What is the Soma Sure Education Plan?
Soma Sure Education Plan is an education policy that enables a parent or guardian to save towards their child’s education through investing in a fund.
How it works
With Soma Sure Education Plan, the premiums a customer pays will be invested into an investment fund that will grow over the duration of their policy. They will have the flexibility to pay additional premiums of any amount and at any time which will be added to their fund. In case of an emergency during the term of the policy, customers will be able to withdraw their funds. In the event of redundancy, a customer is cushioned for 6 months as they’re getting back on their feet.
Who is eligible?
·A Kenyan citizen with a valid national identification card or passport
·Minimum age of entry of 18 years
Maximum age of entry of 62 years
·The final applicable age for Life Insurance cover under this Policy shall be 70 years
·Any other eligibility criteria shall be determined based on underwriting guidelines from time to time
Why should a customer sign up for a Soma Sure Education Plan?
·Flexibility – Pay additional premium amounts over and above their regular premiums at any time
·Affordability – Pay a regular premium of as little as Kes 1,000
·Peace of mind – In case of an emergency, a customer can withdraw their funds penalty free
·Security – In the event of redundancy, premiums are waived for 6 months
·Higher returns – Customers get to enjoy higher returns
·Premium holiday – Customers will not need to pay premiums in the last 3 years of their policy
·Protection – Customers enjoy an affordable insurance cover
Benefits
- Premium holiday: Customers will not be required to pay premiums in the last 3 years of their policy. Any payments they make during this period will be added to their Investment Fund.
- Maturity benefit: On the maturity date of their policy, they will receive 100% of the balance of their fund value.
- Automatic partial payouts: Two (2) years to the Maturity Date of their policy, they will receive a proportion of the investment fund as specified below:
- Two (2) years to Maturity Date: 35% of the Investment Fund.
- One (1) year to the Maturity Date: 50% of the Investment Fund.
- Waiver of premium on death: In the event of accidental death (within the waiting period) or death by any cause (after waiting period), the premiums shall be waived. If death by non-accidental causes occurs during the waiting period, a refund of all premiums paid (without interest) for this benefit will be paid to the named beneficiary instead.
- Partial withdrawal benefit: In case of an emergency, they can access their funds at any point during the lifetime of the policy.
Optional Benefits
Customers will be able to take up the following benefits at an additional cost.
- Waiver of premium on redundancy: In the unfortunate event of retrenchment, the premiums for their policy will be waived for up to 6 months.
2. Waiver of premium on Permanent and Total Disability (PTD) (Accident and Illness)
In the event of permanent and total disability within the waiting period due to accidental causes or due to non-accidental causes after the waiting period, the outstanding premiums for this policy will be waived.If permanent and total disability occurs due to non-accidental causes during the waiting period, a refund of all premiums paid (minus interest) for this benefit will be given to the customer
3. Disability benefit: In the event of permanent and total disability, a lumpsum payout would be made.
4. Death benefit
This benefis applies if death occurs before one’s 70th birthday. If death occurs during the waiting period, the paid premiums will be refunded to the beneficiary.
5. Funeral expense benefits: This provides a lump sum benefit on death of the policy owner to cover the cost of funeral expenses.
How to sign up
Customers will sign up for the product through the FA Portal or the Agent App.
How to pay premiums
- MyBritam app
- MyBritam portal
- Direct Debit
- Bankers or Personal Cheques written to “Britam”
- Check-off
SOMA SURE FAQs
What is an Investment Linked investment plan?
This is a plan that combines both investment returns from mutually pooled funds and risk coverage against certain events. Soma Sure Education Plan is an investment linked education plan with a minimum investment of KES 1,000.
What is the minimum and maximum term for Soma Sure Education Plan and does the plan qualify for insurance premium relief?
The minimum term is 8 years and the maximum term is 22 years. Policies with a term of 10 years and above qualify for insurance premium relief.
What is the interest rate that will be given to Soma Sure Education Plan clients?
The returns will be determined by the performance of the assets in which the premiums are invested. The minimum guaranteed interest rate is 5%. The client can earn more than this depending on the fund performance.
What are the inbuilt risk covers under Soma Sure Education Plan?
The plan offers waiver of premium on death which is inbuilt in the plan.
Does the client have the option to purchase additional risk covers as riders?
Yes, the client can opt into additional risk covers that are purchased as riders. These are; waiver of premium on redundancy, waiver of premium on Permanent and Total Disability (PTD), disability, death and funeral expense cover.
How are the benefits under Soma Sure Education Plan paid?
The Plan pays 35% of the fund value 2 years to maturity, a further 50% of the fund value is paid 1 year prior to maturity and the remaining fund value is paid at maturity.
How does a client onboard and make payments for Soma Sure Education Plan?
The Plan is available for onboarding on Britam Agent APP – where the client can pay via Mpesa Paybill 541400 Account Name: New
Can the client make a single premium payment and then make ad hoc payments as in the case of Imarika?
This is a regular premium policy. However, the client may make ad hoc
payments while making their regular premiums. Any ad hoc premiums will be fully invested in the fund to grow the fund value.
Will the full premiums be invested for Soma Sure Education Plan?
The savings premium will be fully invested and the insurance premium will be used for insurance purpose depending on the risk covers opted for by the client. The client will access a monthly statement indicating the amount of their investment and interest at any point in time.
Does Soma Sure Education Plan have a premium stop date or premium holiday?
Yes, the plan has a premium holiday 3 yrs. to maturity. The benefits under the policy will still be active as well as the fund value. The customer can top up to the fund after the stop date in order to have a higher fund value.
Does Soma Sure Education Plan lapse?
The risk benefits (Waivers of premium on death, redundancy and Permanent Total Disability, Death benefit and Last Expense) will lapse. The fund value will however continue growing through the interest that is earned.
Does Soma Sure Education plan offer policy loans to the clients?
No loans will be offered since the client can make partial withdrawals at any time with no surrender charges.
What is the management charge and is it monthly or annually and what is the commission rate?
Annual management charge of 2.5% (Equivalent to 0.21% monthly). The commission rates on regular and adhoc premiums is 3% and 0.2% trailer commission of the fund value.
Does the policy offer both lien and non-lien options?
Medical underwriting will be required if the risk cover benefits exceed the aggregate total limit of Kshs 10M.
Is there a waiting period for the waiver benefit?
Waiting period for all insurance benefits is 12 months. There is no waiting period for accidental death or if the client goes for medicals.
To Sign Up
Contact:
Gallin Wekesa: gallywexa@gmail.com, gwwekesa@britam.com 0712-870-447