Getting a Kotak e-Term Plan is a great idea to secure your dependents’ future financially. However, it might seem a bit confusing if you have no prior idea about this insurance plan. So, here’s clarifying all the details of how the Kotak e-Term Plan works. Give it a read!
What exactly is a Kotak e-Term Plan?
Kotak e-Term Plan is a pure life insurance plan that offers a high sum assured at an affordable price. This makes it an ideal choice for people looking for financial security for their loved ones. The plan also offers flexibility in terms of premium payment and policy tenure. You can also calculate term insurance premium.
How does a Kotak e-Term Plan work?
Kotak e-Term Plan is a term insurance plan that offers financial protection to the policyholder’s family in case of his/her untimely death. In case of the policyholder’s death during the policy term, the nominee will receive the sum assured as a lump sum. The plan also offers riders that can be opted for at an additional cost. These riders provide additional protection against risks such as critical illnesses and accidents.
Assess the requirements of the family
Kotak e-Term Plan is a major financial commitment. Thus, it is crucial to understand your family’s needs before you decide on the sum assured, premiums, and tenure. Consider all your debts before you proceed. For instance, you might have loan EMIs or higher education costs for your children that you need to pay up.
Of course, you can change the tenure or add more riders later, but you should have a basic idea about these aspects from the start. Though it depends on you, the general idea is to get coverage that is about twenty times the family’s net annual income.
Buying a Kotak e-Term Plan
The next step is buying a Kotak e-Term Plan per your needs. Now, you have two ways to purchase this term plan. You can either purchase it online. Or, you can visit the nearest branch of the company and get the policy from there.
Also, before you go ahead and start applying, take a look at the list of documents needed for this reason. Typically, online applications do not have too much hassle related to paperwork. In any case, check beforehand and gather all the necessary documents before you start filling up the application form.
Consider the riders accompany the policy
While applying for the Kotak e-Term Plan, you will find a list of riders that you can add to the policy. A rider is a provision under a term insurance policy to let you add more benefits to a basic policy to get extra coverage. It will slightly increase the premiums but get you more benefits in exchange.
Pay the insurance premiums regularly
The premiums are pretty affordable for a term plan. When you get a Kotak e-Term Plan, one of your prime responsibilities is to pay the premiums regularly. The last thing you would want is to lose out on all the benefits because you defaulted on insurance premiums.
That’s all! That is the basic structure of how a Kotak e-Term Plan works. So, go online and apply for it right away.
Visit here to know more about Kotak Life Term Insurance Plan: https://www.kotaklife.com/online-plans/online-term-insurance-plans