I have purchased Kotak Capital Multiplier Plan ( UIN-107N011V01) in 2012 with Accidental Death Benefit Rider, and already paid 3 year premium, which in 25000 a year. Now I need to know if I am going to close this policy what should I get from Kotak and is it good idea to close this policy here or can I converted this to a Paid Up Policy and continued for a reduced Sum Assured without paying further premiums.
Please help me out on this as I am very confused .
I think Kotak life has stopped this plan. As per Kotak Capital Multiplier plan -
You have following option-
A- Surrender: On completion of three policy years, the policy acquires a Guaranteed Surrender Value provided all due premiums have been paid on time. The Guaranteed Surrender Value will be 30% of all premiums paid to date, excluding the first year's premium and extra premiums and rider premiums, if any. The value of bonus interest will also be included in the Surrender Value.
So if you surrender it after paying 3 years premium, you will get 30% of 2 year premium (30% of 50,000) => 15000/ only.
B - Paid-up Policy: After paying at least 3 years premiums and after completion of 3 full policy years, you can elect to stop paying future premiums and make the policy paid up by intimating the company in writing. The rider benefits will cease. The Sum Assured will be reduced in proportion to the number of premiums paid to the number of premiums payable. Check with customer care of Kotak life for more info.