Mumbai: Kotak Mahindra Life Insurance Company (Kotak Life) has launched Kotak G.A.I.N, a non-linked participating plan geared towards long-term saving and income.
This product offers various payout options from the outset of policy issuance, providing customers with a flexible approach to tailored payouts for sustained regular or lump sum income upon maturity.
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Mahesh Balasubramanian, Managing Director of Kotak Mahindra Life Insurance Company, said that a unique feature of the plan was the option where guaranteed loyalty addition would offset the last two years of premium payment.
The policy comes with three options – Early Income, Paid-up Addition, and Premium Saver. Under the ‘Early Income’ option, customers can receive regular income from the first month for monthly payouts or from the first year for annual payouts.
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The ‘Paid-up Addition’ option allows income benefits to be utilized for purchasing additional sum assured throughout the policy term, available for withdrawal as a lump sum.
The ‘Premium Saver’ option offers cash bonuses from the end of the premium payment term, accompanied by guaranteed loyalty additions payable in the Policy to cover the last two years’ premiums.
The entry age ranges from a minimum of 90 days to a maximum of 50 years for a premium payment term (PPT) of 8 years, or 55 years for PPT 10 & 12 years. The Maturity Age ranges from a minimum of 40 years to a maximum of 85 years.
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The product also has annuity-like features. According to Piyush Trivedi, joint president, a customer 50 years old could pay premium for 10 years and thereafter receive annual payouts over the next 25 years, and as the payouts are part of life insurance benefits, they are not taxed. Maturity Benefits include a return of premium along with terminal bonuses.
The Policy Term is fixed at 85 years minus the Entry Age or 40 years, with a minimum premium of Rs. 50,000 and Premium Payment Terms of 8, 10, or 12 years.
