The Keyman policy provides cover against financial loss a company may suffer on the death of a key employee who is critical to the continued existence of the company.
1. WHAT IS MUTUAL KEYMAN LIFE ASSURANCE POLICY?
Every organization have them – they are “key” to the continued survival of that organization; losing them could result in a financial setback. Hence the need to protect the financial implication of such unforeseen circumstances. Mutual Keyman Life Assurance policy is designed to protect the profitability of a business venture or cost of recruitment/replacement in the event of demise of an employee whose continued existence is vital to the success of the business
2. WHY MUST I BUY MUTUAL KEYMAN LIFE ASSURANCE POLICY?
Mutual Keyman Life Assurance policy is a channel for transferring the associated financial risk of losing a key person in your organization to Mutual Benefits. The policy compensates the business for associated financial losses and facilitate business continuity. It is a business continuity plan that provides funds for meeting the cost of replacing/training a successor
3. WHO IS A KEY PERSON?
A key person could be anyone directly associated with the business, whose demise could cause financial strain to the organization.
4. HOW DO I DETERMINE THE SUM ASSURED?
The sum assured is determined by the estimated financial loss the organization may suffer in the event of demise of a key person(s). Critical factors for consideration include key person’s contribution to the company’s profitability and cost of replacing/recruiting and training or inducement to an equally skillful and experience employee to leave his existing employer.
5. HOW MUCH WILL BE THE PREMIUM PAYABLE?
The applicable premium payable is determined by factors including the age of the key person, key person(s) earnings and applicable sum assured.
6. ARE THERE OTHER REQUIREMENTS TAKEN INTO CONSIDERATION?
Yes; other underwriting requirements include the total earnings of all employees, total company’s turnover and annual audited account
7. WHO IS THE BENEFICIARY OF THE POLICY?
The company is the beneficiary of the policy, which is also written in the company’s name
8. CAN I CHOOSE PAYMENT FREQUENCIES OTHER THAN ANNUAL?
Yes; you could make a single premium payment for a desired period of cover
9. IS THERE ANY AGE RESTRICTION?
The minimum entry age is 18 years while the maximum terminal age is 65 years
10. CAN THE POLICY BE EXTENDED TO COVER RISKS, OTHER THAN DEMISE?
Yes; the policy can be extended to cover risks associated with permanent disability and critical illness, but that will attract additional premium
11. WILL THE KEY PERSON BE REQUIRED TO UNDERGO MEDICAL EXAMINATION?
Not necessarily. Medical examination is subject to the amount of sum assured
12. DOES THE POLICY QUALIFY FOR TAX DEDUCTIBLE?
Like other insurance premiums paid by organisations in respect of their employees, premium in respect of a key person(s) is expensed before the application of company tax
13. HOW CAN MY BENEFICIARIES MAKE CLAIM?
In the event of demise, your beneficiaries or legal representative should notify us through any of the following channels:
- Call our customer care telephone numbers: +234 905 464 4444
- Send us a mail at email@example.com
- Submit a notification letter to any of our branches nationwide
- Obtain, complete and return our Claims Form
The originals of the following substantiating document will also be required for sighting:
- Medical certificate of cause of death
- Death or burial certificate
- Police report, if death is by accident
14. WHAT ARE THE PREMIUM PAYMENT OPTIONS AVAILABLE?
The options of paying your premium can either be annually, half-yearly, quarterly or monthly.
15. WHAT ARE THE CHANNELS AVAILABLE FOR PREMIUM PAYMENT?
The following channels are available for payment of your premium:
|Cheque||Issue your cheque in favour of Mutual Benefits Life Assurance Limited|
|Direct Debit||Obtain and complete a direct debit mandate form Mutual Benefits|
|Quickteller||Visit www.quickteller.com and type Mutual Benefits as beneficiary|
|Paydirect||Make payment at any bank nationwide. Your Policy Number is required|
|Webpay||Visit www.mbaplc.com. Your Policy Number is required|
|NIBSS e.billspay||Log on to your system and make necessary transfer through your banking application|
|Standing Order||Issue an instruction to your bank to debit your account and credit Mutual Benefits Life Assurance Limited's designated account|