Kotak eTerm Plan Brochure

Note: Know more about what is term insurance first before reading this article.

Eligibility Criteria for Kotak eTerm Insurance Plan

The Kotak eTerm plan brochure provides comprehensive information about plans with various options according to the customer's preferences. The customer can choose among the available options that suit their needs the best. There are a few basic qualifications for getting a plan with Kotak. The eligibilities are discussed below:

Salient Features of Kotak eTerm Insurance Policy

The features of the plan are described in detail in the Kotak eTerm plan brochure. The key features of the Kotak eTerm plan are discussed below:

1. Low-Cost Insurance

   One of the key features discussed in the Kotak eTerm plan brochure is low-cost insurance. This provides the customer with a huge sum assured amount at a very low premium rate. Thus, the policyholder can easily afford to pay the premium without much trouble. 

2. Plan Options

   Kotak eTerm plan brochure provides the plan options of the Kotak eTerm plan. There are three-term plans available under this scheme, and the customer can choose the one that best suits their needs. They are as follows:

   • Life Option – Promised sum assured amount upon the death of the policyholder.
   • Life Plus Option – Covers the benefit that is provided under the Life Option plus an accidental death benefit. 
   • Life Secure Option – Covers the benefit under the Life Option plus waiver of the premium amount upon total and permanent disabilities.

3. Payout Options

   The Kotak eTerm plan provides three payout options. They are as follows:

   • Immediate Options – the nominee will get the Sum assured on the death as an immediate lump sum amount. Once the death benefits are given, the policy gets terminated.
   • Increasing Recurring Payout – 6% of the Death Sum Assured shall be paid when the 1st year after the date of death ends. After this, the payout shall be increased 10% annually. These will be paid at the end of every year for 15 years from one year after the date of death. 
   • Level Recurring Payout – 6% of the Death Sum Assured shall be paid at the end of every year for 15 years. The first payment will be made one year after the date of the death.

4. Step-Up Options

   Step-Up Options can be chosen at the time of buying a policy. It provides additional insurance cover at a particular milestone in the life of the customer like the following:

   • Marriage – During the marriage of a policyholder, the Sum assured amount gets an additional 65% of the promised amount during the time of policy purchase.
   • Purchase of House – When a policyholder buys their first house after the commencement of a policy, then the Sum assured amount gets an additional 65% of the promised amount during the time of policy purchase.
   • Birth of a Child – During the birth of a child in the policyholder's life, the basic Sum assured will get an additional 25% to the existing promised amount at the time of policy purchase.
   • Adoption of a Child – If a customer chose to legally adopt a child the basic sum assured amount will get an additional 25% to the existing promised amount at the time of policy purchase.
   • Policy Anniversary – 25% of the Basic Sum assured is added to the already existing policy during the 1st, 3rd, and 5th policy anniversary dates. 

5. Step-Down Options

   Life is all about ebbs and falls. If the customer finds it difficult to pay their premium, they can reduce the existing Sum assured amount to reduce the years of the premium paid or to reduce the premium amount. 

6. Special Rates

   Special discount in premium rates is provided for women and non-tobacco users. 

7. Risk Covers

   The risk covers provide enhanced protection against accidental deaths, critical illnesses, and in case of total permanent disability. 

Core Benefits of Kotak eTerm Insurance Plan

The benefits of the Kotak eTerm plan are many. Some of the benefits provided under the Kotak eTerm plan brochure are given below: 

1. Death Benefits

   The death benefits include providing the Sum assured amount to the nominee of the policyholder's death that might have happened in between the policy period. 

2. Tax Benefits

   The tax benefits can change based on the tax laws. So, the tax benefits are applicable under the tax laws provided by the Income Tax Act, 1961.

3. Accidental Death Benefits

   This accidental death benefit comes under the 'Life Plus' option in case of accidental deaths. Under such circumstances, the policyholder's nominee will get 100% of the Basic Sum assured amount. He is also entitled to receiving up to 1 Crore in addition to the death benefit. 

4. Discount Benefits

   Special discounts are provided for women and non-tobacco users. Also, an additional discount of 5% in the 1st policy year is applicable for the individual’s life insured under existing policies. 

The Process to Purchase Kotak eTerm Plan

The process for purchasing the Kotak eTerm plan is simple, and a few steps are to be followed. 

Step 1: Choose the coverage amount based on the policy term, premium amount, and the basic Sum assured based on the requirement of the customer.

Step 2: Select one among the three plan options that are available – Life, Life Plus, and Life Secure. 

Step 3: Select among the three payout options – Immediate payout, Increasing recurring payout, or Level recurring payout.

Step 4: Select the desired premium payment mode as per requirement and use the step-up option to increase coverage on future life stage events or the step-down option.

Step 5 (Optional): Select additional covers through 2 riders: Permanent Disability Benefit Rider or the Critical Illness Plus Benefit Rider.

Documents required to Buy Kotak eTerm Insurance Plan

The documents required for buying a plan as mentioned in the Kotak eTerm plan brochure are as follows:

• ID Proof
• Age Proof
• Bank Account details
• Passport size photographs
• Proposal forms.

Additional Features of Kotak eTerm Policy

Some of the features of the plan as provided by the Kotak eTerm plan brochure are as follows:

1. Loss of Independent Living

   If the policyholder is unable to live independently, like not able to wash and dress, toileting, to be able to move indoors and outdoors, transferring themselves from bed to chair or some other place, not able to feed themselves using their hands, etc. Under such circumstances, the policyholder can get the Sum assured amount before as per their demand. 

2. Loss of Use of Limbs

   If the policyholder gets into an accident or some other event that leads to the loss of either two or more of their limbs, even if the limbs are paralyzed, and they aren't able to use their limbs anymore. Under such circumstances, the policyholder can get the Sum assured amount. 

3. Loss of Use of Sights

   If the policyholder becomes unfortunate and losses their eyesight, i.e., becoming blind, in such a case, if the eyesight of the customer is irreversible or cannot be restored upon operations and the policyholder ends up losing their eyesight permanently, then the customer can get the Sum assured amount without any further premium payments. 

   NOTE – The loss of eyesight will be evidenced by a clinically certified medical practitioner stating that the eyesight cannot be restored upon a clinical procedure. Only then, the customer can get the Sum assured amount. 

4. Unable to Work

   If the policyholder gets into an illness or injury that causes damage in their everyday work life they can get a clinical certificate stating that the customer is 'Unable to work,' then the policyholder can get the Sum assured amount without paying any further premium payments.

Terms and Conditions

Here is a rundown of the terms and conditions of the Kotak eTerm Plan:

1. Grace Period

   A grace period of 30 days from the due date is provided by the Kotak eTerm plan for yearly, half-yearly, and quarterly term premium payments. If the policy premium payment is monthly, then a grace period of 15 days is provided from the due date. 

2. Lapse

   The policy can lapse if the due premium is not received until the end of the grace period provided by the Kotak eTerm plan. 

3. Policy Revival

   Upon the lapse in a particular policy, the customer can revive the policy within two years of the date of policy lapse. If the revival is not done within 2 years, then the policy will get cancelled.

4. Suicide Exclusion

   The Kotak eTerm plan brochure provides the following exclusion for the insurance customers:

   If the policyholder commits suicide within 12 months from the date of the policy taken, then the nominee of the policy can only get 80% of the total premium paid.

Note: Check out the best term insurance plan in India and choose one that suits your requirements.

FAQs