Life Assurance

Individual Life

This policy that is paid by one person and covers a single person. This insurance is intended to meet the financial needs of a surviving spouse or family members in the event of the insured's death.

Group Life

The Group Life Assurance scheme provides for death-in-service benefit. It is an annual renewable contract which ensures that should a staff of an insured organization die in service, a lump sum death-in-service benefit equal to a given multiple of the deceased staff salary/sum assured is available for his or her dependants. Thus, this policy provides death benefit only. The advantage of this Scheme is that an organization is relieved of the liability of paying compensation to the dependants of a deceased employee, since such compensation are payable from the benefit accrued under the scheme.

With regard to the death-in-service benefit, the provisions of section 9 sub section (3) of the Act compulsorily requires that “Employers shall maintain Life Insurance Policy in favor of the employees for a minimum of three (3) times the annual total emolument of the employee”, (i.e. Annual Basic Salary, Housing Allowance and Transport Allowance).