Sanlam for child’s insured education plan

Sanlam Life Insurance Chief Executive Officer Julius Magabe said during the launch of the scheme, dubbed Sanlam Education Care Insurance for Children, held in Dar es Salaam yesterday that it will play a pivotal role to ensure children obtain best education for their future destiny.

The company recognizes the importance of education in helping children have better life, in the belief that no country can achieve both social and economic development without investing in education or human capital.

The idea of an education insurance scheme came as a result of a research Sanlam conducted across the country to identify what were the most inspiring people’s need for their children.

“The company has come up with new Sanlam Education Care Insurance to help parents and guardians invest in it to save funds for future education costs of their children,” the CEO said, adding that the insurance scheme is the greatest gift for children to ensure the make the most of life’s opportunities.

Under the scheme, Magabe said parents and guardians who will be ready to use the insurance will have to pay a monthly minimum payment of Sh7, 500. He explained that there is no maximum amount.

However, the plan must be taken out for a minimum of seven years and a maximum of 18 years. A regular monthly payment in advance to the plan is also accepted.

The payments must be made within 30 days of the due date, he elaborated, saying contrary to that, your plan will lapse and you may lose your benefits if missed payments are not made.

“You choose the life cover amount you want, from 3.5m/- to 50m/-, and this is the amount that will be paid out to cover your child’s education costs once you will die or get disability,” he said, adding that the monthly savings plan to save for future education costs have an added insurance benefit to give you a peace of mind.

In order to make sure that your benefits keep up with inflation, under the plan, a parent or guardian can choose the optional inflation protector benefit and increase monthly payments by 5 per cent, 10 per cent or 15 per cent each year.

The level of cover chosen will increase at 75 per cent of your payment increase rate. For instance, an increase of payment by 5 per cent will increase a cover amount by 3.75 per cent.

Magabe appealed to parents and guardians to invest in Sanlam Education Care insurance because it will be the best way for them to give their children ensured best education for their future.

“When you interact with people for what you provide, they give you what they need and then it will be easy for you to come up with new services that will be suitable for them,” he said.

Magabe acknowledged further that should it happen that you die before age 65, Sanlam will pay all future premiums for you until the earliest of the end of the plan term or the date on which you would have reached age 65 and this will ensure that your child’s education benefit remains intact.

Also if you become permanently disabled before age 60, Sanlam will take care of all future premiums for you until the earliest of the end of the plan term or the date on which you would have reached age 60 and to ensures your child’s education benefit remains intact.

Otherwise, if the child covered by the plan dies, you can choose to cover another child of yours with the same plan or you can terminate the plan and receive the full benefit on the termination date.