STATE LIFE BONUSES 2009

KARACHI, April, 19: The State Life Insurance Corporation of Pakistan (Slic) has declared record bonus of Rs14.574 billion for the year 2009, which is 26.4 per cent higher compared to Rs11.529 billion over last year.

The Slic board meeting presided over by the chairman Shahid Aziz Siddiqui on Monday approved the bonus, which included Rs197 million for Gulf Fund and the balance for Pakistan Life Fund, official sources told Dawn.

The bonus declared for 2009 is 53.36 higher than Rs9.503 billion bonus given in the year 2007.

Sources said that the corporation plans to speed up its working by introducing IT in its all departments to set their activities on real time data for which steering committee headed by Slic chairman and two members from the board along with heads of concerned department has been formed.

The steering committee has been given the task to ensure that the IT project is completed by its due date set by December 2011. The corporation is also creating new zones inside the country and also in the Gulf region.

The sources said that Slic is currently examining to open new zones in Sheikupura, Kasur, Muzaffarabad and Nawabshah. In the Gulf region efforts are afoot for opening new offices in UAE, Al-Ain, Sharjah, Riyadh and Jeddah.

The Slic has to put 97.5 per cent of its accrual surplus in Life Fund and give it to the policyholders against 90 per cent by private sector companies.

The corporation also gives about Rs500 million towards dividend to the government annually, sources said.

This means that after paying 97.5 per cent towards Life Fund the corporation has to meet all its other obligations, including administrative expenses-- Rs450 million towards stamp duty and Rs500 million worth of dividend to the government -- out of the remaining balance of only 2.5 per cent, they added.

Despite all these constrains the Slic Life Fund has made tremendous growth over the years from Rs167 billion in 2002 to Rs202 billion in 2009, sources maintained.

TYPE OF LIFE INSURANCE POLICIES

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TYPE OF LIFE INSURANCE POLICIES

There are four types of life insurance policies in State Life Insurance Corporation of Pakistan, and many life insurance saving plans in life insurance policies.
1 WHOLE LIFE INSURANCE POLICIES
2 ENDOWMENT LIFE INSURANCE POLICIES
3 PART PAYMENT OR THREE PAYMENT LIFE INSURANCE POLICIES
4 TERM LIFE INSURANCE POLICIES PLUS MORTGAGE AND OTHER RIDERS OR SUPLIMENTRY CONTRECTS

WHOLE LIFE INSURANCE POLICIES
There are two types of plans in whole life insurance policies
1 Main whole life insurance plan, table 01 provide for the age for 10 to 65 years persons but this plan is most suitable for the age of 56 to 65 years persons. Because this plan matured at age of 85 years for example if a policy holder’s age is 10 years so provide him duration (terms) 75 years, if a policy holder’s age is 65 years so provide him duration (terms) 20 years,
2 Whole life limited insurance plan table 02 provide for the age of 20 to 55 years persons the age of maturity this plan also 85 years but policy holder chouse premium paying term duration for 10, 15, 20, 25 and 30 years or till age of 70 years.

ENDOWMENT LIFE INSURANCE POLICIES
There are many plans in endowment life insurance policies, the name of main plan of endowment policy we call Mother of plan Endowment plan, table 03 provide for the age for 10 to 65 years persons and most suitable for the age of 10 to 55 and also 56 to 65.
Another plans in Endowment policies name and table number is following and its details provide in next posts step by stapes
Progressive plan 04, Joint Life 06, Child Protection 07, Single Premium 09, Optional Maturity 17, Jeevan Sathi 19, Shadabad 36, Child Education and Marriage Plan 75 and 76, Muhafiz Plus 78

state life new business record 2008

From News papers,state life new business record premiums 2008
KARACHI: State Life Insurance Corporation of Pakistan has successfully secured Rs 5.00 billion as first year premium (new business) by showing an increase of 34.42 % percent thus providing financial protection to 4 four million new policyholders and their families nationwide in 2008.
This was announced by the State Life's Corporate Communication Department According to a press release issued on Monday

Chairman State Life Shahid Aziz Siddiqi has paid tribute and congratulated the marketing force and employees of State Life on securing the historic new business in 2008. State Life’s new business strategy has paid rich dividends by securing renewal premium that stood at Rs 12.65 billion in the year 2008 by showing an increase of 25% percent.
The Second and Third Year Persistency has stood at 84.39 %per cent and 94.09 % per cent, which is higher than international standard. State Life has paid Rs 6.16 billion on account of claims in 2008. Out of the total claims, it paid Rs 1.15 billion as "Death Claims" and Rs 5.01 billion as "maturity claims".

On the Group Life side State Lift has successfully secured Rs 3.51 billion as premium income by marketing 189 new groups till the fourth quarter of 2008. Region wise State Life's Central Region has topped by securing Rs 1.74 billion followed by North Region Rs 1.18 billion, Multan Region Rs 1.10 billion and South Region Rs 0.93 billion while showing an increase of 39.45 %percent, 24.66 %percent, 46.90 %percent and 25.38 %percent respectively in 2008.

State Life has shown robust corporate portfolio performance in 2008, State Life's life fund has stood at Rs 174 billion, which resulted in the better yearly allocation of bonuses towards the policies of millions of valued policyholders while the investment income has stood at Rs 18.61 billion in 2008. In 2009 State Life aims to provide a better savings and financial protection by marketing its various life insurance plans and policies to all the families in the country.

IMPORTANCE OF SALEPERSONS

IMPORTANCE OF SELLERS In our country most of the people like to do office job but only 20% office jobs in market and it is full of people, so what 80% people are jobless? 10% of people invested their money in factories, mills, banks or investment companies, petrol pumps, buildings malls hotels and motels etc. and their investors paid the salary to the office job people. Rest of the 70%, 30% people do labour, and investors also give them salaries. Now 40% people do different kind of job e.g. shopkeepers, agents, brokers etc etc. all goods prepared in factories are sold by these sellers. If sellers stop their work, 60% people work stop automatically. 100% - 20% office jobs 80% remain 80% - 10% investors 70% remain 70% - 30% labours 40% remain 40% - 40% Sellers Many products are invisible but it is ready to sale, like insurance polices, mutual funds, units, saving certificates etc. To sale these products is an art, which many sellers does not have, there for the people who has earned the degrees of Masters or MBA can handle these products very well as a Sales Manager. Prepared by: Aslam Karamali

WHAT IS INSURANCE and LIFE INSURANCE

WHAT IS INSURANCE ? The total amount of sum assured or the risk covered, is divided into people included in mode of Premium, this is what we call Insurance. Like house, vehicle, shop, factory etc to pay for the loss from fire, earthquake, explosion etc. in spite there are medical insurance ( to pay for medical expenses ), travel insurance, amount savings etc. For e.g in USA there are 25crore people for instance 1crore people need medical aid in a year (365 days) if each one pay for himself he can’t afford the treatment, but if all expenses are divided in 25crore people then every body can have complete medical facilities including hospitalization. So each one is ready to pay premium instead of facing problems, that means premium is for the welfare of all, don’t give the Premium by looking at yourself but give the Premium by looking at some body else. Sum Insured / People = Premium In blood bank also the same rule is applied where sum assured is equal to premium. Sum Insured = Premium Some time we call like Tax system also. ABOUT THE PREMIUM RATE: At the occasion of Eid ul Azha , some welfare trust do joint Qurbani for instance, one said they will do for Rs, 3500/= the other said for Rs, 3000/= because they have more people with them. In same way if everybody involves in the insurance system, the Premium will be the lowest. WHAT IS LIFE INSURANCE ? When some insured thing is lost or damaged, it is replaced or repaired, but in case of Life Insurance, life cannot be replaced so the loss is tried to cover by the financial aid to the family members. The amount of premium is generated by the incumbent in his life gradually by his income and saving reducing his expanses. In short, Life Insurance is like a “ Bachat Committee” but it is legal, safe, pay profit and covers risk, while the “ Bachat Committee” cannot do this improve your Quality of lives, Fun in lives but in limit Saving for future expanses, pay premium ones yearly, don't pay 12 installment of loan with interest . By: Aslam Karamali