Om Kotak Unwraps Modified Insurance Bond Scheme

OM Kotak Mahindra Life Insurance Co Ltd has modified its existing Kotak Insurance Bond to allow a greater range of age and a higher limit on the maximum sum assured.

A company press release said that the modified plan allows a single payment of a one-time premium and acts like a fixed deposit that grows your money on maturity. In its re-launched version, the bond is now available for a period of seven years and the maximum age has been increased from 45 years to 60 years. And the maximum vesting age under this plan has been increased from 55 years to 70 years.

 

The minimum one time premium that has to be paid now is between Rs 25,000 as against Rs 5,000 in the earlier plan. Similarly the maximum premium has also been increased from Rs 5,00,000 to Rs 25,00,000.

For a 7-year plan, the maturity benefit is 160 per cent for premium upto Rs 50,000 and 164 per cent for premium in excess of Rs 50,000. For a 10-year plan, the maturity benefit is 210 per cent of single premium for a sum of Rs 50,000 and 217 per cent for the portion of premium over Rs 20,000.

Kotak Insurance Bond also provides an increasing