Kotak Term Plan or Kotak Preferred Term Plan

Type of policy: Term Insurance

A term insurance is a pure life insurance policy that gives your family a cover in case of an eventuality to the bread winner. This is a fantastic product from customer point of view, and is indeed one that every single family needs to have, for its earning member(s).

Kotak Term Plan and Kotak Preferred Term Plan are pure term policies.Preferred Term Plan is meant for those who require sum assured of Rs 25 lakhs or more. We typically recommend an insurance cover of 4-8 times your annual income, for as long a term as is available for your age. Find out the ideal cover for you using this calculator.

Kotak Term Plan/Kotak Preferred Term Plan is a great plan to have. Additional riders like Accidental Death Benefit, Permanent Disability Benefit and Critical Illness Benefit are offered on both plans. You can safely overlook the first too, since if you have chosen an adequate sum assured, your beneficiaries will receive the death benefit irrespective of the means of death (except by suicide, of course). Critical Illness is one policy every family should have for all members. Buy one separately and not as a rider since riders limit on illnesses covered and are generally low on important features.

Product features:

Parameter

Value

Minimum age at entry

18 years

Maximum age at entry

65 years

Policy term

Min-5, Max-30 years or attaining 70 years of age whichever is earlier

Max sum assured

For Term Plan - Rs 24,99,999

For Preferred Term Plan - No limit

Min sum assured

For Preferred Term Plan -  25 lakhs

Returns: No survival benefit available at the end of the term. Pure insurance must be considered an expense and not an investment. Both give best results when handled separately.

Illustration:

Kotak Term Plan

The table below provides indicative premiums for various age-term combinations for sum assured of Rs. 24,99,999 for a non-smoking male. Women can avail lower premiums.

Your age

Term

Indicative Annual Premium

25 years

25 years

Rs. 3,800

30 years

25 years

Rs. 4,600

40 years

25 years

Rs. 10,100

50 years

15 years

Rs. 19,600

Kotak Preferred Term Plan

The table below provides indicative premiums for various age-term combinations for sum assured of Rs. 50 lakhs for a non-smoking male. Women can avail lower premiums.

Your age

Term

Indicative Annual Premium

25 years

25 years

Rs. 6,000

30 years

25 years

Rs. 7,300

40 years

25 years

Rs. 15,000

50 years

15 years

Rs. 26,000

1

Fintotal Product Analysis is the ideal place to seek unbaised and neutral view on all financial products.

Do not get fooled by agents and distributors, just check here before you make any purchases.


Explore more in a easy manner.


Table of Contents

Table of Contents