The Kotak Superannuation Grouplan of Kotak Life Insurance is a flexible product which addresses the requirements of the employer and the employees. This life insurance plan allows the investment of individual employee accounts in more than one portfolio on a utilized basis. The policy has certain parameters like fund membership, contribution rates, vesting guidelines, voluntary contributions and transfer rules are all designed according to each employer’s unique requirements.
'''The eligibility criteria for Kotak Superannuation Grouplan of Kotak Life Insurance are as follows:'''
* The minimum age of entry for the policy is as specified in the Trust Rules or 18 years, whichever is higher.
* The maximum age of entry for the policy is as specified in the Trust Rules or 65 years, whichever is higher.
* The minimum term for the policy is 1 year and this policy is annually renewable.
* The minimum group size of the policy has to be 10 members.
'''The benefits of Kotak Superannuation Grouplan of Kotak Life Insurance are as follows:'''
* Income made on investments by a standard superannuation trust is tax-free under section 10 (25) (iii) of the Income Tax Act, 1961.
* The amount of implication available on first as well as regular annual contribution to an accepted superannuation fund must not go beyond 27% (including the contribution to Provident Fund) of the employee’s annual salary for every year of service under section 36 (1)(iv) of the Income Tax Act, 1961.
* As per the Finance Act 2006, annual contributions made by an accepted superannuation trust up to Rs. 1, 00,000 per employee can be claimed as deductible business expenditure under section 115 WB (1C) read with section 115 WC (1)(b) of the Income Tax Act, 1961. Any contribution beyond the prescribed limit will qualify for Fringe Benefit Tax.
* Any employee contribution towards an accepted superannuation fund qualifies for tax deduction under section 80C of the Income Tax Act, 1961.
* At the time of withdrawal from the job, the employee has the option of either transferring the superannuation account to the new employer or convert one-third of the collected fund and purchase an annuity from the balance amount from either Kotak Life Insurance or any life insurer approved by IRDA.