if any)
- Tax Benefits: Tax benefits are available for premiums paid and Death/ Maturity Benefit received under Section 80C and Section 10(10D) the Income Tax Act, 1961 respectively
Kotak Premier Moneyback Plan - Product Specifications
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Minimum
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Maximum
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Entry Age (last birthday)
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2 years
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59 years for a 16 year policy term
55 years for a 20 year policy term
51 years for a 24 year policy term |
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Maturity Age (last birthday)
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-
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75 years
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Policy Term (fixed)
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16, 20 and 24 years
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Sum Assured
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Rs. 1,50,000
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No limit (subject to underwriting acceptance)
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Premium Payment Term
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Limited:
8 years for a 16 year policy term
10 years for a 20 year policy term
12 years for a 24 year policy term |
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Premium Payment Mode
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Yearly, Half-yearly, Quarterly, Monthly
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Premium Modal Factor
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The following modal loadings are used to calculate the instalment premium:
Yearly: 100%
Half-yearly: 51%
Quarterly: 26%
Monthly: 8.8% |
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Premium Levels
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Depends on the minimum Sum Assured
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Depends on the Sum Assured levels
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Kotak Premier Moneyback Plan - Policy Details
Grace Period: The insurance company provides a grace period from the premium due date for payment of unpaid premiums. This period is 30 days in case of yearly, half-yearly and quarterly payment modes, and 15 days in case of the monthly mode.
Nomination: The facility of nomination is available under the plan as per the provisions of Section 39 of the Insurance Act, 1938
Assignment: The facility of assignment is available under the plan as per the provisions of Section 38 of the Insurance Act, 1938
Written By: PolicyBazaar - Updated: 29 September 2016
