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| Life and Pension |
 Life & Pensions Division of Clarkson Notcutt offers the following Services: Life Assurance Products 1. Group Life Assurance A Group Life policy is arranged for employees of a company, to provide a lump sum amount for a deceased employee's beneficiaries. Cover is normally based on a multiple of an employee's annual salary A Funeral Expense Rider can be incorporated in the Group Life policy to provide for the deceased member's burial costs. Cover can also be arranged for individual members, for example the self-employed people who may not constitute a group. 2. Mortgage Protection Assurance This cover pays the outstanding Mortgage loan to the financiers in the event of the death of a borrower. This ensures that the beneficiaries of a deceased borrower do not lose the asset financed if the borrower dies before redeeming the loan borrowed. 3. Credit Life Assurance As with the Mortgage protection, this policy pays out the outstanding loan on the death of the borrower. The credit Life policy is however restricted to low amounts of cash, usually up to Kshs. 1,000,000/= 4. Term Assurances Term Assurances are ideal for young families, where a lump sum, usually know as the Sum Assured, is paid out on the death of the insured person. This eases the burden on the surviving family in the event of the death of the breadwinner. 5. Endowment Assurance This product provides a combination of life cover with an investment element. It pays out the sum assured on the death of the life assured or, on survival to the end of the policy term, it pays out the maturity value. This is in contrast with the Term Assurance, which does not pay anything on the survival of the life assured to the end of the policy term. Pensions Products 1. Provident Fund schemes These are arranged by an employer to provide for their employees a lumpsum amount on their retirement. The employer may decide to contribute and exempt the employees from contributing, although in most schemes both the employer and employees contribute towards the fund. On retirement a lump sum amount is paid to the retiring member. 2. Pension Schemes These are schemes that provide a retiring member with a regular pension, unlike the provident fund schemes which pay out a lump sum payment. A retiring member is allowed under the law to withdraw up to 1/3rd of the accumulated amount as a lump sum, and the balance utilized to buy a pension. 3. Annuities An individual may wish to utilize a lumpsum amount to purchase an annuity. This is a regular payment made to a retired member. An annuity may be funded from the proceeds of a provident scheme. Thhe annuity ensures that the recipient continues receiving the regular payment for a longer duration. 4. Individual Pensions Individual pensions arrangement are available for self employed people who may not be members of an occupational scheme. |
