MADISON SCHOOL FEES POLICY (WITH PROFITS)
The Madison School Fees Policy provides principal quarterly cash benefits to meet educational expenses of the child. The Proposer (parent or guardian) should be from age 18 to a maximum of 60 years (with satisfactory medical evidence of insurability for over age 55 years at entry).
- To ensure continued education of a child even if the parent or guardian dies before the child completes his or her education.
- The child will be the beneficiary while the parent or guardian will be the proposer of the policy or life assured.
- To provide regular quarterly cash benefits of 25% of the original sum assured for a period of four (4) years after the end of the premium paying period.
- To provide a simple reversionary bonus calculated on Sum Assured for the period premiums are paid (subject to positive performance of the portfolio) payable along with the Sum Assured on the policy.
- To provide a simple terminal bonus calculated on Sum Assured for the period premiums are paid (subject to positive performance of the portfolio) but payable only at the end of policy term on survival of the child.
- To provide compulsory Lump Sum Death Benefit Rider Sum Assured (without profits) in the event of death of the parent or guardian before the benefit payment period commences.
- To provide life assurance cover on the life of the proposer (parent or guardian) with or without medical examinations depending on the level of sum assured required.
- To provide waiver of all future premiums in the event of death of the proposer (parent of guardian) before the end of the premium paying term.
- Minimum level of cover is K 10, 000 and Maximum being K 100, 000 per annum.
Maturity of Policy:
- The policy matures at the end of the term of the policy provided the child is alive.
Regular Principal Cash Benefits to meet educational expenses:
- The policy provides principal quarterly cash benefits to meet educational expenses of the child.
- The first benefit payment will be due on the anniversary of the policy after the premium paying period.
- The initial level of the principal quarterly cash benefit chosen by the proposer (parent or guardian) at the time of proposal should not be less than K2, 500 per quarter (or multiples thereof if more).
- The quarterly principal cash benefit will be paid for four (4) years to meet education expenses of the child in school, college. However, the benefits will cease at the end of the benefit payment period or on earlier death.
- Proposer (parent or guardian): from age 20 to a maximum of 65.
The child must be aged between 0 and 18 years next birthday at policy entry.
Mode of Premium Payment:
- Monthly from salary through stop order operation deductions or
- Cash quarterly, cash half-yearly or cash yearly or
- Monthly through Direct Debit System from Bank Account (DDACC System).
Term of Policy
- Term of the policy will be chosen by the proposer (parent or guardian) and should not be less than fourteen (14) years and a maximum of twenty nine (29) years.
Premium paying period
- Premium paying period will be chosen by the proposer (parent or guardian) which should range between ten (10) years and twenty five (25) years.