In today's scenario it is very essential to make money work. Similarly under traditional plans which were primarily pure risk covers were not appealing to investors. Under such a scenario unit linked insurance plans provide the right financial solution to the investor. They provide the much required risk cover and as an added feature they also offer market related returns. This is primarily because a portion of the premiums is invested in securities. Thus the investor gets a risk cover and in the process makes his money work for him! In this issue we present one such unit linked plan offered by Om Kotak - The Kotak Easy Growth Plan.

This consists of Government securities and infrastructure debt assets.

Details	Minimum	Maximum
Investment in G'secs	80%	100%
Short term instruments such as money market instruments	0%	20%

This consists of highly rated bond fund, corporate deposits and infrastructure debt assets, Government securities and short term instruments

Details	Minimum	Maximum
Investment in G'secs	0%	75%
Short term instruments such as money market instruments	0%	20%
Debt securities	25%	100%

This consists of a professionally managed portfolio primarily invested in listed equity and equity-related investments. Security will be enhanced through holdings in Government and other debt securities, infrastructure assets

Details	Minimum	Maximum
Equity and related instruments	30%	60%
G'Secs and other debt securities	20%	70%
Short term instruments such as money market instruments, short term deposits, call money and cash	0%	20%

This consists of a professionally managed portfolio primarily invested in listed equity and equity-related investments.

Details	Minimum	Maximum
Equity and related instruments	30%	60%
G'Secs and other debt securities	20%	70%
Short term instruments such as money market instruments, short term deposits, call money and cash	0%	20%

This consists of a professionally managed portfolio primarily invested in listed equity and equity-related investments with a balance holding in debt securities. This is capable of earning high returns which could depend upon market performance.

Details	Minimum	Maximum
Investment in equity shares and equity related instruments	60%	100%
Debt	0%	40%

As regards death benefit the Kotak Easy Growth plan offers two options for choosing the death benefit:

This option offers a guaranteed death benefit that is equal to five times the single premium paid, less any withdrawal i.e. (5*Single Premium) less withdrawal. So, for a premium of Rs.1,00,000, the guaranteed death cover would be Rs.5,00,000/-. In the event of unfortunate death, the nominee/s will receive higher of the value of units or five times the single premium paid, less any withdrawal.

In order to protect the value of the investments, once the policyholder reaches the age of 61, the life cover will reduce to be equal to the initial single premium or unit value, whichever is higher.

Under this option, it is possible to maximize the returns and opt for a minimal life insurance cover. The guaranteed death benefit is equal to the single premium amount paid less any withdrawal. In the event of death, the nominee/s would receive the higher of the value of units or guaranteed death benefit, less any withdrawal.

There is no specified date for withdrawal. The policyholder may withdraw the funds at anytime after the first year. The minimum that the policyholder can withdraw is Rs.10,000 and thereafter in multiples of Rs.10,000, leaving behind a balance of Rs.50,000 in the policy.

• Age limit - Minimum - 0 years
  • Maximum for five times life cover is 60 years
  • Maximum for one time life cover is 75 years
• There is no maximum age
• Minimum premium is Rs.50,000 and there is no limit on the maximum premium.