Kotak Super Advantage -Query regarding Sum Assured Amount

POSTED BY Anuj Sharma ON August 23, 2012 3:09 pm COMMENTS (7)

I had purchased Kotak Super Advantage in Year 2010 for Rs. 54000 as Annual Premium.Two Plocies in same Plan 30000+24000 Rs as Annual Premium & having 200000 & 150000 sum Assured respectively but geting only 350000 Rs as Sum Assured Amount & when i asked to Kotak Life Insurance Company,notify me that it is not applicable for same because it had been purchased in year 2010 & 10 times annual premium is applicable only for those ULIP plans which had been bought after or on september 2011.I am not satisfy with this because i had LIC’s plan Market Plus-I since jan 2010 & paying 20000 Rs as annual premium with sum assured amount 200000 Rs (Ten Times of Annual Premium)

LIC Policy

Market Plus-I (Tin No.-191)

Commencement Date: 30/01/2010

Annual Premium: 20000.00 Rs (yearly)

Sum Assured: 200,000.00 Rs (10 Times of annual Premium)

Policy Term: 20 Years

Similarities in Kotak Policies & LIC policy

1. Both are ULIP plans

2. Year of commencement is same as 2010.

3. Policy Term :20 Years

As per the ombudsman of IRDA, if customer (Policy Holder) is not satisfy with Insurer (Kotak Insurance Ltd),can file a complaint in IRDA & he/she is not also satisfy with IRDA’s Ombudsman award to Insuer,he/she can file complaint further to consumer court.

What should I do .I request you to suggest me & do the needful.


Anuj Sharma

7 replies on this article “Kotak Super Advantage -Query regarding Sum Assured Amount”

  1. Kotak Support Team says:

    Dear Sir,

    We Sincerely regret for the inconvenience caused to you.

    With reference to your complaint, we request you to kindly provide us with your policy and contact number to take your complaint further..

    On receipt of the contact number, we will arrange for our associate to contact you and assist you with your query.

    You may also write to kli.grievance@kotak.com and our grievance officer will definitely assist you with your complaint.


    Kotak Support Team

  2. Anuj Sharma says:

    Dear Ramesh,

    I had read your so many blogs as regular viewer & admire your participation.I am completely agree with you in all points.
    The new norms have also been added that Sum Assured limit is maximum 10 times for 30 to 45 yrs old person & maximum limit is 7 times for above 45 years for tax exumption under 80 C Clause.Is it true ?
    As,if i raise my sum assured amount to 8-10 time ,the premium will increase & can cross the general limit as 1 Lac then would be i exumpted under 80 C for Tax because i have also PF account

    1. Ramesh says:

      Ulips as an insurance vehicle are very expensive. I would just say that.

      What is the basic (first) utility of Ulips in your financial plan / portfolio?
      Is it to provide :
      1. Insurance OR
      2. Investment vehicle OR
      3. Tax-saving instrument.

      Think over these lines, and then re-evaluate if that is the most optimum use of your money.

  3. Anuj Sharma says:

    Thanks for reply,
    Dear Ashal,
    Except these policies,i have PF contribution of 24000 Rs annually,I have also have liquid fund of Rs 50000 & helth insurance from Bajaj Alliance.
    I raised the question only for Sum Assured Amount & the maturity amount is also calculated with the contribution of sum Assured amount if i withdraw the money feom same polices in 10th or 12th year,the total amount would be affected by the same.
    Kotak Insurance Ltd misguided me because me & my relative purchased same policy in same tenture in all aspects but he has different sum Assured from me (no rider have been used) he has sum assured amount 200000 Rs for 24000 anual Premium wheras i have 150000 Rs for same.
    I have documentary proof for the same.
    All the norms are regulated by IRDA & perhaps should be same for ULIP regarding Sum Assured if not described in policy documents & general rule should be followed.


    Anuj Sharma

    1. Ramesh says:

      The insurance cover is not free, if you have not realized that.

      The norms are min 5x (for getting tax benefit in 80C, at that time) and a high of 30-40x.

      The lesser the sum assured, the lesser are the mortality charges, and the more money canbe invested in the associated schemes.

      I do not find any misguidance there (except for the Ulip part itself).

      There are no free lunches in the world.

    2. Dear Anuj, Please respond to Kotak support team’s reply. I hope that matter ‘ll be sorted out for your satisfaction.



  4. Dear Anuj, why did you purchased these policies in the first place? Are you adequately covered for your life from Term plans?

    Regarding the policies in question, I feel some where there is misunderstanding between you & your Agent. Please do not compare Kotak’s Plan with LIC’s Plan.



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