Kotak e-Term Plan
Kotak e-Term Plan provides a high level of protection to your loved ones in your absence.
Kotak Guaranteed Savings Plan
Kotak Guaranteed Savings Plan is a savings and protection plan that helps you achieve long-term financial goals and provides an insurance cover against any eventuality.
Kotak e-Invest plan is a complete Unit-Linked Insurance Plan that can be customized as per your goals and needs.
Kotak Health Shield
Kotak Health Shield Plan helps secure your finances in sudden medical expenses such as Cardiac, Liver, Neuro, and Cancer (all early and significant illness stages/conditions of cancer), along with offering protection for personal accidents - in case of accidental death or disability.
Kotak Lifetime Income Plan
Kotak Lifetime Income Plan gives you the security of your income continuing throughout your life and in your absence throughout your spouse's lifetime!
The COVID-19 pandemic has been a great eye-opener for many Indians in making them realise the importance of having robust life insurance cover during adversity. The lack of awareness has been one of the significant impediments to life insurance purchases. Also, the availability of different types of insurance products tends to confuse people. But most life insurance policies work in a similar manner. Let us understand more about what life insurance is? and how life insurance works?
When you purchase a life insurance policy, you sign a contract with the insurance company that agrees to provide you with the life cover. The contract lays out the policy terms and determines the amount that the insurance company must pay your family in the event of your demise during the policy period. A life insurance policy works only if you pay the premium diligently on time.
The working of life insurance is similar to any other insurance type. You, as the policyholder, must pay the premium to the insurance company for a specific period as agreed in the policy. The premium helps the insurer to cover your family’s financial needs after your demise.
This allows your family to get financial support in the event of any emergency. The insurer pays the death benefit and other accrued benefits (if any) to the nominee allowing your family to meet their everyday expenses and manage their usual lifestyle even in your absence.
When you submit your insurance applicant, the insurers carry out an underwriting process to determine the premium amount based on the risks involved. After assessing the risks, based on age, gender, profession, medical history, and lifestyle habits, they determine the premium amount you must pay to get the life cover.
Term plan is one of the most popular types of life insurance in India. As the name suggests, a term plan provides coverage for a specific period, and after that, the policy expires.
One of the reasons many people prefer buying a term plan is that it offers high coverage at an affordable premium. Also, it is one of the simplest life insurance policies. In a term plan, the insurer pays the death benefit to the nominee in the event of your demise during the policy term. But, if you survive the policy period, you don’t get any survival or maturity benefits.
Unit Linked Insurance Plans are invest-cum-insurance plans. In ULIP, you get life cover as well as investment opportunities. Typically, the ULIPs have a five five-year lock-in period, and it is considered one of the best long-term investment plans.
A part of the premium you pay for ULIP is used for provided life cover. The remaining amount is invested in different money market instruments to generate returns for you. It functions as per the market dynamics, so you must invest carefully based on your risk appetite and financial goals.
Child insurance plans are specially meant for safeguarding your child’s future. Apart from providing life cover, it allows you to build a corpus for your child’s future needs like education, marriage, etc. Child insurance plans are a great way to help your child realise their dreams and aspirations. You can buy child insurance plans as soon as they are born so that you can leverage time benefit to build a sizeable corpus.
When you buy a life insurance policy, it is critical to understand the working of the policy you buy, and know it’s features and benefits so that you can make the most of it.