An insurance plan is a step in the right direction when it comes to securing the financial future of your loved ones. However, this is not the only reason why you buy an insurance policy.
It is important to keep in mind that an insurance policy is also a sound investment. This twofold purpose of getting insurance makes it even more important for you to be extra careful about buying one.
In this regard, you can consider an assured savings plan because it ticks all the right boxes. Read on to know why you should invest in it.
Get guaranteed savings
You invest in Kotak Assured Savings Plan when you want a safe and dependable investment option. As the returns from the plans do not depend on the market conditions, they are great for investors looking for low-risk options. The returns that you will get at the end of the term will not change due to any ups and downs in the market.
That’s not all. You are even entitled to receive an assured bonus after you stay invested for a certain number of years and pay each premium. In the end, your maturity corpus increases.
Life coverage from the savings plan
There is also an insurance component available when you invest in Kotak Assured Savings Plan. The insurance component is not market linked at all. So, you get to save up a considerable amount and secure the financial future of your loved ones at the same time.
There is a provision for death benefits, which means the beneficiary gets the sum assured in case the policyholder doesn’t survive the policy term. So, your dependents have a financial safety net in your absence.
The flexibility factor associated with it
Guaranteed savings plans are flexible enough to be customized to individual needs. You can adjust the number of premium years, term years, and so on. So, get a policy for fifteen years or thirty years and set the payment years at five to ten – the choice is yours.
In fact, you can even choose to go for one lump sum premium payment in some cases. The idea is to make the plan accessible and affordable for all.
The facility of adding riders
A rider is a provision under an insurance policy to let you add more benefits to a basic term policy to get extra coverage. In other words, the plan can offer added financial coverage that comes in handy in times of need.
For instance, you can get an Accidental Disability Benefit Rider. This rider is helpful when a policyholder has an accident that makes them partially or permanently disabled. It is an income replacement rider that pays a specific sum of money regularly to the policyholder for the next couple of years.
The additional tax benefits
As per Section 80C of the Income Tax Act, 1961, the premiums paid for a Guaranteed Savings Plan get tax exemption up to ₹1.5 Lakh. There is more! The death benefits and maturity benefits under this plan also get tax deductions under Section 10 (10D). So, if you are looking for an assured tax saving option, then getting a savings plan can be a sound choice.
So, if you are yet to invest in an Assured Savings Plan, then now is a good time to do it.
Visit here to know more about Kotak Assured Savings Plan: https://www.kotaklife.com/insurance-plans/savings-and-investments-plans/kotak-assured-savings-plan