Kotak Life Insurance Retirement Income Plan

The Kotak Retirement Income Plan is a savings plan designed to meet your post-retirement needs. It is a plan that gives you “Jeene ki azaadi”. It gives you the choice to remain independent even after retirement.
The Kotak Retirement Income Plan is a participating plan. The plan comes in two forms:
(i) With Cover (ii) Without Cover.
 Advantages
  • You can choose to retire at any age between 45 yrs and 65 yrs.
  • Option of Early retirement due to ill-health.
  • You can make top-ups into your policy at any time before retirement.
  • You may exercise the option of paying premiums from the Top-Up Account, created for “top-up premiums”, if the need arises.
  • For a “With Cover” plan, you have the facility of Automatic Cover Maintenance, which ensures that the cover remains in force even when you miss the premium payments. This facility is available after paying full premiums for first three years of the term.
 Key Features
On Retirement
You may take a lump sum in cash of up to a third of your Basic Sum Assured or Accumulation Account, whichever is higher; and the balance of the benefit you are eligible for will be used to buy an annuity of your choice.
Annuity Options
You may buy an annuity either from Kotak Life Insurance (subject to the choice and rates available at that time), or from any other registered insurer.
Early Retirement Benefits
You may opt to retire early, i.e. at any age before the normal retirement date (subject to the policy being in force for 3 years or your attaining a minimum age of 45 yrs, whichever is later). You can then secure benefits with your Accumulation Account, net of an early retirement charge of 5%.
If the early retirement is due to ill health, then you may retire before attaining the age of 45. You can then secure benefits with your full Accumulation Account.
Late Retirement Benefits
You may opt to retire after the retirement date originally selected, and select a new retirement date (subject to a maximum of 65 years). No further premiums will be payable and the death benefit will be equal to the balance in Accumulation Account. (However, all riders will cease at the original retirement date).
Death Benefit (With Cover Plan)
The benefits to the beneficiary will be, greater of:

  • Sum Assured less all the premiums due but not paid, and
  • Accumulation Account.

This is used to buy an annuity, and provide commutation benefit, in accordance with the beneficiary’s choice.

Death Benefit (Without Cover Plan)
The benefits to the beneficiary will be, greater of:

  • Return of premiums paid and
  • Accumulation Account.

This will be used to buy an annuity, and provide commutation benefit, in accordance with the beneficiary’s choice.

What value-adds you can opt for?
You may avail of the following value-adds for a nominal premium at the time of taking the policy, subject to the aggregate premium on the value-adds not exceeding 30% of the premium on the basic benefit.



  • Term/Preferred Term Benefit (KTB – UIN No: 107C003V02, KPTB – UIN No: 107C013V01)
  • Accidental Death Benefit (ADB – UIN No: 107C001V01)
  • Critical Illness Benefit Permanent Disability Benefit (CIB – UIN No: 107C004V02)
  • Permanent Disability Benefit (PDB – UIN No: 107C002V01)
  • Life Guardian Benefit (LGB – UIN No: 107C012V01)
  • Accidental Disability Guardian Benefit (ADGB – UIN No: 107C011V01)
Tax Benefits
Section 80C, 10(10D) of Income Tax Act, 1961 would apply. Premiums paid for Critical Illness Benefit qualify for benefits under Section 80D of Income Tax Act, 1961. Tax benefits are subject to change in tax laws. Please consult your tax advisor for details.

 

Download its brochure here.

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