What is the Permanent Disability Benefit Rider in Kotak e-Term Plan?

The Kotak e-Term Plan is an online insurance policy. It is designed to provide monetary protection to family members when the policyholder suddenly passes away during the policy term.

This plan provides numerous options and benefits from which you can choose to magnify the policy. The beneficiaries or nominees will get death benefits according to the chosen plan.

Besides that, this term insurance plan also offers rider options, including total permanent disability and accidental death options. These options can optimize the insurance cover and ensure an excellent package to fight against all the monetary uncertainties.

Pros of Permanent Disability Benefit Rider in Kotak e-Term Plan

There are several benefits of Permanent Disability Rider in the Kotak e-Term Plan. Some of them are:

1.     Monetary Security

The Permanent Disability Rider offers monetary protection to insured individuals and their family members.

This protection comes into effect during a permanent or total disability, which takes place due to an accident.

The rider sum will help the life assured obtain proper treatment for their permanent or total impairment caused due to an accident.

When the insured person or their family members cannot sustain themselves, this rider will offer them monetary aid.

It will help the individual insured and his/her family to live a decent life without many worries.

2.     Payouts

The insured person has the chance to receive massive periodic instalments or payments under this particular rider. The payments are only provided when the insured person has a permanent or total impairment and cannot make an income.

3.     Rebates on the Taxes

When the insured individual buys an e-term insurance policy, they will be qualified for tax breaks under sections 10 [10D] and 80C of the Income Tax Act of 1961.

When the term insurance premium doesn’t exceed 10% of the base amount covered, the payment will get reimbursed to Rs.1.5 Lakhs. Make sure to calculate the term insurance premium before opting for any term insurance plan.

However, if you acquire a Permanent Disability Rider, the tax rebates will be quadrupled under Section 80D of the Income Tax Act of 1961.

4.     Income Complements

When insured individuals go for the regular instalment payout, he/she can use the benefit amount in the form of a steady source or monthly income. This amount can be used to fulfil all the insured person’s and their family’s needs.

The insured individuals will receive a good amount. It will help them pay for all their regular expenses and also aid the family members in maintaining a healthy lifestyle.

The rider will surely work as a source of income for the insured person when they cannot work due to a handicap caused by an accident when the policy is active.

5.     The Affordability

The Permanent Disability Rider will offer you less expensive coverage. Besides that, the premiums of this particular rider are also pretty modest, and you get full coverage for yourself and your family members at an affordable cost.

Ending Note

Life is pretty uncertain in this modern world. That’s why adding riders to your term insurance policy will be much better. Doing so will protect an insured person and their family members against all monetary troubles caused due to unwanted circumstances. The Permanent Disability Rider will helpful if you are involved in risky jobs or services wherein the probability of becoming handicapped is high due to an unforeseen accident.

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