Askari Savings and Life Protection Plan

Image Savings & Life Protection PlanAskari Bank in collaboration with EFU Life brings a high value Savings and Life Protection Plan that enables you to reach your financial goals in life with added benefit of comprehensive life insurance coverage. Whether it is for your children’s education or marriage, buying a house, ensuring regular income after retirement, a trip overseas, or any other vital need, the large accumulated funds would help you attain your goals. The plan can also be customized to meet specific needs of the individuals.

 

 

 

 

 

Unit Accumulation and Investment Fund

Every contribution paid towards the plan is invested in an internal investment fund of EFU Life selected by the customer. The contributions are utilized to buy units of the Fund at the prevailing offer price. The objective of the funds is to maximize capital growth by investing in a balanced portfolio spread across a wide range of investment experts who adjust the mix of the underlying investments in the light of economic conditions and investment opportunities.

 

Fund Selection Option

Under this option, the new policyholders of Askari Bank have an option to select a unit fund based on their risk appetite and investment objective at the inception of their policies. The policyholders will have an option (conditions apply) to select from the following three unit funds:

  • EFU Managed Growth Fund
  • EFU Guaranteed Growth Fund
  • EFU Aitemad Growth Fund

 

Fund Acceleration Premiums

The is a regular contribution plan but also gives the flexibility to top-up the savings for depositing surplus funds as lump sum contributions in the plan. These lump sum contributions can be made at any time during the policy term.

 

Eligibility

The minimum and maximum ages at entry are 18 and 60 years next birthday respectively.

 

Term

The plan is whole of life and provides the benefits of life assurance protection and investment throughout life. This “open-ended” nature of the plan ensures that one has the flexibility of withdrawing funds at any point in time based on one’s needs and circumstances.

 

Premium Contribution

The minimum annual premium under the plan is Rs. 18,000/-.

For Fund Acceleration Premium payments, the minimum contribution is Rs. 18,000/- and the maximum contribution in a year is 5 times the current year’s annual regular contribution.

Built-In Accidental Death and Disability Benefit

The plan provides immediate fund in case the assured parent dies due to accidental cause or suffers a disability. The amount of payout is up to 10 times the basic annual premium with a maximum payout limited to Rs. 2.5 Million.

 

Built-In Waiver of Premium Benefit

In case an individual is unable to follow an occupation due to sickness or accident (permanent total disability), the contribution of the plan would be made by EFU Life.

 

Investment with a “Safety Net”

The moment one starts saving with the Saving Plan, he will enjoy a guaranteed level of life assurance protection. This cover means that in case of death the dependants will receive:

  • The greater of the sum assured or the cash value of the plan at the date of death, AND
  • Any cash value of the FAP payments

 

Access to Savings at all times

The plan provides complete access to the accumulated fun value at all times. After the contributions have been paid for two full years, the Fund can be withdrawn for its full or partial value.

 

Additional Benefits

To supplement the benefits of the plan, the following additional benefit riders may be added:

  • Additional Term Assurance
  • Family Income Benefit
  • Lifecare Benefits

Unit Allocation

The proportion of Basic Plan regular contribution allocated to investment is as follows:

Policy Year Allocation %
1 35%
2 80%
3 90%
4 and 10 100%
11 onwards 100% plus Loyalty Bonus allocation

 

Loyalty Bonus Allocation

A Loyalty Bonus unit allocation applies every 5 years, starting from the 11th policy year. The bonus allocation is a percentage of the average Basic Plan contribution paid up to the policy year immediately prior to the year in which Loyalty onus is to be allocated.

The extra unit allocation, in addition to the Basic Plan contribution is as follows:

Policy Year Extra Unit Allocation
11 30%
16 45%
21 60%
26 75%
31 90%
And so on in later years

The following charges apply on the plan:

  • Investment Management Charge: 125% of the value of the fund value per month
  • Bid / Offer Spread: 5% of the net regular contribution
  • Administration Charge: 50 per month

 

Sum Assured

This is the guaranteed amount payable on death. The sum assured may be selected from a range depending on the age at entry. The sum assured is determined as the Basic Plan annual premium multiplied by the “Protection Multiple” which can be selected from the following table:

Age Protection Multiple Range
18 – 35 5 to 75
36 – 40 5 to 50
41 – 49 5 to 35
50 – 60 5 to (70 – age)
  • This product is underwritten by EFU Life Assurance Limited It is not guaranteed or issued by Askari Bank Limited or its affiliates and is not an Askari Bank Limited product.
  • EFU Life Assurance Limited is registered and supervised by Securities and Exchange Commission of Pakistan.
  • A personalized illustration of benefits will be provided to you by our sales representative. Please refer to the notes in the illustration for detailed understanding of the various terms and conditions.
  • Service charges and taxes will be applicable as per the Bank’s “Schedule of Charges” and taxation laws as stipulated by the relevant authorities.
  • A description of how the contract works is given in the policy provisions and conditions. This product brochure only gives a general outline of the product features and benefits.