This plan provides for payment of the maturity benefit on the policy whether the life assured i.e. the parent, be alive or not at that time. Premiums are based on the age of the premium payer (or the parent) but not the child.
The policyholder (parent of the child) chooses the amount of basic maturity benefit that they require which is paid at the end
of the policy plus any bonuses that have accrued over the premium paying term of the policy.
With this policy, your child’s financial needs are catered for in a single policy at all times. When your child’s policy reaches maturity e.g. after 5, 10, 15 or 20 years he or she qualifies for a wide range of benefits such as money to pay for school or University fees or a jump start in your child’s life/future in form of starting capital.
If the policyholder (the parent of the child) dies before the policy matures, the policy continues to be in force and the full maturity benefit will be payable to the child at maturity date. If the child dies during the term of the policy, another child may be nominated as a beneficiary, or premiums will be refundable.
The policy may also be supplemented optionally with the child’s income benefit to provide income to the child in the event of death of Life assured (the parent) prematurely. This policy may be held jointly.