ANNOTATED BIBLIOGRAPHY

AKIBA PLAN

The Britam Akiba Plan is a product that provides you with a systematic savings vehicle to provide

for a wide range of financial goals while enjoying a guarantee. The Britam Akiba Plan is appealing to all as it is designed to meet your needs of saving towards meeting your short and medium

term financial goals or obligations and with an added advantage of life insurance protection to your saving plans. The savings need can be to do with business capital accumulation, asset

acquisition, holiday savings, mortgage down payments, project cost accumulation or any other

special purpose savings plan.

BENEFITS OF BRITAM AKIBA PLAN TO YOU AND YOUR FAMILY

1) Maturity benefit

 This is the principal benefit of this product. On the maturity date, the policyholder will

receive a lump sum equal to the sum assured of the policy.

2) Optional Death Benefit - On death of policy owner  The death benefit equal to the sum assured is paid immediately

 All future premiums will be waived and the Cash bonuses referred to above will still

be payable.

3) Loan Facility

 After the policy has been in force for at least 2 years and is paid up to date, you can apply

for a policy loan.

4) Tax benefit  You enjoy an insurance tax relief of 15% of the premiums paid (subject to a maximum of

Kshs 5,000 per month and 60,000 annually). In addition, the full amount payable at the

maturity of the policy is tax free. 5) Surrender Benefits - the surrender benefit is offered as a standard non-forfeiture provision

and may be accessed from the end of 25th policy month.

ILLUSTRATION OF PREMIUM PAYMENT VERSES RETURN ON INVESTMENT

Term Monthly

premium

Premium

contribution

(A)

Maturity Benefit

(B)

Tax relief

(C)

Return on

investment

((B –A)+C)

5 15,170 910,200 1,000,000 136,530 226,330

6 11,745 854,640 1,000,000 128,196 273,556

7 9,730 817,320 1,000,000 122,598 305,278

8 8,220 798,120 1,000,000 118,368 320,248

9 6,990 754,920 1,000,000 113,238 358,315

10 6,020 722,400 1,000,000 108,360 385,960

11 5,240 691,680 1,000,000 103,752 412,072

12 4,600 662,400 1,000,000 99,360 436,960