Kotak Invest Maxima
Kotak Invest Maxima Insurance Plan
Kotak Invest Maxima is a unit-linked insurance plan (ULIP) with no premium allocation charges. ULIPs are a great choice for customers who want to invest in insurance cum investment products. The features of this Ulip is that there is zero premium allocation charge, flexible payment options-regular, survival units, limited or single premium, additional protection through optional riders.
Kotak Invest Maxima allows you to maximize your investments over a long period of time. The premiums paid by you (less any deductions) are invested in your choice of funds, and the company allocates units to you. If you wish to manage investments on your own, then you can opt for Self Managed Fund. If you don’t want to manage it on your own, then opt for Systematic Switching.
It is important to know that the premiums paid in unit-linked insurance plans are subject to market fluctuation risks and this risk has to be borne by the policy holder.
Key Features
Survival units are paid – up to 2% of Fund Value starting from 10th year and once every 5th year thereafter
Age = 35 years
Annual Premium = Rs.1,00,000
Sum Assured = Rs 10,00,000
Policy Term = 20 yrs
Total Investment = Rs 1,00,000 X 20 years= Rs 20,00,000
Benefits
In the unfortunate event of death, your family would get receive:
- Higher of:
- Basic Sum Assured or
- 105% of the premiums paid up to the time of death
- Fund Value including Survival Units
and
- Higher of:
- Top-up Sum Assured
- 105% of the Top-up Premium
- Fund Value of Top-up Account
On maturity, the Fund Value is paid to the policyholder. It will be the sum of Fund Value in the Main Account including Survival Units (if any) and Fund Value in Top-up Accounts (if any)
Life Insurance premiums paid up to Rs. 1,00,000 are allowed as a deduction from the taxable income each year under section 80C
There are 3 riders available in this policy
- Kotak Accidental Disability Benefit (ADB) – Lumpsum amount paid on accidental death
- Kotak Permanent Disability Benefit (PDB) – Installments paid if total and permanent disablement due to an accident
In this plan there are 2 Investment Fund Options
- Systematic Fund
- Self Managed Fund
You can invest additional premiums as top-up premiums anytime except in the last five policy years. In case of regular or limited payment option, the top-up premium should not be more than 10 times the yearly premium and it should not be more than 5 times the Single Premium for Single Pay option.
You have the flexibility to switch investments from one fund to the other any time during the policy term. First 15 switches in a policy year are free.
You are allowed to make partial withdrawals in this policy after 5 complete policy years. Minimum amount of withdrawal should be Rs 10,000.
Eligibility
|
Minimum |
Maximum |
|
|
Sum Assured (in Rs.) |
For age less than 45 yrs = Higher of (10 x AP) or (0.5 x Policy Term x AP)
For age 45 yrs & above = Higher of (7 x AP) or (0.25 x Policy Term x AP) |
25 x AP AP = Annualised Premium |
|
Policy Term (in years) |
Regular & Limited Premium = 10,15, 20, 25 & 30 Single Premium = 10 |
|
|
Premium Payment Term (in years) |
Regular = Same as Policy Term Limited = 5 years |
|
|
Entry Age of Policyholder (in years) |
0 |
65 |
|
Age at Maturity (in years) |
10 |
75 |
|
Payment modes |
Yearly and Single |
|
FAQs
What happen if you stop paying the premium before 5 years ?If the policy holder stops paying the premium, the insurance cover will cease and the fund value net of any discontinuance charge will be transferred to the Discontinued Policy Fund. The Discontinued Policy Fund will be credited with a minimum interest rate of 3.5% p.a. and the proceeds from this will be payable after the fifth policy anniversary. In case of death of the Life Assured during this period, only the accumulated fund value will be payable to the nominee.
What happen if you stop paying the premium after 5 years ?If the policy holder stops paying the premium after 5 years, then the accumulated policy fund amount till the date of discontinuance shall be paid to the policy holder and the policy will terminate immediately.
What happen if you want to surrender the policy ?If the policy holder wants to surrender the policy before completing 5 years, then the insurance cover will cease and the fund value net of any discontinuance charge will be transferred to the Discontinued Policy Fund. The Discontinued Policy Fund will be credited with a minimum interest rate of 3.5% p.a. and the proceeds from this will be payable after the fifth policy anniversary. In case of death of the Life Assured during this period, only the accumulated fund value will be payable to the nominee.
If the policyholder surrenders the policy after completion of 5 policy years, then the insurance cover will cease and your fund value shall be paid immediately and the policy would be terminated.
What happen if you want a loan against your policy ?Loans shall be granted against the policy once two years' premiums have been paid. Minimum loan amount is Rs 10,000. The rate of interest shall be determined by the Company from time to time after approval from IRDA.
