How old does the child have to be to avail of this plan?	Minimum age - 0 years Maximum age -17 years
For what term can I avail of this plan?	10 - 30 years
What is the maximum sum assured allowed under this plan?	Rs.25,00,000

1. On Maturity, you would receive the sum assured plus the bonus addition. Bonus addition is the amount in the Accumulation Account*, in excess of the sum assured.
2. The balance available in the Accumulation Account is invested in various financial instruments (as per IRDA regulations) so your money works hard to earn more for your child.
3. The Automatic Cover Maintenance facility ensures the policy remains in force even if you miss premium payments. This facility is available after the first three years of the Term.
4. You can take a loan against this plan, after the policy has been in force for at least three years.
5. You have the option of paying premiums quarterly, half yearly or yearly.
   
   *Accumulation Account is your personal account in which the premiums that you pay are deposited,
   the return declared every year is added and risk and expense charges are deducted.
6. You have the benefit of a 15 day free look period.

Mr.Sanjay Gupta is a 30-year-old professional and has a 6-year-old son. To secure his child's future, Mr.Gupta decides to buy the Kotak Child Advantage Plan. He wants to buy a plan with a sum assured of 5 lakh, term of 15 years, so that when the child is 21 years old, he has at least Rs.5 lakh to invest in his education/ career etc.

Mr. Gupta buys the Kotak Child Advantage Plan along with both the value-adds offered with the basic plan.

Description	Premium
Kotak Child Advantage Plan Premium	31,857
Life Guardian Benefit Premium	1,225
Accidental Disability Guardian Benefit Premium	155
Total Annual Premium Paid	33,237

i) What would be the payout on maturity of the plan?
Assuming that the Accumulation Account grows at 6%p.a., the maturity amount would be Rs. 6,34,800 at the end of 15 years. At a growth rate of 10%, the maturity amount payable would be Rs. 8,82,100.

ii) In the unfortunate event of the death/ disability of the parent (premium payer), what would the beneficiary receive?
Mr.Gupta has taken the benefit of waiver of premium by paying a minimal additional amount of Rs.1,380 per year. In the event of Mr.Gupta’s death or accidental disability, future premiums payable on his son’s policy will be waived and the policy will continue to be in force. On maturity the beneficiary would get the sum assured of Rs.5,00,000 along with bonuses accrued during the term of the policy (as discussed in (i) above).

In the illustration, some benefits are guaranteed and some are variable. Guaranteed Returns are marked "guaranteed" in the illustration. Variable returns are shown at two different rates of assumed future returns. These assumed rates of return are not guaranteed and they are not the upper or lower limits of what you might get back .The actual return may be different depending on a number of factors including future investment performance.

"What happens in the event of death of the life insured?"
In the event of the unfortunate death of the insured during the term of the plan, the following would become payable:

• If the policy has been in force for five years or if the life insured is at least 18 years old, the beneficiary will receive either the Sum Assured or Accumulation Account whichever is higher, as on the date of death.
• If the death occurs within five years from commencement of policy and if the insured is less than 18 years old, the death benefit would be either the total of all premiums paid so far or the surrender value at that time, whichever is higher.