Kotak Surakshit Jeevan

Khushaal
bhavishya ki neev
Presentation Outline

Product Highlights

Plan benefits

Projection Values/Illustrations

Other details

For training purposes only. Insurance is the subject matter of the solicitation 2
Key Highlights

Double Protection from Year 5 onwards

Disciplined savings through regularly setting aside modest amounts

Loyalty rewards for long term commitments

Unparalleled flexibility in withdrawing money after maturity

Hassle free sign-up

Save Tax u/s 80C and 10(10D) of Income Tax Act, 1961

For training purposes only. Insurance is the subject matter of the solicitation 3
Eligibility

Entry Age Min – 0 years, Max – 60 years

Policy Term/ Premium Payment Term Min – 10 years, Max – 25 years
Where life insured is a minor, term will
be greater of (10, 18 – age last birthday
at entry)
Maturity Age Max – 70 years
Annual Premium For Rural markets
Min – Rs 3500, Max – Rs 35,000
For Urban markets
Min – Rs 6000, Max – Rs.35,000
Premium Frequency Yearly, Half Yearly or Monthly
No policy fees for any mode

Modal Factors Half Yearly – 51%/ Monthly – 8.5% of

yearly premium.

For training purposes only. Insurance is the subject matter of the solicitation 4
Understanding Bonuses

Simple Reversionary Bonus – may be declared annually and are
expressed as a percentage of Basic Sum Assured. These bonuses will
vest on the policy on the 5th policy anniversary provided all the first 5
years premium have been paid in full. Once declared & vested, they
become guaranteed.

Interim Bonus – is declared in case of death claim during the course
of the financial year (and during the policy term) for that period of
the year.

Terminal Bonus – in case if all premiums are paid in full and as
scheduled for 10 years or more and the policy is still inforce then,
Terminal bonus may be declared.

Special Terminal Bonus – Additional bonus may be paid on survival at
the end of the policy term.

The declaration of any of these bonuses is not guaranteed and is

dependent on the performance of the relevant participating fund. All
bonuses are applicable only to policies in full force where all
premiums have been paid upto date.

For training purposes only. Insurance is the subject matter of the solicitation 5
Plan
Plan Benefits
Benefits –– On
On Maturity
Maturity

For policies where all premiums are paid to date.

Basic Sum Assured plus all the bonuses (if any)

Simple Reversionary Bonus

Terminal Bonus

Special Terminal Bonus

3 options of withdrawal of maturity amount

Entire amount immediately & policy terminates

Or half-yearly instalments over a five year period. Guaranteed
amount of each half-yearly instalment would be Rs 108 per thousand
maturity benefit.

Or cash component of 1/3rd of total maturity proceeds and utilize
the balance to purchase an annuity

For training purposes only. Insurance is the subject matter of the solicitation 6
 Plan Benefits – On Maturity (Option 1)
Sum Assured
+
Reversionary Bonus
+
Terminal Bonus
+
Special Terminal Bonus
Bonus declared every year

Sum
Assured
Savings phase

Purchase
of plan End of term
Term of plan

Option of withdrawing the entire amount & terminating the policy

For training purposes only. Insurance is the subject matter of the solicitation 7
 Plan Benefits – On Maturity (Option 2)
Sum Assured
+
Reversionary Bonus
+
Terminal Bonus Half Yearly
+
Special Terminal Bonus installments
Bonus declared every year for 5 years

Sum
Assured Benefits phase
Savings phase

Purchase
Term of plan Maturity 5 years
of plan
Guaranteed Rs 108 per thousand
maturity benefit for each half-
yearly installment
Option of installments after maturity

For training purposes only. Insurance is the subject matter of the solicitation 8
 Plan Benefits – On Maturity (Option 3)
Sum Assured
+
Reversionary Bonus
+
Terminal Bonus
+
Special Terminal Bonus

Bonus declared every year

1/3rd
cash

Sum
Assured 2/3rd Pension
Savings phase annuity for old
age
Purchase Maturity
of plan Term of plan

Option of retirement benefits after maturity

For training purposes only. Insurance is the subject matter of the solicitation 9
Plan Benefits – On Death
For first six months from the Return of the premiums paid (less any rider premium and extra
inception of the policy premium)

From 6 months - Year 5 100% of Basic Sum Assured

From Year 6 – Year 10 200% of Basic Sum Assured

+ Vested simple reversionary bonuses
+ Interim bonus, if any
From Year 11 onwards 200% of Basic Sum Assured
+ Vested Simple Reversionary Bonuses
+ Interim bonus, if any
+ Terminal bonus, if any
In case of a minor Return of premiums if death within 5 years from the date of policy
commencement or before attainment of age 18, whichever is earlier.

In case of suicide No benefits payable in Year 1.

For training purposes only. Insurance is the subject matter of the solicitation 10
Enhancing your death benefit

Choice of optional riders to enhance your protection:

Life Guardian Benefit Rider

In case of the unfortunate death of the proposer, this benefit will
keep the policy alive by waiving all future premiums on the policy.
This benefit can be availed of only when the life assured and proposer
are two different people. The indicative charge for the rider
(assuming policy term 10 years) are as follows:
Age of the Proproser
20 30 40 50
Rate per ‘000 sum assured 23.3 26.6 45.5 96.0

Permanent Disability Benefit Rider

In case of the unfortunate occurrence of a total and permanent
disability due to an accident, this lump sum benefit would work as an
additional financial support in your time of need. The charge for this
rider is Rs.0.40 per ‘000 sum assured.

For training purposes only. Insurance is the subject matter of the solicitation 11
Plan Benefit
Illustrations
A
A need…
need ….

Age of Mr. Sharma – 30

Has a family – wife and daughter

Is a government employee

Wants to send his daughter to a premier institute for
medical studies

Wants to provide a happy secure future for his family

Wants to protect his family from unforeseen events

Some
dreams for
the family

For training purposes only. Insurance is the subject matter of the solicitation 13
 A plan that will make dreams
come true….
Guaranteed Terminal Special Terminal
Rev Bonus Bonus
Sum Assured Bonus
Dreams for Rs 5,00,000 + Rs 4,18,750
+ Rs3,50,000 + Rs 1,52,000
family

Total Maturity
Death Benefit = Rs10,00,000 + Rev & Interim Bonus Amount
(From Year 6) Rs14,20,750
Sum
Assured

Purchase
of plan Maturity
Annual Premium Rs 34,455*
Term 20 years

*Premium excluding service tax

Assuming gross returns at 10%
For training purposes only. Insurance is the subject matter of the solicitation 14
 For a independent future …

Age of Mr. Kumar – 35

Has a family – wife and a son

Works as a Government employee

Wants to maintain his lifestyle

Wants to protect his family from unforeseen events

Wants to relax without worries when he is old

Independent
retired future

For training purposes only. Insurance is the subject matter of the solicitation 15
 A plan for your golden years

Special Terminal
Guaranteed Rev Bonus Terminal Bonus
Bonus
Rs 5,00,000 Rs 5,43,750 Rs4,37,500
+ + + Rs1,90,000

Death Benefit = Rs 10,00,000 + Rev & Interim Bonus

Sum (From year 6)
Assured
Total Amount
Purchase Rs16,71,250
Maturity
of plan Annual Premium Rs 28,695*
Term 25 years

1/3rd Cash - Better lifestyle 2/3rd Pension – Golden years

*Premium excluding service tax

Assuming
For training purposes only. Insurance is the subject matter of the solicitation gross returns at 10%
16
Other details
Lapse & Revivals

Within first three Policy Years

The policy with the rider benefit shall lapse

Can be revived within 2 years of the date of lapse

Revival by payment of arrears of premiums with interest and
collection charges, along with proof of good health

If policy not revived in the two-year period, premiums already
received are forfeited.

After payment of 3 years premiums

An extended risk coverage period of 2 years or up to the date of
maturity whichever is earlier is provided by default

The benefit payable on death during period of two years is Sum
Assured plus any accrued bonuses less any unpaid premiums due at
the date of death.

For training purposes only. Insurance is the subject matter of the solicitation 18
Surrender

After 3 years premium payment

Guaranteed minimum surrender value = 30% of all premiums
paid to date excluding the first year’s premium and any
rider or other extra premiums.

Special surrender value = Surrender value factor multiplied
to the reduced paid-up value

For training purposes only. Insurance is the subject matter of the solicitation 19
Paid-up

After full 3 years’ premiums paid

On death

Within 2 years of the first unpaid premium

Full Sum Assured along with accrued bonuses less any unpaid
premiums due at the date of death.

Allowed twice during the policy term

After two years from the date of first unpaid premium

Reduced Sum Assured plus bonuses as on the paid-up date

On Maturity

Reduced Sum Assured plus bonuses as on the paid-up date

On Surrender

If paid-up policy is surrendered, the value will be calculated
by applying surrender value factor to the reduced sum assured
and vested reversionary bonuses

For training purposes only. Insurance is the subject matter of the solicitation 20
Loan Facility

Loans will be granted once the policy acquires a surrender

value

Loan will be a maximum of 80% of the surrender value,
available @ market related rate of interest

For training purposes only. Insurance is the subject matter of the solicitation 21
Signing –up & Underwriting

(SJPF) Proposal Form to be completed – Form ID: 10101530

Standard Age Proofs - The list of acceptable Age Proofs for all proposals
including Rural is attached. Any age proof other than these will result in
the proposal being rejected.

Medical Addendum –when required

For the following age bands, the underwriting guidelines are:

Maximum Sum at Risk for Non-Medicals

Age Band
(all categories of lives)
Upto age 50 Rs 3.0 lakhs
Age 51 to 55 Rs 2.5 lakhs
Age 56 to 60 Rs 1.5 lakhs

For any condition not fulfilled above, the regular underwriting norms will apply:

For training purposes only. Insurance is the subject matter of the solicitation 22
Commissions

First Year# : 40%

Renewals : 5%

# For all policy terms

* For policy term 10-14 years: Renewal Commission is payable only upto year 7
* For policy term 15 & above: Renewal Commission is payable upto year 10

For training purposes only. Insurance is the subject matter of the solicitation 23
Khushaal bhavishya ki neev