Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak e-Term

Protect Your family’s financial future with Kotak e-Term. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and insurance in one premium. Know more

Kotak e-Invest

Insurance and investment in one plan with Kotak e-Invest. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. Know more


Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Top 6 Flexible Benefits That ULIPs Offer

Here are the top 6 benefits offered by Unit Linked Insurance Plan (ULIP) for a safe and financially secure retirement. Start boosting your retirement savings.

  • Oct 10, 2021

Searching for an investment option that could deliver high returns and utmost flexibility, along with life cover? A Unit Linked Insurance Plan (ULIP) can be an excellent choice.

Known as one of the most flexible investment options in India, ULIPs efficiently match the long-term objectives of every investor.

Here are 6 top benefits that make ULIPs an ideal choice for everyone-

1. Flexibility to Choose Fund of Your Choice

When you invest in ULIP, the premiums are divided into two parts- investment and life insurance. Most insurers offer various fund options to help investors choose a fund as per their objective and risk appetite.

The fund options include equity, debt, and balanced funds. Moreover, investors also have the option to switch between these funds multiple times throughout the tenure.

2. Option to Adjust Life Cover

Investors are free to choose the sum assured of their ULIPs at the time of purchasing the plan. The policy premium is calculated as per the sum assured selected by the investor. Some insurers also offer the flexibility to adjust the sum assured throughout the policy tenure.

The life insurance requirements change as we go through various milestones in life. This sum assured flexibility in ULIPs allows investors to increase their life cover for different life stages, including marriage, childbirth, and more.

3. Adjust Investment Amount

It is generally recommended that one should start investing in ULIPs as early in life as possible as these are long-term products. But it is often the case that most people do not have a lot of savings to invest in ULIPs when they are young.

With ULIPs, you also get the option to increase the investment or premium amount. This can help increase the amount you invest in the selected ULIP fund and even the life cover offered by the policy. So, even if you purchase ULIP when you are young, you will always have the option to increase the investment amount as you start earning more.

4. Multiple Add-on Options

Many of the life insurance policies in India now come with optional riders. Some ULIP providers also offer these riders, including accidental death rider, permanent disability rider, critical illness rider, and more.

Investors can consider purchasing these riders to further extend the scope of their life insurance policy. While the riders slightly increase the policy premium, they do an excellent job of enhancing the features and life cover of the policy.

5. Tax Benefits

As ULIPs are primarily life insurance plans, they are eligible for tax benefits. By investing in ULIP, one can claim a tax deduction of up to Rs. 1.5 lakhs on annual premium under Section 80C of the IT Act.

Additionally, the maturity benefit of ULIP is eligible for tax exemption under Section 10(10D) of the IT Act. These benefits make ULIPs a highly tax-efficient investment option.

6. Lock-in Period of 5 Years

ULIPs come with a lock-in period of 5 years. Once this lock-in period is over, investors have the option to make partial withdrawals from their ULIP investment.

While it is recommended that one should remain invested in ULIP throughout the minimum tenure, this partial withdrawal option could come in handy in case of a financial emergency.

Experience Utmost Flexibility with ULIPs

As can be seen, there are several flexible benefits that make ULIPs an ideal investment choice for every individual. Along with life cover, these plans offer the professional assistance of an experienced fund manager who oversees your investment and tries to take maximum advantage of every possible opportunity.

If you are searching for an investment option that adds stability and flexibility to your investment portfolio, ULIPs are indeed a great choice.

In this policy, the investment risk in the investment portfolio is borne by the policyholder.

Kotak e-Invest

Download Brochure


  • Return of Mortality Charges*$
  • Enhanced Protection
  • Multiple Plan Options
  • Zero Premium Allocation Charges
  • Tax Savings^

Ref. No. KLI/22-23/E-BB/521


- A Consumer Education Initiative series by Kotak Life

Similar Articles

Advantages of Pension Schemes and Retirement Plans

Calculating a Retirement Corpus that can Support Your Lifestyle

What are the Uses of ULIP?

What are the Instruments Available for Building a Retirement Corpus?

10 Steps to Figure Out How Much Money You Will Need After You Retire

Understanding Annuity Plans

How To Make Most of Your Money After Retirement?

What are the Chances of Losing all my Money in ULIP and How Much Return Should I Expect?

What Are Superannuation Benefits?

How to Maximize Your Retirement Savings with a Pension Scheme in India

Retirement: A New Start to Life!

Annuity Plan | How to Choose the Right Annuity Plan | Kotak Life

Are You Planning an Early Retirement? Here's Why Buying Annuity Plan Will Make Sense

7 Secrets that can Make Your Post-Retirement Phase Prosperous

How to Build a Tax-Free Pension Income for Retirement?

ULIPs or Pension Plans – Which is a Better Retirement Plan?

How Quickly is Fund Switch Effected in ULIPs? Is it Done the Same Day or After a Particular Number of Days?

Different Types of Retirement Schemes

Tips to invest your voluntary retirement scheme money

How has ULIP Grown Over the Last 3 years?

Types of Retirement Plans

Which Pension Plan Suits You best?

What tax benefits are there on saving for retirement?

At What Age Should You Start Your Retirement Planning?

Can NRIs Invest in ULIP Plans Offered in India?

Top Investment Options for Retirement Planning

Is it Advisable to Withdraw the ULIP Insurance Policy After 5 Years?

What is a Defined Benefit Plan and How it Works?

Un-Retirement - Are You Ready For It?

Here's What Retirement Would Look Like 30 Years From Now

5 Retirement Planning Tips for a Financially Controlled Post-Employment Life

Is ULIP Better Than FD?

Ten Signs That You're Ready to Retire

What are the Differences Between ELSS ULIP and Mutual Funds?

How Can ULIPs Help You Plan for Your Child's Future?

Can I Surrender My ULIP Policy after 2 Years?

ULIP Plan or Traditional Insurance Plans - Which is better?

Difference Between Unit-Linked Insurance Plans and Non-Linked Plans

Important Questions To Ask Yourself Before Choosing A Good Retirement Plan

Is it Suggestible to Take a ULIP Plan Linked with a Term Plan?

What are the Benefits of ULIP - Explained

Benefits of Early Retirement Plans

Why Should You start Retirement Planning as soon as you start a job?

Why You Should Invest In An Annuity Plan?

ULIP Tax Benefits: यहां निवेश करने पर मिलते हैं 5 बड़े फायदे

Retirement Planning Guide: These 5 Steps Will Help You Towards a Safe, Secure and Fun Retirement

How To Choose The Right Pension Plan?

What are the 4 Financial Phases of Retirement? How to Budget For Each One?

Retirement Planning: Use our Retirement Calculator to Plan Ahead

Benefits Of Retirement & How Investments Can Help You Enjoy Them

Worried About Running Out of Money in Retirement? 4 Tips to Avoid This Crisis

Long Term Investment Guide for Your Retirement

Saving for approaching retirement with retirement insurance

What are the Charges Levied on ULIP?

NPS for Housewife

5 Notable Investment Options for Retirees

Retirement and Pension Plans in India- What are Your Options?

How Has NPS Performed in Comparison with Other Instruments?

What Happens If I Stop Paying My ULIP Policy Premium After Paying the First Premium? Will I Still Get The Return?

Single Premium ULIP or a PPF - Which One is Better?

Invest for your second innings with a guaranteed savings plan

Does Having Both ULIP Plan and Other Health Insurance Plan Make Sense?

ULIP: Can You Surrender ULIPs or Withdraw Money from It?

Getting Close to Retirement? Six Key Retirement Planning Tips That Can Help You Retire

Inflation: A Key Factor to Consider into Retirement Planning

What Happens to ULIP Premiums Paid if the Market Crashes?

How Does NPS Work?

Is ULIP a Complex Financial Product?

Benefits of Early Retirement Planning in India

What are Fixed Maturity Plans and Why Should I Invest in Them?

Which Is Better: ULIP or SIP?

5 Steps to Gift a Smart Retirement Plan to Your Parents

What are the things to consider before buying ULIPs?

How can NPS help you save tax?

Terminologies You Should Understand About Retirement Plans

How To Keep Your Retirement Accounts from Being Hacked?

How should one decide on fund allocation within NPS?

How To Calculate The Present Value And Future Value Of Annuities?

Know Why You Should Stay Invested in Your ULIP Plan

Is it possible to live a financially independent life, even after you retire?

Is ULIP a Good Option for People Above 60?

6 Signs That You Are Not Financially Ready For An Early Retirement

The Significance of Number 8,000 in Retirement Planning

What is Partial Withdrawal in ULIPs?

Types of Annuity Plan | Annuity Definition - Meaning & Key Benefits

How Much Corpus Does One Need for Retirement?

Retirement Planning - How To Calculate Your Retirement Premium in India?

What is the Death Claim Payable in the Case of ULIP?

What are the Rules for Exit From NPS?

Are Annuities Great For Early Retirement?

EPF Grievance Management: All You Need to Know

Is It Worth Buying ULIP Plans For 10 Years?

Top 4 Mistakes To Avoid While Planning For Your Retirement

How Do Annuity Options Work In NPS

Pros and Cons of Retirement Annuities

What is a Retirement Plan - What are its Features?

Save Early to Keep Living Your Dreams Post Retirement

What Are Retirement Pension Plans?

Different Types of ULIP Investments in India

What is the Minimum Lock-in Period for ULIP?

What Are Mortality Charges In ULIP?

Retirement Planning Guide for Working Men and Women

A Quick Guide to Retirement Plans

Importance of Retirement Planning

Why Should Retirement Planning Be on Top of Your Priority List?

Do Pension Plans Allow any Death Benefits?

यूलिप में 8 शुल्क जो आपको अवश्य जानना चाहिए

A Beginner's Guide to Understanding 401k Retirement Plan

What is Fund Value in ULIP?

Why ULIP Should Be a Part of Your Investment Portfolio?

Looking for Ways to Earn Lifetime Income in Retirement? Here Are 6 of the Top Options

Who Gets the Benefit After the Maturity of ULIP: The Proposer or The Life Insured?

What are ULIPs and their Types?

How Does ULIP Work in India?

How to Win at Retirement Savings?

What is the Estimated Return Percentage on ULIP? Do Investors Get Compound Interest?

Best Insurance Plans for a Guaranteed Monthly Income After Retirement!

5 Common ULIP Myths That You Should Stop Believing

5 Reasons to Buy ULIP for a Secured Financial Future

Types of Pension Plans for Your Retirement

What is Lock-In Period in ULIPs?

How Does Pension Plans in India Works?

10 Steps to Figure Out How Much Money You Will Need For Your Post Retirement Plans

Retirement planning with a systematic life insurance plan

Demystifying the Retirement Planning Process

What To Do With Your Retirement Accounts During An Employment Lapse?

Top 4 Myths About ULIP Investments You Should Know

What is the Difference Between EPF, VPF, and PPF? What are Their Tax Benefits?

Give Your Retirement Savings A Booster-Shot with Annuities

Top 6 Reasons Why You Should Get A Pension Plan

5 Reasons Why ULIP Plans are One of The Best Retirement Planning Instruments

Importance of financial Planning for Retirement

Is ULIP A Good Investment Option?

How Can I Achieve My Wealth Goal with ULIP Investment?

Retirement Planning at 50? You Are Still Good to Go

What is Premium Redirection in ULIPs Plans | ULIP Insurance Plans | Kotak Life Insurance

Meaning of Sum Assured in a ULIP

What is an Annuity Plan, and How Does Annuity Plan Work?

ELSS vs ULIP: Which is a Better Investment?

What are the minimum and maximum investment in ULIP? Would the Whole Amount Insured in The ULIP Insurance be Invested in the Market?

यूलिप और उनके प्रकार क्या हैं?

How Safe is it to Invest in ULIP plans?

Why Should You Invest in NPS?

Retirement Planning for Millennials

Do ULIPs Give Good Returns On Investments?

FAQs on Taxation of ULIPs

What is the difference between Life Insurance and ULIP?