Island Educational Plan
Our Educational Plan has been designed to offer you with a protection so that you have peace of mind when planning your children’s academic requirements. The main purpose of this product is to cater for a basic sum assured should you become totally and permanently disabled or lose your life. Our Educational Plan is available in two versions:
a) Without-Profits – (Educational Plan) means that you will receive the basic sum assured payable at maturity
b) With-Profits – (Educational Plus Plan) which means that your plan will attract bonuses (which is calculated on the basic sum assured) and payable on the date of death or maturity
It can be set up by a single person or a couple. The minimum age at entry is 18 years and maximum is 65 years provided age at maturity does not exceed 75 years.
Policy Term And Premium
The term of the plan and the basic sum assured are determined at the outset according to the means of the person for financial planning purposes. The plan is subject to a minimum premium per month which is illustrated below.
Term
5 Years
10 Years
15 Years
20 Years
Minimum Monthly Premium
Rs 2,000/-
Rs 1,000/-
Rs 1,000/-
Rs 1,000/-
Based on the modality of payment of the premiums, a discount is available as per table below:
Premiums are payable during the full term of the selected period and it is based on the age(s), selected term and the basic sum assured at inception and may be reviewed
The Benefits
In the event of your untimely death (or your spouse if a joint policy), we have built into the Educational plan a death benefit which is equivalent to the basic sum assured.
On survival up to the maturity date, the Basic Sum Assured becomes payable
In our with-profits version, bonuses (which are calculated on the basic sum assured) are paid in addition to the death benefit.
In the event of the child’s death:
a) A full Sum Assured will be paid if the child is older than 12 years;
b) A refund of premium will be paid if the child is 12 years old or younger
No bonus will be paid on the death of the child in our with-profits version.
Other Supplementary Benefits
Total & Permanent Disability (TPD)
The Total & Permanent Disability benefit will pay an amount equivalent to the death benefit in the event if you (or your spouse, in case of a joint policy) should become totally & permanently disabled as defined in the policy conditions and the policy ends.
Waiver of Premium (WoP)
All future premiums will be waived up to the maturity date. This will pay out the full sum assured on death or disability of the parent as well as provide the maturity benefit at maturity date.
Monthly Income Benefit (MIB)
The Monthly Income benefit will provide the child with an income on death or disability of the parent up to the maturity date. This benefit is payable on a monthly basis and will be equal to a specified percentage of the sum assured (0.25%, 0.50%, 0.75% and 1%).
Example of Benefits
Scenario:
1) Plan Name
– Educational Plus Plan (i.e. With Profits)
2) Basic Sum Assured
– Rs 1,000,000/-
3) Term
– 16 years,
4) Optional Benefit
– (1) – Total and Permanent Disability (TPD),
(2) – Waiver of Premium on Death and TPD, and
(3) – Monthly Income Benefit of 0.25% of Basic Sum Assured
Benefits
Either, On Survival up to Maturity Date
– Rs 1,000,000 plus Bonus accrued up to maturity Date
Or, In the event of the untimely death or TPD of the parent before the maturity date
a. The basic sum assured of Rs 1,000,000 becomes payable
b. All future premiums will be waived
c. A Monthly Income benefit of Rs 2,500 will be paid to the child till maturity date, and
d. On survival of the child up to the Maturity date, the Basic Sum Assured together with any accrued bonus becomes payable to the child
In the event of the untimely death of the child occurring:
i. before the maturity date and BEFORE the child’s 12th Birthday – All premiums paid will be refunded to the parent and the policy ends
ii. before the maturity date but AFTER the child’s 12th Birthday – The full Basic Sum Assured, i.e. Rs 1,000,000 becomes payable to the parent and the policy ends.
Our Educational plan offers you peace of mind and financial planning all in one policy.