How to Use the Kotak ULIP Plan Calculator?
The following points explain the steps required to use the calculator:
- Step 1: Visit the official website to access the calculator.
- Step 2: Go to insurance plans and then Tools and Calculators. Click on it to proceed.
- Step 3: Select ULIP plans under the product category.
- Step 4: Choose the ULIP product that you would like to analyze further.
- Step 5: Enter Personal Details.
- Step 6: Enter cover and term details.
- Step 7: Enter fund allocation details.
Under fund allocation details, you have to enter your investment strategy. Two options are available: Self Managed Strategy and Age-Based Strategy.
- If you choose a "self-managed strategy", you have to allocate your investments into different already-mentioned funds, such as debt, equity, and balanced funds.
- If you choose "age-based strategy", three more options will be provided: aggressive, moderate, or conservative.
- The aggressive strategy allocates 20% in "Dynamic Bond Fund" and 80% in "Classic Opportunities Fund".
- The moderate strategy allocates 30% in "Dynamic Bond Fund" and 70% in "Classic Opportunities Fund".
- The conservative strategy allocates 40% in "Dynamic Bond Fund" and 60% in "Classic Opportunities Fund".
- Step 8: Now enter rider details. Add riders as per your convenience.
- Step 9: Add or skip additional details. Click on calculate
The results will be displayed on your screen. You can also download them in pdf format to view the details later.
Kotak ULIP Plan Calculator Example
Here is an example to explain the use of the calculator:
- Visit the official website and access the calculator.
- Go to ULIP calculator and select Kotal Platinum
- Enter personal details such as name, DOB, and gender
- Cover and term details
- Premium: ₹10,000
- Policy term: 20 Years
- Premium payment term: 20 Years
- Premium payment frequency: Monthly
- Sum assured: ₹30,00,000
- Fund allocation
- Select Self Managed Strategy
- Enter 100 in the classic opportunities fund. It means that 100% of your investment will be in the classic opportunities fund.
- Add riders, if you want additional protection
- Accidental death benefit:
- Sum assured: ₹50,000
- Term: 20 Years
- Permanent disability benefit:
- Sum assured: ₹50,000
- Term: 20 Years
- You can add or skip top-up premium details.
- The calculation is done. Let's click on generate PDF to know the details of these plans. Such as returns, rate of return, and maturity amount.
Advantages of Kotak ULIP Plan Calculator
The crucial advantages of using this calculator are:
- Planning your finances: This simple tool can help you to understand your finances and plan accordingly. With the help of this tool, you can figure out the investment amount, premium, and duration along with other details.
- Flexibility: This tool lets you choose everything without restrictions like sum assured, premium payment, duration, and fund allocation. It enables you to try different combinations to understand which plan will suit you better.
- Financial goal: This tool can help you identify your financial goal by giving you a fair idea about how much you would need to invest to ensure protection for you and your family.
The different pieces of information required while using the Kotak ULIP Plan Calculator are:
- Personal details like name, DOB, Gender, Email ID, and mobile number
- Coverage terms and details: premium amount, policy term, premium payment term, premium payment frequency, and sum assured.
- Fund allocation: You have to choose the funds in which you would like to invest.
- Rider details: You have to decide how much sum to assure for the accidental death benefit and permanent disability benefit.
- Top-up premium details: You have to choose the amount you would like for top-up and select the top-up year.
Benefits of Buying a Kotak ULIP Plan
Here are the benefits of buying a Kotak ULIP Plan:
- Develops saving and investing habits: Investing in a ULIP plan helps you build the habit of saving and investing your hard-earned money.
- Exposure to the equity and debt market: A ULIP plan provides the advantage of exposure in the debt and equity market. Nowadays, inflation is soaring, interest rates are going down, and it has become significantly challenging to beat inflation. So, you must have some investments in equity or debt instruments.
- Tax saving: A ULIP plan allows you to avail a deduction of ₹1.5 lakhs p.a. from your taxable income under Section 80C of the Income Tax Act 1961.
- Protection against financial trouble: A ULIP plan has both investing and insurance. The insurance assures that the assured sum will be transferred to your family in case of your death, so they don't have to face any financial troubles.
- Wealth creation: It also provides the opportunity to generate wealth, which will help you to plan your retirement better.
The Kotak ULIP Plan Calculator is a free tool that helps you calculate and know a ULIP plan's various aspects. Anyone can use it, and you do not need any advanced finance knowledge to utilize the calculator. In addition, investing in a ULIP plan helps build a corpus for a better financial future.