1. MAX Education Plan

2. Value proposition
 The MAX Education plan is a unit linked savings product.
 There will be a compulsory life cover.
 The life cover is a multiple of 10 of the monthly contribution
selected.
 MAX Education has compulsory waiver of premium on death
and on disability.
 There will be no medical testing!!
 Maximum life cover per proposer will be KShs. 1 Million
 The product has a guaranteed review period of 1 year

3. ENTRY LIMITS
MINIMUM
MAXIMUM
REMARKS
18
1
55
17
ANB
TERM
10
20
Yrs
PREMIUM
7, 000
100,000
KShs/ per month
70,000
N/A
1 Million
N/A
KShs. Per Applicant
-
AGE
COVER
Proposer
Child
Proposer
Child

4. Death Cover
 Death cover will be available as a multiple of the monthly
contribution selected by the member.
 This multiple is ten times (10 times) the monthly contribution
to a maximum multiple figure of KShs. 1,000,000 per
applicant.
 The death cover is not extended to children under 18yrs of
age.
 There is a waiting period of three years during which death
due to natural causes will not be covered.
 Accidental Death cover is available from the onset of the
cover at 100% of the Sum Assured.

5. Death Cover
 The automatic Waiver of Premium on the contract premium up to a limit
of KES 20,000 p.m. will be paid on the accidental death of the premium
payer for a maximum period of 10 years.
 The benefit will also be paid if death is due to natural causes only if the
death occurred after a three year waiting period.
 Death Of a Child
 a) Below age 10
On death of the child before maturity of the policy, if the child is below
the age of ten years, the benefit will be a return of the investment
component of the premium.
b) Above age 10
If the child is above the age of ten years, the benefit will be the
accumulated fund value at that point in time.

6. Death Cover
 Accidental Death Benefit
 On death of the Applicant as a result of an Accident, the full cover amount
applicable at date of death will become payable.
 An Accident is a fatal and unforeseeable event that occurs after the
Commencement Date and which, in a violent, external and visible manner,
independent of any other cause, directly causes an injury resulting in the
Applicant’s death.
 Suicide does not classify as accidental death but as death due to causes
other than an Accident (subject to the conditions and exclusions in the
contract schedule).

7. Disability Benefit
 Disability is defined as the ‘inability of the applicant/premium payer, due
to injury, to perform the duties of his or her occupation and any
occupation which he or she could reasonably be expected to follow taking
into account his or her education, training, experience and employment
history.’
 On disability as a result of injury ,the waiver of premium benefit will pay
the contract premium for a maximum period of ten years or expiry of the
policy term whichever is earlier.
 Premium waiver is up to a maximum of KES 20,000 per month
contributions and payable for a maximum term of 10 years or until the
contractual premium paying term expires, whichever is earlier.
 A waiting period will apply as defined by Old Mutual before the benefit is
paid out.

8. Waiver of Premium
 The benefits payable on the Waiver of Premium are limited to a maximum
contribution amounts of KES 20,000 per month per applicant (regardless
of the number of policies an applicant may have taken up) and the
maximum term of 10 years or the benefit premium term, whichever is
earlier, from when the benefit started to be paid.
 Once the waiver of premium benefit ends, the policy is deemed to have
matured.
 The waiver of premium shall pay the contract premium in the same
frequency that prevailed before the waiver of premium benefit
commenced.
 If the beneficiary chooses to surrender the policy while the waiver of
premium benefit is active, the benefit paid will be equal to the fund value
less any applicable charges if the child is 10 years and over and a return of
investment premium component if the child is under 10 years.

9. Investment Benefit
 The investment part of the Max Education cover will be unit linked.
 The investment portion will be made up of 77% of the monthly
contribution.
 The client can choose to invest in two funds
 Money Market
 Balanced Fund
 The client will be entitled to a premium holiday facility and the term will
then be re-dated by the missed premium period. SDT will have to ensure
that re-billing of units does not affect the price at which units were
purchased before the premium holiday.
 If an applicant fails to pay premium when due, the investment benefit will
go paid up and the risk benefits will lapse
 There will be no non-forfeiture loan facility on this product.

10. Investment Benefit
 Lock in Period.
The lock in period for the investment benefit is five (5) years before the
applicant can access the funds.
 Part Maturities
This is allowed on the last 4 (four) years to maturity. These partial
maturities are distributed as shown below:
Years to maturity
4
3
2
1
Maturity
% of fund value
20%
20%
20%
20%
100%
NO PART SURRENDERS ARE ALLOWED

11. Investment Benefit
Paid Up Values
Months
Description
% of accumulated
unit fund value
0-6
Less than 6 months worth of
premium has been received
0%
7-12
Less than 12 months worth of
premium has been received
70%
13-48
Less than 48 months worth of
premium has been received
85%
49+
Less than 60 months worth of
premium has been received
100%

12. Investment Benefit
Withdrawals
 After the five (5) years lock in period, the applicant can terminate his
policy by withdrawing his paid up value if he stopped premium payments
within the five (5) year periods or the full fund value if he has maintained
his premium payments over the five (5) year period.
 Withdrawals within the first five (5) year are not allowed. However if the
child dies then:
Age of child
Benefit
Under 10 years
Refund of premium less the cost of life cover,
charges and any partial maturity payments
made.
10 years and over
Accumulated Unit Fund Value

13. New Business Underwriting
For the application to be considered, the applicant must do the
following:




Fill in the application form and the short health questionnaire
Submit ID and PIN copies
Pay 1st Premium in full using any of our easy payment options
No medical test will be required .
Financial Underwriting :
 Financial underwriting will apply where the premium to be paid exceeds
KES 20,000 per month. This will be done through a separate financial
questionnaire and with the help of a Financial Advisor.
Stamp Duty
 This is calculated as KES 7.50 per KES 10,000 sum assured. ( this cost will
be borne by the company)

14. Policy Services
 Alterations
 Frequency change

Premium payments can be changed between monthly, quarterly,
semi-annually and annually on the policy anniversaries.

Clients may increase or decrease premiums or change premium
frequency on a policy anniversary. Premiums will not be recalculated but
will be converted between frequencies using the specified conversion
factor.
Risk Benefit changes
 Increase in cover
 Cover is a fixed multiple of contributions and can only be increased by increasing the
contractual monthly contributions up to a maximum cover of KES 1 Million per applicant.
 The increased portion of the sum assured will also be subject to the waiting periods for
death due to natural causes. This may be done on the policy anniversary.

15. Policy Services : Alterations
 Decrease in cover
 Cover can only be decreased if contribution amounts are decreased
subject to the minimum amount of KES 70,000 (A multiple of ten times
(x10) the minimum premium). This may be done on the policy
anniversary.
 Change in premiums
MAX clients may increase or decrease premiums on the policy
anniversary. The increased or decreased premium will form the new
contractual premium for the remainder of the policy year. Increased
portion of risk cover is subject to the 3 year waiting period. The applicant
will however continue to enjoy their current life cover if its waiting period
is exhausted.
 DOB change
 The change of the date of birth of the proposer is allowed. The cover will
be recalculated as new contracts.

16. Policy Services
 Termination of Premium
 Premiums shall cease to be payable as from the first day of the month in
which the contract term comes to an end. Failure to pay premiums when
due will result in the investment benefit becoming paid up and the risk
benefit lapsing .
 Premium Holiday
 There will be a maximum allowance of 6 months within each five year
period in which case the client may apply for the premium holiday facility
and any outstanding premiums do not have to be made up. In this case
the policy will be re-dated and the term extended by the missed period.
Re-dating can only occur a maximum of twice within the five year period
provided the six month holiday period has not been exhausted.
 Period of Grace: This is 30 days from the premium due date

17. Reinstatement
 If premiums are not paid within the due date the investment
benefit will go paid up and the risk benefits will cease.
 Revival may be done within six months of lapse by paying all
the missed premiums.
 The applicant can also opt for a premium holiday ( see terms
and conditions)
 If the policy holder fails to reinstate within the six month
period the policy will remain in a paid up status to maturity
and a new policy will have to be purchased subject to the
terms and conditions applying at that time.

18. Policy Services
 Cooling Off Period
 The premium payer has the right to withdraw from the contract within 30 days if
he/she is not entirely satisfied with the product. The 30 days period will
commence from the date that the policyholder receives the policy document.
 Wording to inform the policyholder of this right and what procedures should be
followed if he/she decides to exercise his/her right is contained in the Policy
Contract.
 In the event that a client has paid a premium, the full premium will be refunded.
 Risk benefits expiry
When the risk benefits reach the end of their term cover will automatically end. In
the case of the Waiver of Premium in payment when 10 years elapse before the
end of the policy term the benefit will automatically mature. The Life cover
expires on death or on maturity of the fund. ( whichever is earlier)

19. Premium Payment Methods
M-Pesa /Zap
Check-off
Posta Pay
Cheque
Debit/Standing order
 Please note that the 1st premium must be paid for the
application to be considered.
 No cash payments will be accepted