Flexible Endowment Plan
About Flexible Endowment Plan (FEP)
This is an endowment plan that combines protection and investment. It provides guaranteed payouts at regular intervals in three installments.
Why FEP?
- Provides for full payment of the face amount in the event of death of the policyholder during the period of insurance.
- Period of insurance ranges from 6, 9, 12, and 15 years.
- Provides for annual reversionary bonus payable in addition to the face amount or earlier death at the rate of 4%
- Provides for cash values on the basic policy and the declared reversionary bonus.
- Provides for 70% of cash value as loanable value after three years of running the policy.
- Provides for policy surrender after two years of payment and maintenance of policy.
- Provides for guaranteed pay-outs at regular intervals in three installments. 1st Payment 25% of face amount (1/3 of the term of the policy) 2nd Payment 25% of face amount (2/3 of the term of the policy) 3rd Payment 100% of the face amount (At maturity date)
- Additional Riders: Waiver of premium – This benefit comes to force at a time when a policyholder is unable to perform his normal duties as a result of either accident or critical illness for a minimum of six months.
- Premiums that fall due within such period are waived and the policyholder will not be charged for it. Permanent Total Disability
- Mode = This covers the loss of body parts that make it impossible for the customer to continue to work as he used to. At this point, the policy is treated as being closed and the benefit is paid. Examples of such disability are loss of both eyes, both hands and both legs (if he is a footballer). Accidental Death, Dismemberment and Weekly Indemnity Rider
- This covers loss of parts of the body following an accident as stated in the schedule of Indemnity attached to the policy document.
- The principal sum under this benefit rider is N2,000,000.00.