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Insurance and Investment in one plan.

Kotak T.U.L.I.P

A plan that works like a term plan, and Earns like ULIP Plan

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In ULIP, the investment risk in the investment portfolio is borne by the policyholder.The Unit Linked Insurance Products do not offer any liquidity during the first five years of the contract. The policyholder will not be able to surrender /withdraw the monies invested in Unit Linked Insurance Products completely or partially till the end of the fifth year from inception.Read More

Unit-Linked Insurance Plans (ULIP)

100% Premium Allocation

100% Premium Allocation

Kotak e-Invest Plus

Plans Starting from ₹750 /month*

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A Unit-Linked Insurance Plan (ULIP) merges wealth creation with life insurance cover in a single policy. Part of your premium secures protection while the remainder goes directly into market-linked funds chosen for your ambitions. You can target growth through equity or debt funds since a ULIP is a good investment for building your wealth.

25years

5 crore∞

Happy Lives Secured

1 lakh +θ

Trusted Agents

1-Day

Branches as on of 31st March 2026

Zero

LTCG taxα

ULIP Plans Designed for Different Life Goals

  • ULIP For
    Wealth Creation

  • ULIP for
    Child’s Future

  • ULIP for
    Confident Retirement

  • ULIP for
    Higher Protection

Young professionals & investors

Kotak e-Invest Plus - Maximiser

Put your money to work. Every rupee of your premium is invested from day one, growing across market-linked funds with life cover and your mortality charges added back at maturity

Key Highlights:

  • Life Cover —Full protection for your family throughout the term
  • Mortality Charge Return — Up to 200% back — Added to your fund on survival till maturity
  • Yearly Additions - 3% every year - Of annual premium, added from end of year 6 onwards
  • Policy Term — 10 / 12 / 15 / 20 yrs — Entry age 3–55 years
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 Young_Professional young_professional
Features

Every rupee you pay, works for you — 100% premium allocation, zero waste

What Makes It Work For You

  • 9 fund options — from aggressive equity to secure money market — match your risk appetite
  • Self-managed or age-based strategy — let the plan rebalance itself as you age
  • Partial withdrawals from year 6 for planned or emergency expenses (first 4 free)
  • Settlement option at maturity - choose lump sum or spread payouts over 5 years
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New parents & married couples

Kotak e-Invest Plus - Rising Star

Your child's goals don't wait and neither should their plan. Rising Star ensures the policy continues and the corpus keeps growing even if you're no longer around, with three layers of protection built in from day one

Key Highlights:

  • Lump Sum Payout — One-time money, instantly on parent's death.
  • Monthly Income — Regular income keeps coming to your child, uninterrupted.
  • Premium Waiver — Policy runs on its own, no more payments needed.
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 Young_Professional young_professional
Features

Your child's future stays on track with Triple Protection Benefit

What Makes It Work For You

  • 9 fund options — from aggressive equity to secure money market — match your risk appetite
  • Self-managed or age-based strategy — let the plan rebalance itself as you age
  • Auto capital protection - funds shift to Money Market in the final 12 months
  • Life Cover - Full protection for your family throughout the term
  • Yearly Additions - 3% every year - Of annual premium, added from end of year 6 onwards
Secure This Plan

Ideal for those who are planning ahead for a secure retirement

Kotak e-Invest Plus - Retire Rich

Retirement isn't the end of your income, it's the beginning of a new kind. Retire Rich gives you market-linked growth during your working years and a flexible income stream after 60, with life cover that stays with you all the way to age 99.

Key Highlights:

  • Retirement income — 1%–12% of fund value/year
  • Income booster — +0.5% p.a. added every year
  • Cover till age 99 — Protection through retirement after age 60
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 Young_Professional young_professional
Features

Earn up to 12% of your fund value annually — steady Retirement Income, every single year

What Makes It Work For You

  • 9 fund options — from aggressive equity to secure money market — match your risk appetite
  • Self-managed or age-based strategy — let the plan rebalance itself as you age
  • Partial withdrawals from year 6 for planned or emergency expenses (first 4 free)
  • Settlement option at maturity - choose lump sum or spread payouts over 5 years
  • Life Cover - Full protection for your family throughout the term
  • Yearly Additions - 3% every year - Of annual premium, added from end of year 6 onwards
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Ideal for those who wants higher life cover and highest returns

Kotak T.U.L.I.P gives you Higher life cover minimum, higher returns, and even your premium allocation charges come back to you doubled. This isn't just a plan, it's a wealth machine with a safety net.

Key Highlights:

  • 2X return of premium allocation charge - Your charges come back — doubled
  • Up to 3x Return of Mortality Charges - Your life cover charges? Returned up to 3X
  • High Sum Assured multiple - Higher cover. Stronger protection for your family.
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 Young_Professional young_professional
Features

Pay today. Get back double — 2X Return of Premium Allocation Charges

What Makes It Work For You

  • Option to choose a High Sum Assured multiple to offer significant life cover.
  • 2X Return of Premium Allocation Charges from end of 10 policy year onwards.
  • Up to 3X Return of Mortality Charges on survival starting from 11 policy year onwards.
  • Flexibility to pay premium for limited duration or throughout the policy term.
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What is a ULIP?

ULIP stands for Unit Linked Insurance Plan. Most financial products make you choose between growing your money and protecting your family. A ULIP is designed to do both. Under a ULIP, your entire premium is allocated to funds of your choice—equity, debt, or a balanced mix—while a built‑in life cover provides financial protection at the same time. Over the years, this investment component helps your corpus grow, and at maturity, you receive the full fund value. In the event of the life insured’s death during the policy term, the nominee receives the highest of the Sum Assured, the Fund Value, or 105% of the total premiums paid, ensuring strong financial protection.

How Does a ULIP Work?

A ULIP (Unit Linked Insurance Plan) combines life insurance with market investment in a single contract. When you pay a premium, one fraction secures your life cover, while the remaining capital purchases units in equity, debt, or balanced funds based on your preference. Your fund manager guides these decisions, but the investment value grows directly with market performance. You retain the freedom to switch funds as your risk appetite shifts. Upon maturity or in the unfortunate event of death, you or your nominee receives the fund value or the sum assured, whichever is higher.

Understanding How ULIP Policy Works

Let us consider an example scenario of Sunita, a 30-year-old architect, investing in a ULIP Plan to align with her long-term goals. She commits to a policy term of 20 years with a dynamic fund strategy (Equity + Debt).

Policy Details

  • Initial Sum Assured:
    ₹60,00,000
    (Life Cover selected by Sunita)
  • Annual Premium:
    ₹60,00,000
    (Assuming 10x cover ratio)
  • Annual Charges
    (Admin + Others):
    ₹12,000
  • Net Annual Investment
    ₹5,88,000
  • Initial NAV
    ₹10
  • Units Purchased Per Year
    ₹5,88,000 ÷ ₹10 = 58,800 units

Death Benefit(If Sunita passes away at 40)

  • Her nominee receives the higher of:
  • Sum Assured: ₹60,00,000
  • Fund Value = NAV at that time × Total Units
  • If NAV = ₹25
  • Fund Value = 25 × 5,88,000 = ₹1,47,00,000
  • Payout: ₹1,47,00,000
Example

Maturity Benefit(Sunita completes 20 years)

Sunita receives the full fund value at maturity to fund her retirement goals and her daughter's education.

  • If NAV at maturity = ₹50
  • Fund Value = 50 × Total Accumulated Units
  • Payout: Market Linked Fund Value
Example

Our Top Selling ULIP Plans from Kotak Life Insurance

Kotak E-Invest Plus

  • Return of Mortality Charges
  • Enhanced Protection with riders
  • Multiple Plan Options
  • Zero Premium Allocation Charges
  • Tax Savings$
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Kotak T.U.L.I.P

  • High Sum assured multiple for higher life cover
  • 2X return of premium allocation charges
  • 3X return of mortality charges
  • Loyalty additions
  • Flexibility to choose a short or long premium payment term
  • Multiple investment strategies
Invest in T.U.L.I.P
 Trusted Plan pdf_img

Offline Insurance Plans from Kotak Life Insurance

  • Kotak Invest Maxima
  • Kotak Single Invest Advance Plan
  • Kotak Platinum
  • Kotak Wealth Optima Plan

Kotak Invest Maxima

  • Zero premium allocation charges
  • Choice of portfolio strategies and fund types
  • A variety of policy terms and premium payment terms are available.
  • Partial withdrawals
  • Rewards on long-term investment
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Kotak Single Invest Advance Plan

  • One-time investment
  • Choice of 3 investment strategies
  • Loyalty Additions to give a boost to your wealth
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Kotak Platinum

  • Choice of three fund-management strategies
  • Survival units to enhance your fund value
  • Limited premium payment term
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Kotak Wealth Optima Plan

  • Choice of two investment strategies
  • Options to be covered till 99 years
  • Enhances fund growth through Yearly Additions post Lock-in period
  • Boosts long term savings through Wealth Boosters
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Offline Insurance Plans from Kotak Life Insurance

Kotak Term Plan
  • Life cover to protect your family’s future even if you are not around
  • Plan conversion option
  • Option to pay Single or Regular Premium
  • Customize Protection with optional Riders
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Kotak Saral Jeevan Bima
  • Long Term Coverage
  • Special Rates for Women
  • Tax Benefits@
  • Multiple Premium Payment Modes
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Kotak Health Maximiser
  • Provides Life cover along with Health Cover
  • Hassle-Free Issuance with Minimal Documentation
  • Tax Benefits under Sec 80C and 80D@
  • Cashless Transactions in over 9500+ Network Hospitals
  • Flexibility to choose your policy and premium payment terms
  • Preferred premium rates for female lives
  • Lifelong coverage irrespective of any claims under the policy
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Kotak Value Protect
  • Protection made simpler and quicker for you.
  • Life Coverage up to ₹50L Sum Assured
  • Preferential rates for Female Life
  • Inbuilt Wellbeing Benefits & Value Added Services
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Kotak Signature Legacy
  • Increasing Life Cover up to age 99
  • Two Plan Options Legacy and Legacy Plus
  • Insta Payout on Claim Intimation
  • Free Medical check-ups and Wellness Benefits
  • 10% first year premium discount for women
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FAQs

  • ULIP Basics
  • Premium, Charges & Taxation
  • Investment & Returns
  • Withdrawal, Lock-in & Taxation
1.

Which is the best ULIP?

The best ULIP is the one that fits your life. It must align with your personal goals, your tolerance for risk, and your budget. To find it, you need to look closer. Judge the fund's performance. Scrutinize the charges. Test the plan's flexibility. When you compare plans this way, the right choice becomes clear.

2.

Are Unit Linked Insurance Plans a good investment?

A ULIP is a strong choice for those who want insurance and investment returns in a single package. You get the freedom to choose funds that match your risk appetite. This lets you build a portfolio for long-term wealth and protection.

3.

Are ULIPs suitable for the long term?

ULIPs are designed for the long haul. They come with a mandatory 5-year lock-in period. The real power, however, comes from staying invested much longer. Compounding needs time to build momentum. A long investment horizon is what unleashes its full wealth-creating potential.

4.

How is ULIP different from traditional plans?

There are several differences between ULIPs and traditional individual life insurance savings plan. Here’s how they differ:

  • Components of insurance and investment
  • Clearness and flexibility
  • Market-linked returns
  • Fees and charges The choice between them depends entirely on your own financial goals and preferences.
5.

What is the advantage of ULIP?

ULIPs offer key advantages for anyone seeking both insurance and investment growth:

  • Dual Benefit
  • Flexibility
  • Tax benefits
  • Long-term creation of wealth
  • Partial withdrawals
  • Transparency
6.

What is the difference between a ULIP & SIP?

A ULIP is a hybrid. It offers you both life insurance and an investment component in one plan. A SIP, however, is a pure investment tool for putting money into mutual funds. While a SIP is great for investing, it offers no life insurance. That is the key difference.

7.

Can I switch between different funds in ULIPs?

Yes, ULIPs allow you to switch funds. You are free to diversify your money depending on the type of investment you want to make and how much risk you want to take. The insurance company provides most policyholders with the option to change their investments among the numerous funds it provides. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

8.

What happens if I stop paying my ULIP premium?

In case you withdraw your ULIP premium payment in the 5-year lock-in period, your policy will be transferred to a discontinued fund, where it will yield little returns until the time of withdrawal after the five years. At the end of the lock-in period, you can then give up or exchange it to become a paid-up policy of reduced benefits. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

9.

Does ULIP provide a death benefit?

Surely, ULIP can give you a death benefit, which would take care of your family in your demise. People can receive just the portion of the fund value or the sum assured in the event of the death of the life insured. Additional riders are also provided in some of the plans. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

10.

Can I add riders to my ULIP plan?

Yes, under the ULIP Plans offered by Kotak Life, you can extend your coverage by including various riders like accidental death benefit, critical illness, or waiver of premium to provide an additional level of financial safety on top of the original plan itself. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

11.

What happens if I surrender my ULIP before the lock-in period?

Surrendering a ULIP before the 5-year lock-in period leads to fund transfer into a discontinued policy fund, subject to charges. The amount is accessible only after the completion of five years. Post lock-in, surrendering gives you the fund value minus applicable charges. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

12.

How do I choose the best ULIP plan for my needs?

To select the best ULIP plan, consider:

  • Investment Goals: Your goal might be wealth creation, retirement, or a child's education.
  • Risk Appetite: You must choose the right mix of equity, debt, or balanced funds.
  • Policy Term & Premium Payment: Pick a tenure and payment method that truly fits your financial plan.
  • Charges & Benefits: Compare all features, including zero allocation charges and tax benefits.
13.

Can I buy a ULIP plan online?

Yes, you can. It can be easily done online via Kotak Life's web portal. You will need to compare plans, calculate your premium, and enter your details. Then you can choose a fund strategy, do your KYC, and make the payment from home. Please check the term and conditions in the product brochure thoroughly before buying as policy.

14.

Is it safe to invest in ULIPs?

Yes, ULIPs come under the watch of IRDAI, hence transparency and protection of the investor are guaranteed. They provide you with a combination of market-linked returns and life insurance, and you can both grow wealth and ensure your financial future. There is also the flexibility of fund switching that assists in the management of risk.

1.

What are the charges in ULIP?

ULIPs have various charges. The most common ones include:

  • Premium allocation charges
  • Policy administration charges
  • Mortality charges
  • Fund management charges
  • Partial withdrawal charges
  • Miscellaneous charges
  • Discontinuance charges

It is important to carefully review the policy brochure to understand the specific charges applicable to your ULIP plan, as they can vary between insurance providers and policies. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

2.

What is the minimum premium amount for ULIP?

The minimum premium of a ULIP varies with the insurance company and the product that one has. There will also be differences in the premium payments made in different ULIP plans. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

3.

Can I increase or decrease my premium in ULIP?

Most ULIP plans allow you to increase your premium by making top-up investments. This helps improve your fund value and also offers tax benefits. But in most cases, a reduction in the premium is normally not possible because the policy must have a minimum fund value to remain operational. Please check the terms and conditions in the product brochure thoroughly before buying as policy.

4.

What are the tax benefits of ULIP premiums?

The premiums paid towards ULIPs can be claimed against an individual under Section 123 read with Schedule XV of the Income Tax Act,2025 where a deduction limit is possible up to ₹1.5 lakhs every year. Also, the proceeds of maturity are tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025 under the rules of limitation of the premium-to-sum assured ratio.

5.

Is interest in ULIP taxable?

ULIP returns are not classified as "interest" but rather market-linked gains. If the annual premium exceeds ₹2.5 lakh, gains from ULIPs are taxed as capital gains. However, if the premium is below this threshold, maturity benefits remain tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025.

6.

What are the different types of charges in a ULIP?

ULIPs have various charges, including:

  • Premium Allocation Charge: A deduction taken from your premium upfront.
  • Fund Management Charge: The percentage fee for managing your investments.
  • Mortality Charge: The specific cost to cover your life insurance.
  • Policy Administration Charge: A fee that covers the insurer's administrative expenses.
  • Surrender/Discontinuance Charge: A penalty applied if you exit before the lock-in period ends.

Please check the term and conditions in the product brochure thoroughly before buying as policy.

7.

Does ULIP have hidden charges?

No, ULIPs are transparent, and all charges are disclosed upfront in the policy document / brochure. However, investors should review the charge structure to understand deductions and fund value impact over time. Please check the term and conditions in the product brochure thoroughly before buying as policy.

8.

Are there any additional fees for switching funds?

Most ULIPs allow a certain number of free switches per year. Beyond this limit, a nominal charge (typically ₹100-₹500 per switch) may apply. Under certain plans, Kotak Life’s ULIPs offer free fund switches up to 12 times per year to help manage investments efficiently. Please check the term and conditions in the product brochure thoroughly before buying as policy.

9.

How does ULIP compare to mutual funds in terms of cost?

Though mutual funds are less expensive in terms of fund management charges, ULIP offers a two-fold advantage; that is, investment and life insurance. In addition to mortality and administration fees, ULIPs offer tax benefits, life cover, and long-term wealth creation, making them cost-effective for disciplined investors.

1.

How is the fund value calculated in ULIP?

The NAV is prepared by determining the sum of net assets of the fund divided by the outstanding number of units. The fund value of your ULIP plan is determined by multiplying the number of units held in each fund by the respective NAV of those units.

2.

What is the ULIP interest rate?

ULIP (Unit Linked Insurance Plan) combines life insurance with investment. The ULIPs do not guarantee a fixed rate of interest like that of fixed deposits or savings accounts. Rather than that, returns are subject to profits on selected investment funds, which are affected by the market conditions. The latter qualifies ULIP returns as market-linked and dynamic in nature.

3.

How does market volatility impact ULIP returns?

As the ULIP plans are market-related, they deliver varying returns according to the market situation. The equity funds that are included in ULIPs are more volatile, but their debt funds are stable. Long-term investment in ULIPs, however, has the advantage of evening out market volatility and has the highest probability of growth.

4.

Can I track my ULIP investments online?

Yes, Kotak Life offers an online portal and mobile application where you can track your fund performance, NAV (Net Asset Value), fund switch, and policy management in real time.

5.

Does ULIP offer guaranteed returns?

No, ULIPs are not guaranteed to give returns, as it depend on the performance of the market. Nevertheless, the risk can be reduced by choosing balanced or debt funds and aiming at having a more stable growth for the investors.

6.

What happens if my ULIP fund underperforms?

In case your selected ULIP fund does not perform, you can:

  • Change to funds that perform more favorably among those that are available.
  • Rebalance your portfolio based on market trends and risk appetite.
  • Ensure that you stay invested in it long-term because ULIPs are meant to create wealth in the long term.
7.

Can I rebalance my portfolio in ULIP?

Yes, with ULIPs, you have the option of a fund switch where you can choose to invest in equity, debt and hybrid funds in accordance with the prevailing market conditions and your capability to take risks. Under certain plans, Kotak Life offers you up to 12 free switches in a year to help you optimize your portfolio. Please check the term and conditions in the product brochure thoroughly before buying as policy.

8.

How can I maximize my ULIP returns?

In order to get the best out of ULIP:

  • Plan to invest long-term to take advantage of market cycles.
  • Opt for an aggressive fund allocation (equity) if you have a high-risk appetite.
  • Use fund switching wisely to capitalize on market trends.
  • Take advantage of top-up premiums to increase investments when markets are favorable.
  • Choose a ULIP with low charges to retain more of your investment.
1.

Can I cancel/surrender my ULIP plan?

Yes, you can cancel or surrender a ULIP during the lock-in period. Surrendering a ULIP before the end of the lock-in period will attract charges along with penalties that will impact the surrender value very severely. You can surrender a ULIP after the completion of the lock-in period without paying any charges.

2.

When can I withdraw ULIP?

ULIP plans allow taking back any amount from the plan after it has completed its lock-in period, which, in most cases, is for five years subsequent to the date of purchase. Once the lock-in period is over, you may partially withdraw or surrender the ULIP in full without any charges or penalties being levied on you.

3.

What is the expiry date of the lock-in period?

Normally, ULIP plans come with a lock-in period of five years from the purchase date. Once the lock-in period expires, you are free to withdraw the amount partially or fully without any charges or penalty.

4.

Can I take a loan against my ULIP policy?

Yes, a few ULIP plans allow the facility to take up a loan against the policy. However, such an option is subject to the discretion of the insurance companies and ULIP products. Normally, such loans can be available as a percentage of the ULIP fund value.

5.

Is a ULIP taxable at maturity?

Proceeds received under the ULIP plan on maturity and accumulation of additional benefits are tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025, provided conditions under the Income Tax Act are satisfied. It is recommended that you get a tax consultant who will give you the details of taxation according to your case.

6.

Are partial withdrawals allowed in ULIP?

Yes, there is a possibility of partial withdrawals following the lock-in period of 5 years. The majority of ULIPs offer withdrawal of up to a specified percentage of the policy value, which gives you liquidity without closing your policy.

7.

What is the process to withdraw funds from a ULIP?

In case you want to take money out of your ULIP plan:

  • Check out the customer portal on the Kotak Life website or visit one of their branches.
  • Make a withdrawal request (online or offline).
  • Then, the amount requested shall be deposited into your bank account within a span of a few working days.
8.

How does ULIP taxation work under the new tax regime?

In the new tax regime, premiums of more than ₹2.5 lakh paid to a ULIP in a year will attract capital gains tax on the money payable upon maturity. The lower premium policies, however, continue to be tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025. The death benefit, however, is not taxable, no matter how much the premium is.

9.

Will I have to pay a penalty for early withdrawal?

The amount can only be accessed upon the end of your lock-in period, and they may also impose a partial withdrawal charge.

10.

Can I reinvest my ULIP maturity proceeds into another plan?

Yes, it is possible to reinvest your ULIP maturity value in a different ULIP or any other kind of investment plan so as to carry on with wealth creation and insurance benefits. Kotak Life has various options of ULIP that will help you in achieving various financial goals with the assurance that your money grows.

How to Invest in ULIP?

Age-Based Strategy

A unique, personalised strategy that automatically creates an ideal balance between equity and debt based on your age and risk appetite. Choose from Aggressive, Moderate or Conservative, and the plan rebalances itself every month as you grow older.

Self-Managed Strategy

Full control in your hands. Choose from a wide range of segregated fund options to maximise your earnings potential. Switch anytime based on your market view and investment objectives.

Save up to ₹46,800 in taxes every year

Under Section 123 read with Schedule XV of the Income Tax Act,2025. ¥ Tax benefits are subject to changes in tax laws. Consult your tax advisor for personalised guidance.

Key Features of ULIP Plans


A ULIP is not like other insurance policies. A part of your premium is invested in market funds that you control. These are the plan's most important features:

Premium Allocation

You have total control over your investment strategy. You can direct your money toward aggressive growth in equities. You can seek stability through debt funds. Or you can find a middle ground with balanced funds.

Fund Switching

Markets are always changing. A ULIP gives you the power to adapt. If you feel the equity market is too risky, you can move your capital to the relative safety of debt funds. You can then switch back to capture growth when you see a better opportunity.

Partial Withdrawals

After the five-year lock-in, you can access your funds in an emergency. But be careful. Frequent withdrawals will damage your long-term growth. This option is a tool for true emergencies only.

Top-Up Premiums

A top-up premium lets you invest more in your existing unit linked health insurance plan. It is a simple and effective way to boost your capital without getting a new policy.

Tax Savings

The tax benefits are a major advantage. You get tax deductions on premiums under Section 123 read with Schedule XV of the Income Tax Act,2025. The final payout can also be completely tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025.

Diversify your investment portfolio with Kotak e-invest plus.
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Kotak e-Invest Plus.

Get Started with ULIPs

What is a ULIP Calculator?

Insurance companies offer a ULIP calculator as a free online tool. It projects potential returns and premiums for you. With so many features available in the best ULIPs, choosing one gets tough. The calculator simplifies everything. It brings you clarity, even showing you how is CAGR calculated in ULIP.

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Sensex has given 10% return from 2010 - 2020

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Invest Now
Read more about -ULIP Calculator

Why do you Need ULIP Plans?

You need unit linked insurance plans if your goal involves securing family protection while leveraging market funds for wealth creation. If you aim to expand your portfolio, you must understand why the best ULIP plan in India stands out from the rest.

Dual Benefit of Life Insurance and Investment

A unit linked investment plan offers a unique advantage by allocating premiums towards life cover and market-linked funds simultaneously, ensuring your family stays protected while your wealth grows efficiently.

Flexibility in Investment Options

These plans allow you to switch between equity and debt funds based on your risk appetite, giving you the freedom to align your investment strategy with changing market conditions.

Transparency and Control

Investors enjoy complete visibility over their portfolio performance and charges, which empowers you to track your funds regularly and make informed decisions to keep your financial goals on track.

Tax Benefits

You can save tax on premiums up to ₹1.5 lakh under Section 123 read with Schedule XV of the Income Tax Act,2025. Favorable ULIP taxation ensures tax-free maturity, effectively boosting your ULIP returns in 10 years.

Long-term Wealth Creation

Staying invested allows the power of compounding to work effectively. This disciplined approach helps build a substantial corpus and improves your potential ULIP returns in 15 years for major goals.

Cost-effective Investment Option

Modern online plans have low fund management charges and zero allocation fees, making them an affordable choice that ensures more of your premium is invested directly for future growth.

Who Should Invest in a ULIP Plan?

A unit linked insurance plan is an incredibly versatile financial tool. It is powerful for many different investors with a wide range of goals.

Parents Saving for Their Child’s Future

A ULIP is a powerful way to fund a child’s future education. It provides a disciplined saving method combined with the security of life insurance.

Young Professionals Building Wealth

It is an ideal starting point for young professionals. You get market-linked growth potential and essential life insurance coverage in a single, manageable plan.

Retirees Seeking Stable Investments

For retirees, a ULIP can create a more stable income stream. Plans focused on debt funds provide an extra layer of stability after your working years are over.

High-Income Earners Saving on Taxes

A ULIP is a highly effective tool for high-income earners. It helps you save on taxes under Sections 123 read with Schedule XV of the Income Tax Act,2025 and Section 11 read with Schedule II(2) of the Income Tax Act, 2025 while building wealth.

Women Investors Seeking Growth

ULIPs are an empowering financial tool for women. You get security, tax savings, and real growth potential all in one package.

First-Time Investors Exploring ULIPs

For a first-time investor, this is a great way to enter the market. You get to learn about investing with the built-in safety of a life insurance backup.

Are ULIP Plans Taxable?

Unit-Linked Insurance Plans (ULIPs) were previously tax-free under the EEE (Exempt-Exempt-Exempt) status, meaning that the growth, investment, and maturity proceeds were not subject to tax. However, the 2021 Union Budget introduced a change: if the annual premium exceeds ₹2.5 lakh, the maturity proceeds are no longer automatically tax-free. This brings ULIPs in line with other market investments, such as equity-oriented mutual funds.


Despite this change, the death benefit of a ULIP remains completely tax-free, regardless of the premium amount. For maturity proceeds, amounts exceeding ₹2.5 lakh are now subject to tax and treated as capital gains.


​​Type of Gain ​Holding Period ​Applicable Tax Rate
​Long-Term Capital Gains (LTCG) ​More than 12 months ​10% on gains exceeding ₹1 lakh​

Now, we will examine the real life operation of these tax rules.


Investor Annual Premium Paid Maturity Proceeds (After 10 Years) Taxability Taxable Gain
Mr. Aaksh ₹1,50,000 ₹30,00,000 The premium is below ₹2.5 lakh, so all of his maturity proceeds are tax-free. ₹0 (No tax)
Mr. Vinod ₹3,00,000 ₹48,00,000 The premium exceeds ₹2.5 lakh, so his maturity proceeds are subject to tax. ₹48,00,000 (Maturity Proceeds) - ₹30,00,000 (Total Premium Paid) = ₹18,00,000

How to Claim Tax Benefits on ULIP plans?

With ULIP unit linked insurance plans, you get an opportunity to increase your wealth as well as have cover against financial shocks. Naturally, the tax advantages are one of the greatest motivators to enter any ULIP plan.

Deduction Under Section 123 read with Schedule XV of the Income Tax Act,2025

Premiums paid towards ULIP plans qualify for tax deductions under Section 123 read with Schedule XV of the Income Tax Act,2025. As per current tax laws, you can claim up to ₹1.5 lakh in a financial year. It should be noted that only the premium faces this deduction, and not the total amount invested in the ULIP.

Tax-Exempt Maturity

Most significantly, proceeds in case of a maturity and investment income are tax-free under Section 11 read with Schedule II(2) of the Income Tax Act, 2025, but this is dependent on terms and conditions under the Income Tax Act. To avail this benefit, the annual premium should not exceed 10% of the sum assured, and the annual aggregate premium should be up to ₹2.50 lakhs.

Switching of Funds

This switching flexibility in ULIPs also allows an investor to switch between two or more funds depending on the market situations or investment preferences. The best part, of course, is that such switches are tax-exempt. You can optimize your investment by taking benefit of market movements without incurring any tax consequences.

Partial Withdrawals

The policyholder, under the ULIP policy, is permitted to withdraw a part of the investment under specific terms and conditions. Although ULIPs allow partial withdrawal, the amount withdrawn is tax-exempt under Section 11 read with Schedule II(2) of the Income Tax Act, 2025, subject to conditions specified under the Income Tax Act.

Continuity of Tax Benefits

It is very important to maintain the policy for a minimum period to avail of the tax benefits. Tax benefits availed during the policy period will be added back to taxable income if the policy is discontinued within five years from the date of commencement.

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Kotak Life's Performing Funds!

Frontline Equity Fund

ULIF-034-17/12/09-FRLEQUFND-107
Investment Group: Equity & Debt
Date of inception - 17th Dec 2009

NAV as on Mar-31-2026

₹62.0837

Risk Meter
Risk Profile - Very High

Fund 5 year Returns

12.0%

Bench Mark 5 year returns

9.5%

Investment objective

Aims for a high level of capital growth for you, by holding a significant portion in large sized company equities.




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Classic Opportunities Fund

ULIF-033-16/12/09-CLAOPPFND-107
Investment Group: Equity & Debt
Date of inception - 16th Dec 2009

NAV as on Mar-31-2026

₹62.8030

Risk Meter
Risk Profile - Very High

Fund 5 year Returns

10.8%

Bench Mark 5 year returns

10.1%

Investment objective

Aims to maximize opportunity for you through long term capital growth, by holding a significant portion in a diversified and flexible mix of large / medium sized company equities.

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Kotak Mid Cap Advantage Fund

(ULIF054150923MIDCAPFUND107)
Investment Group: Equity & Debt
Date of inception - 30th Sept 2023

NAV as on Mar-31-2026

₹16.3845

Risk Meter
Risk Profile - Very High

Fund 1 year Returns

5.7%

Bench Mark 1 year returns

1.9%

Investment objective

Aims to maximize opportunity for long-term capital growth, by holding a significant portion in a diversified and flexible mix of medium and small sized company equities.


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Fund returns are as on 31st-Mar-2026 Click here to view past performance of the funds

Features of Kotak e-Invest Plus

Can I Cancel/Surrender my ULIP Plan?

Yes, surrendering or canceling your unit-linked insurance plan is possible. The timing of this choice is everything. Your options lie in the mandatory 5-year lock-in period that governs all ULIPs. If you surrender early, you will face discontinuance charges and give up potential investment returns. This is a decision that requires serious thought.


Your process and the final outcome change based on when you decide to act:

  • During the Free-Look Period: You get a 15-30 day window right after you receive the policy document. Use this time to cancel and receive a full premium refund, though minor costs like medical tests might be deducted.
  • Within the 5-Year Lock-in Period: If you surrender during this time, your funds are not immediately available. The fund value, minus discontinuance charges, shifts into a Discontinued Policy (DP) Fund. This fund grows at a minimum guaranteed interest rate, and you receive the full amount only when the original 5-year lock-in term finishes.
  • After the 5-Year Lock-in Period: At this point, you have the freedom to surrender the policy whenever you want and collect the full current fund value.

What are the Different Types of ULIP Available in India?

ULIP plans open up various investment choices. You can tailor them to fit certain financial goals and achieve a specific blend of wealth creation and financial safety.


Classification by Fund Options


Types of Fund Options Details
Equity Based ULIP Funds These funds channel your premium into the stock market. This means a higher risk profile for a higher potential reward.
Hybrid or Balanced Funds A mix of equity and debt investments. They provide a medium-risk approach with steadier return forecasts.
Debt Based ULIP Funds These funds prioritize government securities and corporate bonds. The risk is lower, and returns are stable but more modest.
Cash Funds Think of these as the safety-net option. Funds are placed in bank deposits and short-term instruments. They are the most secure ULIP fund available.

Classification by Death Benefit


Parameter Type 1 ULIP Plans (Focus on Life Cover) Type 2 ULIP Plans (Focus on Investment Returns)
Lock-in Period 5 years 5 years
Investment Options Equity, debt, or a mix of both Equity, debt, or a mix of both
Returns Market-linked returns Market-linked returns
Death Benefit The nominee gets the higher amount between the sum assured or the current fund value. (Example: If the fund is ₹50L and the sum assured is ₹40L, the payout is ₹50L). The nominee gets both the sum assured and the fund value combined. (Example: If the fund is ₹50L and the sum assured is ₹40L, the payout is ₹90L).
Objective Ensures a guaranteed payout to the nominee Aims to maximize the final payout and the investment growth.
Suitable for Anyone who wants life insurance first, with steady market-linked growth as a bonus. An individual willing to invest more with higher premiums to get larger potential benefits.
Sum at Risk Reduces over time as fund value increases Reduces over time as fund value increases

Classification by Purpose


Purpose-Driven ULIP Solutions Details
​​ ​ULIP for Wealth Creation This plan is for the long haul. It presents an opportunity to build a significant corpus through market-linked growth
ULIP Plans for Child Education Use this plan to construct a dedicated education fund. It also ensures family financial stability if you are no longer around.
​​ ​ULIP for Health Benefits Certain ULIPs allow access to funds during a medical emergency. You can often attach specific health riders.
ULIP Plans for Retirement These plans are designed to help you build a large retirement corpus over your working years, delivering returns after you retire.

Benefits of ULIP Plans


imageulip
imageulip

Securing your future requires a strong financial corpus. The ​​benefits of ULIP plans are designed to help you build that foundation. These unit linked investment plans offer a structured path toward your financial goals.

Flexibility to Choose a Cover Amount

Unit Linked Insurance Policies give you the power to pick life insurance that fits your needs, often between 7 to 20 times your annual premium.

A yearly ₹1 lakh investment might open up a life cover between ₹7 lakh and ₹20 lakh. Selecting a ₹15 lakh cover ensures that your family receives that amount during a crisis. It is direct financial protection.

Flexibility to Choose the Type of Investment

A ULIP's best feature is your power to direct its investments. You get the control to shape the plan and align it with your personal financial strategy.

Wealth Boosters

The ULIP journey includes certain rewards called wealth boosters. The plan adds these extra units to your policy when you reach key milestones, such as staying invested for five years or more.

Maturity Benefit

Once your policy term concludes, you receive the accumulated fund value from your paid premiums and market-linked returns.

Tax Advantages

ULIPs provide valuable tax benefits at both the entry and exit stages of the investment.

  • Entry Advantage: Your premium payments can be claimed as a tax deduction under Section 123 read with Schedule XV of the Income Tax Act,2025.
  • Exit Advantage: The plan's maturity benefits may also be tax-exempt under Section 11 read with Schedule II(2) of the Income Tax Act, 2025, subject to conditions.

Such benefits are subject to market risks and changing tax laws. It is also advisable to consult a financial advisor to be on the safe side.

Loyalty Additions

Your policy gets extra units at set intervals through loyalty additions. Think of them as a direct reward for your long-term commitment. These additions boost your investment's growth potential.

Goal-Based Planning

ULIPs excel at goal-based investing. Use them for increasing personal wealth or for ​​planning for your retirement. A ULIP for child education is also a powerful tool for funding future ambitions.

Dynamic Fund Allocation

You get the freedom to switch between an insurer's fund options. Moving your money between equity, debt, or balanced funds is simple. This process puts you in charge of managing market risks and returns.

Death Benefit

The plan includes a comprehensive death benefit for your family's security. Should an untimely event occur, your nominees get the proceeds based on the policy's terms.

Invest in your dreams with Kotak Life Insurance ULIP plans.

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What are the Eligibility Criteria for Purchasing a ULIP Plan

In order to invest in a Unit Linked Insurance Plan (ULIP), one must fulfill some eligibility requirements the insurance plan imposes. These are the criteria that make sure that the product fits your financial status and long-term objectives. Here are the key parameters:

Age Criteria

This is the most basic necessity. The minimum legal age to buy a ULIP is usually 18 years because the holder of the policy should be an adult person so as to enter into a legal contract. Most insurers have an upper limit of entry age, usually ranging between 60-65 years, ensuring that the policy can mature before the individual gets too old.

Income Criteria

Although not necessarily a requirement, there can be a minimum requirement on an annual income by some insurance companies. This is to facilitate that you have a stable financial standing so as to ensure that you are able to pay the premiums throughout the term without strain. It aids in determining the cost-effectiveness and suitability of the plan to your financial circumstances.

Medical Fitness

The health status is a major factor, considering the fact that ULIPs comprise a life insurance element. The insurer can also make you undergo a medical examination depending on your age and the sum assured in unit linked insurance plan. This forms a normal procedure in underwriting to determine the magnitude of the risk that insurers are taking by issuing a life insurance to you. A clean bill of health usually results in a fast and easier policy issuance.

Investment Horizon

Though it is not a rigid eligibility requirement in the form of a pass or fail test, long-term investment is a feasible requirement for a ULIP. These plans are designed for long-term goals and come with a lock-in period of five years. In order to be a real beneficiary of the fluctuations in the market and the force of compounding, it is strongly advised that the minimum investment commitment should be 10 to 15 years.


Common Riders Available with ULIP Plans

You may add optional riders to the base policy when buying a ULIP. These riders provide you with additional financial protection in relation to certain unplanned circumstances at a nominal extra premium, making your ULIP a much safer and tailored financial instrument. The following are some of the most standard riders available:

Accidental Death Cover Rider

This rider provides an additional lump sum to your nominee if death results from an accident. It adds an extra layer of financial protection beyond the base life cover.

Critical Illness Rider

If you are diagnosed with a serious illness, this rider pays a lump sum. You can use this fund for treatment or income replacement, allowing you to focus entirely on recovery.

Waiver of Premium Rider

If you suffer a disability or critical illness, this rider waives future premiums. Your policy stays active and your investment grows, ensuring your long-term financial goals remain secure.

Accidental Disability Rider

If an accident causes disability, this rider provides a payout to replace lost income. It helps cover living expenses, ensuring your lifestyle remains stable despite the physical setback.

Hospital Cash Rider

This rider provides a fixed daily cash allowance during hospitalization. It covers incidental expenses like travel or food, helping you manage out-of-pocket costs not covered by standard health insurance.


Types of ULIP Charges

A ULIP is both insurance and an investment. As with any financial product, certain charges apply that can impact your returns. Knowing these charges is a vital step for every investor.

Policy Administration Charges

Your insurer deducts standard fees to manage the policy. This covers paperwork, record-keeping, and service.

Fund Management Charges (FMC)

A small percentage of your fund value is charged for its professional management, whether in equity, debt, or balanced funds.

Premium Allocation Charges

A portion of your initial premiums covers costs like agent commissions and underwriting. The remainder of your money is invested.

Mortality Charges

This charge pays for the life insurance part of your policy. The cost depends on your age, health, and the cover you chose.

Switching Charges

You can move your investment between funds. You receive some free switches each year. A small fee applies if you exceed this limit.

Surrender Charges

Closing a ULIP within the five-year lock-in period results in a surrender charge penalty.

Partial Withdrawal Charges

You can withdraw money after five years. Some withdrawals are free, but charges may apply if you exceed the set limits.

ULIP vs Other 123 read with Schedule XV of the Income Tax Act,2025 Tax-Saving Options

Section 123 read with Schedule XV of the Income Tax Act,2025 offers multiple avenues to save tax, yet each yields different results. Comparing Unit Linked Insurance Plans against ELSS or PPF clarifies which instrument fits your rhythm. This understanding helps you build a portfolio effectively tailored to your specific goals.


Here is an analysis of distinct investment types to guide your decision:


Feature ULIP ELSS PPF NSC
Purpose Combines life protection with wealth creation Pure equity investment for capital growth Government-backed retirement savings Secure fixed-income instrument
Lock-in Period Five years Three years 15 years Five years
Risk level Moderate to High (Choice dependent) High (Market volatility) Low (Sovereign guarantee) Low (Fixed return)
Returns Market-linked potential Market-linked growth Fixed rate set quarterly Fixed rate locked at purchase
Tax Benefits (123 read with Schedule XV of the Income Tax Act,2025) Up to ₹1.5 lakh deduction Up to ₹1.5 lakh deduction Up to ₹1.5 lakh deduction Up to ₹1.5 lakh deduction
Tax on returns Tax-free maturity if premium is low LTCG tax applies above ₹1.25 lakh Completely tax-free returns Interest is fully taxable
Liquidity Partial withdrawals after lock-in Full withdrawal after three years Limited withdrawals allowed Locked until maturity
Ideal for Goals requiring cover and growth Aggressive wealth builders Risk-free retirement planning Conservative guaranteed income

Every investment vehicle plays a specific role in your financial journey:

Selecting the correct mix depends entirely on your financial timeline and risk tolerance. Pairing a ULIP with a stable option like PPF creates a secure portfolio while optimizing your Section 123 read with Schedule XV of the Income Tax Act,2025 tax benefits.


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Testimonials

When I was planning for my child's future, my friends recommended me about investing in ULIP. The benefits that ULIP offer were very well aligned with my requirements. This is why I started researching and came to know about the Kotak e-invest plus plan. I went through their online portal and got to know the premiums, returns and everything. I realized that Kotak ULIP plans was the best plan for me, and I bought it.

- Mr. Ambadas Sulakhe

ULIP insurance plans are new-age investment instruments that offer tax benefits and market-linked returns. I read about it online and started to think about my investments. I thought this could be a good addition to my financial portfolio. They offer market-linked returns with no Capital gain taxes. And I could easily optimize my returns by choosing the funds wisely. So, I decided to start my Kotak ULIP plan.

- Mr. Darpan V Mehta

Investments have always helped me achieve my difficult life goals. So, I make sure that every month I invest in the right instruments. Just when I was looking for a new investment option, I came across Kotak ULIP plan. They have various plan options; premium payment mode is flexible which is perfect for me. The plan aligned with my requirements and offered excellent returns which makes this one a best ULIP plan for me.

- Ms Munera Janvekar

Kotak ULIP plan is one of the best investment instruments I decided to invest my hard-earned money in. It gives me various fund options that help me manage my portfolio and make sure that my investment is optimized all the time. This way, I can gain returns when the market is high and go for debt funds when the markets go down. A win-win. If you are looking for such a plan, I recommend you to invest in Kotak ULIP plan.

- Mr Sujitbhai Ashokbhai Kanjariya

I was looking for investing a sum of amount that can give me good returns over the long term. I came across Kotak ULIP plan and decided to give it a try. I logged in to understand the plan and their call center executive helped me understand everything about the plan. I went ahead with the plan and the plan is giving me good returns and I can monitor them year on year. If you are looking for a long term investment with solid returns, I recommend you to invest in Kotak ULIP plan.

- Ms Neeti Garg

My friends recommended me to invest in an ULIP plan when they came to know that I am planning to buy a house in the future. I went online, spoke to my friends and came across Kotak ULIP plan. I registered on their portal where they showed me all plans, premiums and returns upfront. I completed the application process upload documents and made my payment. I was happy to make this decision as I can now monitor my returns and make a fund switching decision when required.

- Mr Santosh Kumar

How to Choose the Best ULIP Plans in India?

Finding the right ULIP plans in India 2025 involves a close look at your own financial needs, your tolerance for risk, and your long-term goals. A clear review of the ULIP advantages and disadvantages is what helps you find a plan that works for you.


  • Align with Long-Term Goals:

    First, identify your long-term financial goals. A plan for retirement is very different from one for your child's education. The best ULIP plan in India for you will be one that matches your specific time horizon and purpose.

  • Evaluate Policy Charges:

    There are ULIP charges levied like premium allocation, mortality, fund management, switching and administration fees. Seek out the plans that will guarantee you the best fee structures to increase your net returns.

  • Check Past Fund Performance:

    Examine the performance history of the ULIP funds over the last three to five years. A consistent track record is a good sign of dependable fund management.

  • Assess Flexibility:

    To buy the best ULIP, select policies that have flexible policy tenures, top-up features, and partial withdrawal options. These characteristics allow you to modify the plan as your financial situation changes.

  • Consider the Insurer's Credibility

    An insurer's reputation is non-negotiable. You must find a company with a high solvency ratio, preferably 1.5 or more, and a strong history of settling claims.
Buy ULIP Online

How to Buy ULIP Plan Online?

Buying a ULIP online is now easier than ever. You can get a policy directly from an insurer's website or through a trusted online insurance marketplace. With Kotak Life, securing your ULIP policy online is straightforward and only takes a few steps.


All you have to do is follow through with the following steps in order to get started with the unit linked insurance policy of your choice:


  • Step 1: Explore ULIP Plans

    Open the Kotak Life website and go to the ULIP Plans section. You will see plans like Kotak Life E-Invest Plus and TULIP, which offer insurance cover and market-linked investment opportunities.

  • Step 2: Enter Your Details

    Enter your name, mobile number, and a few basic details to get a customized quote as per your investment goals.

  • Step 3: Compare Plan Features

    Compare different ULIPs on the basis of fund selection, the duration of the policy, and the returns. Your final selection should fulfill your financial goals and risk profile.

  • Step 4: Customize Your Plan

    Decide how much you wish to invest, how often you wish to pay premiums (monthly or yearly), and what kind of investment strategy you would prefer. You can also choose your investment timeline as per your financial objective, whether you are targeting ULIP returns in 25 years, ULIP returns in 30 years, or ULIP returns in 35 years. This will enable you to make your policy flexible in order to meet both the short and long-term goals.

  • Step 5: Complete the Application

    Provide your personal data and verify it with your income details and KYC record. Give your health records as well.

  • Step 6: Make the Payment and Receive Your Policy

    Pay securely after choosing your payment method. As soon as it is confirmed, your ULIP policy document will be sent to you through email, and that is the start of your financial journey with Kotak Life.

Myths About Investing in ULIPs

The existence of the ULIPs has been a subject of debate amongst investors for years now. While there are people who regard them as a smart, one-stop-shop investment option, there are others who approach them with caution due to various misconceptions. Here’s a look at a few of the most common myths and the truth behind them:

Myth 1: ULIP Plans are Expensive

One common myth about ULIP plans is that they are too expensive to be worth it. While it is true that they come with certain charges, these costs are generally reasonable, especially when you compare them to other investment options like mutual funds or ​​portfolio management services, which also have their own fees. The key is to understand what you're paying for and how the plan's benefits can outweigh these charges in the long run.

Myth 2: ULIP Plans have Poor Returns

Another widely held misconception is that ULIPs deliver poor returns compared to options like mutual funds or direct equity. In reality, ULIP performance depends on factors such as your investment duration, the type of funds you choose, and the track record of the insurance provider. With the right choices and a long-term view, returns can be competitive.

Myth 3: ULIP Plans Lack Transparency

Some people also believe that ULIPs lack transparency. However, these plans are regulated by the IRDAI, which requires insurance companies to disclose all important details about the scheme clearly. This ensures investors have access to the information they need to make smart choices.

Myth 4: ULIP Plans have a Long Lock-in Period

Although the minimum lock-in period for ULIP plans under IRDAI regulations is five years, it also gives investors an opportunity to receive compounding powers that work long-term.

Myth 5: ULIP Plans are Only for Life Insurance

ULIP plans indeed provide life insurance, but they are also an investment product. They provide a dual advantage of insurance protection and potential wealth creation through market-linked returns.

Myth 6: ULIP Plans are Risky

It is true that ULIPs are linked to the market, but the level of risk is in your hands. If you opt for equity funds, your returns might fluctuate in the short term, but can grow significantly over time. If you prefer a steadier approach, debt funds focus more on stability and capital protection. By going for the right mix of funds and staying invested for a long time, you can balance risk and reward effectively.

Term Related to Unit Linked Insurance Plans

The mechanics of ULIPs should be fully understood to maximize the benefits of ULIPs. The following is a basic list of terms related to ULIP plans you will come across:

Fund Value

This is the real-time cash value of your investment. It is the number of units you own in a fund, multiplied by that fund's current price (Net Asset Value).

Contract

Your ULIP "Contract" is the official policy document. This is the legally binding agreement between you and the insurance company that details every single rule.

Contract Surrender

This is when you cancel your ULIP policy before its official end date. If you surrender within the 5-year lock-in period, your money goes into a discontinuance fund and sits there. If you surrender after the lock-in, you get the entire fund value right away.

Death Benefit

This is what the insurance company will give to your nominee in the unfortunate event of your demise during the policy period. The higher between the sum assured and the fund value (in a Type 1 ULIP) or the sum reassured along with the fund value (in a Type 2 ULIP) is the usual amount.

Fund Switch

A fund switch is a tool. It lets you move your money from one investment fund to another inside your ULIP, like from stocks to bonds. You use this to manage your investments based on market performance and your own comfort with risk.

Maturity Benefit

This is the final payout you get when the ULIP's term is complete. Your maturity benefit is the total fund value on the policy's end date.

Regular-Premium Contract

This is a standard ULIP contract where you must pay your premiums on a strict schedule, such as monthly or yearly, for the entire payment term.

Single-Premium Contract

This ULIP type requires just one massive, lump-sum premium payment at the very beginning. After that, you are done paying for the entire policy term.

Sum Assured

The sum assured is the guaranteed minimum death benefit payout. It is the core life insurance component inside your ULIP.

Surrender Value

This is the amount of cash you walk away with if you cancel the contract before its maturity date. After the 5-year lock-in period is done, the surrender value is simply the full fund value at that moment.

Survival Benefit

In a ULIP, a survival benefit is a loyalty bonus. The insurer rewards you with extra units in your fund at set times for staying invested with them long-term.

Top-Up Premium

A Top-Up is an extra, one-off investment you make into your ULIP. It sits on top of your normal premiums. This is how you invest extra cash to grow your fund value faster.

ULIP Charges

These are the fees the insurer deducts from your money to manage the policy. Expect to see charges like the Premium Allocation Charge, Policy Administration Charge, Fund Management Charge (FMC), and the Mortality Charge.

Withdrawal (Partial)

This feature lets you pull out a portion of your cash from the fund value for an emergency. You are only allowed to make partial withdrawals after the 5-year lock-in period is over.

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