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                                                                  HeadStart Plan

             UAN: (021) 111-EFU-111 (111-338-111)
                   Call Centre: (021) 111-EFU-CSD (111-338-273)

       ISO 9001 2008 Certified
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                                                                                         achieve stable growth with investments        Fund Acceleration Premiums
                                                                                         in short term debt securities.                We acknowledge the fact that you may
                                                                                                                                       have surplus cash available at any point
                                                                                         • EFU Aitemad Growth Fund - An                in your life.
                                                                                         investment fund with the specific aim of
                                                                                         investing in Interest Free Securities. It     EFU HeadStart Plan is a regular
                                                                                         aims to maximize capital growth by            contribution Plan but also gives you the
                                                                                         investing across a wide range of              flexibility to top-up your regular
                                                                                         investments such as Islamic mutual            contributions by depositing surplus
                                                                                         funds, approved equities, term deposits       funds as lump sum contributions. These
                                                                                         in Islamic Banks and Sukuk Bonds.             lump sum contributions, called “Fund
                                                                                                                                       Acceleration Premium” (FAP) payments
                                                                                                                                       can be made at the commencement
                                                                                         The funds are managed by investment
                                                                                                                                       date or anytime during the Plan term.
                                                                                         experts who adjust the mix of the
                                                                                                                                       The FAP payments will increase the cash
     Give your child a                      utilized to purchase units in the fund       underlying investments in light of
                                                                                                                                       value of your Plan, but will not affect the
                                            selected by the parent.                      economic conditions and investment
     headstart in life!                                                                  opportunities.
                                                                                                                                       Sum Assured.
Having children is a major highlight of
                                            The objective of the funds is to maximize
one’s life. You shower your children with                                                                                              Death Benefit
                                            capital growth by investing in a balanced
love, care and guidance to make their
                                            portfolio spread across a wide range of
                                                                                         Inflation Protection                          The Plan provides life assurance
future a successful one. There is an                                                     Inflation is a part of our lives and you
                                            investment opportunities.                                                                  protection as soon as your child reaches
undeniable sense of satisfaction you                                                     will want to ensure that your investments     the age of 18 years. The Sum Assured
receive from knowing that you have
                                                                                         for your child are able to sustain the        on the child’s life can be selected at the
contributed to the prosperity of your       Fund Selection Option
children by giving them a chance to         Under this option you have the flexibility   eroding effects of inflation over time.       inception of the Plan when the child is
become high achievers of tomorrow.          to select from one of the following unit                                                   young with the flexibility that it can be
                                            savings fund based on your risk appetite     With built-in inflation protection benefit,   changed when he/she reaches the age
Let EFU Life provide you with the comfort   and investment objective at the inception    you will have security and peace of mind      of 18 years.
of a secured future for your child. The     of the policy:                               knowing that the benefits provided by
EFU HeadStart Plan helps you start a                                                                                                   The following amounts are payable on
                                                                                         the plan will automatically update every
savings fund on the name of the child       • EFU Managed Growth Fund - An                                                             death:
when he/she is young so that the                                                         year.
                                            investment fund with a balanced
accumulated savings can be utilized for     investment strategy. It aims to achieve                                                    If the child was a minor at last Policy
his or her future financial needs. After    reasonable capital growth and steady         Under this option, the contribution will
the age of 18 years, the Plan provides                                                                                                 Anniversary (aged less than 18 years)
                                            returns with investments in government       increase every year by 5% of the
high value savings, coupled with a          securities, carefully selected blue          previous year’s contribution with an
guaranteed level of life assurance          chip equities and other fixed income                                                           Total Cash Value of units applicable
protection and flexibility, with various                                                 appropriate increase in benefits, without         to regular premiums and FAP
                                            securities and cash.
options to customize the benefits                                                        any medical evidence. You may
according to your needs.                    • EFU Guaranteed Growth Fund - An            subsequently waive your right to this         If the child was an adult at last Policy
                                            investment fund providing steady returns     ‘guaranteed insurability’, but subsequent     Anniversary (aged 18 years or above)
Opportunity for Growth                      with a guarantee that the bid price of       reinstatement will be subject to medical
The contributions to the Plan will be       the fund would never fall. It aims to        evidence.                                     The greater of the Sum Assured or

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                                                                                                   Investment Management Charge:                  The Protection Multiple limits are 5 to 75
                                                                                                   0.125% of the value of the fund value          for all entry ages. The Sum Assured is
                                                                                                   per month (charged on a daily basis)           applicable for ages 18 years and above.
                                                                                                   Bid/Offer Spread:                              Prior to the age of 18 years, up to Rs. 1
                                                                                                   5% of the net contribution                     million Sum Assured can be selected.
                                                                                                   Administration charges:                        However, the selected Sum Assured will
                                                                                                   Rs. 360 per annum.                             become effective from 18 years of age
                                                                                                                                                  and onwards. The flexibility to revise the
                                                                                                   An age-based mortality charge applies          Sum Assured when the child reaches
                                                                                                   for the life insurance risk each year          18 years will also be available.
                                                                                                   which is dependent on the sum at risk.
                                                                                                   No mortality charges apply for ages less
                                                                                                   than 18 years next birthday.
Cash Value of the Plan at the date of         Unit Allocation Percentage and
death.                                        Charges
                                                                                                   The HeadStart Plan is designed as a
                                              The proportion of contribution for
AND                                                                                                long-term contract with the initial setting-
                                              investment in units varies by policy year
                                              and is as follows:                                   up charges being recovered over a
Any Cash Value of the FAP payments.                                                                period of time.
                                                Policy Year            % Allocation
Other Important Details                              1           25% to 35% (based on plan term)   Therefore, if the Plan is terminated after
Eligibility                                          2                        80%                  only one annualized premium, the cash
The Plan is on the child’s life and the              3                        90%                  value acquired in the first year of the
minimum age at entry is 6 months and                4-5                      100%                  contract will be used to offset the setting-
the maximum age at entry is 18 years                6-10                     103%                  up costs and no amount will be payable.
next birthday.                                  11 & onwards                 105%                  After two full years’ premiums have been
                                              The contribution will be allocated to units          paid, the policyholder can cash-in the
Term                                          in the selected Fund at the offer price.             Plan at any time for the full value of units
The term of the HeadStart Plan can be                                                              or make partial withdrawals subject to
for any period between 10 and 25 years.
                                              Units will be allocated at the price ruling,                                                        Additional Benefit Riders
                                              at the next valuation of the Fund following          Rs. 20,000 remaining in the fund. The
The Plan provides the flexibility to extend                                                                                                       Upon reaching the age of 18 years, the
                                              receipt of contribution at the Company’s             Plan can be encashed by the parent
the term at age 18 years.                                                                                                                         following riders can be added to
                                              Main Office.                                         even before the child reaches the age
                                                                                                   of 18 years.                                   enhance the life assurance protection;
The minimum basic Plan contribution is
                                              Maturity Benefit
                                              At maturity of the Plan, the Total Cash              Sum Assured                                    Additional Term Assurance
Rs. 16,000 per annum.                                                                                                                             This rider increases the level of life cover
                                              Value of the policy is payable.                      After 18 years of age, this is the
                                                                                                   guaranteed amount payable on death             by providing an additional amount in
For Fund Acceleration Premium
payments - minimum contribution is            Charges                                              and is determined as the Basic Annual          the range of 50% to 300% of the Sum
Rs. 16,000 per annum.                         The following charges apply on the Plan:             Premium times the “Protection Multiple”.       Assured of the main plan.

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Accidental Death and Disability             Hospital Care Benefits                       Illustration of Benefits
Benefit                                     It provides a daily cash benefit in case     The following illustration shows projections for a Plan taken out by a parent for his
If death or disability occurs as a result   of hospitalization of the individual. One    10 year old child with an annual premium of Rs. 50,000 and a guaranteed Sum
                                            can choose up to a maximum of 10 units
of an accident, you can be covered for                                                   Assured of Rs. 1,000,000.
                                            of benefit and each unit will pay daily
an additional amount from 100% to
                                            cash income of Rs. 250. This benefit is
200% of the Basic Sum Assured under         available till age 60.                                          8% p.a Rate of Return             10% p.a Rate of Return 12% p.a Rate of Return
this benefit.
                                                                                            Policy           Death              Fund             Death             Cash            Death             Fund
                                            Medical Recovery Benefit                         Year            Benefit            Value            Benefit           Value           Benefit           Value
Accidental Death and Disability             The Medical Recovery Benefit rider is a
                                            sickness and accident insurance benefit             5             219,076          219,076           230,264          230,264           241,931          241,931
Benefit Plus
In addition to the benefits of the          covering over 370 defined illnesses and
                                            injuries. The rider provides a lump sum            10           1,000,000          593,218          1,000,000         657,129          1,000,000         728,238
Accidental Death and Disability Benefit
                                            cash payment on the diagnosis of a
rider, this rider also provides the Sum                                                        15            1,111,511        1,111,511         1,305,379        1,305,379         1,536,432        1,536,432
                                            covered medical condition.
Assured if an individual becomes
permanently and totally disabled.           Waiver of Premium
                                                                                               20            1,823,111        1,823,111         2,281,175        2,281,175         2,868,566        2,868,566
                                            In case an individual is unable to follow
Family Income Benefit                       his/her occupation due to sickness or        Notes
In case of death of the individual during   accident, the contribution of the Plan       • The rate of return assumptions mentioned in the above table are before deduction of the Fund Investment
the term of this rider, a monthly income    would be made by EFU Life.                     Management charges. These charges have been deducted from the rate of return assumptions prior
                                                                                           to determining the Illustrative Values in the tables.
of 1% or 2% of the Basic Sum Assured
is paid for the remaining term, subject     Automatic Non-Forfeiture                     • The Cash Values given in the above table are based on assumptions and do not take into account any
to a maximum age of 70.                     Option                                         partial withdrawals. The actual values can be higher or lower depending on the performance of the
                                                                                           underlying investments in EFU Growth Funds.
                                            If premium payments are stopped due
LifeCare Benefit Plus                       to any reason after two full years’          • Certain charges apply on the Plan as described in the sections on "Unit Allocation" and "Charges". The
This benefit provides a pre-payment of      premiums have been paid, the Company           values illustrated above are net of all charges.
the main Plan Sum Assured upon the          will keep the basic policy in force for a
                                            period of one year from the date of the      • A description of how the contract works is given in the Policy Provisions and Conditions.
life assured being diagnosed as having
                                            first unpaid premium. During this one        This brochure gives a general outline of HeadStart Plan. The contract will be governed by the detailed conditions set out
acquired a critical illness.                year period the Company will cancel          in the policy Provisions and Conditions.
                                            enough units to pay for the cost of          EFU Life is registered and supervised by the Securities and Exchange Commission of Pakistan.
                                            maintaining the cover and for
                                            administration. At the end of this period,
                                            if the policy has a cash value, it will be
                                            converted into a “paid-up” policy. In
                                            such a case, no further premiums would
                                            be payable and the amount payable on
                                            death or maturity will be equal to the
                                            cash value of the policy. At each
                                            anniversary, the Company will cancel
                                            enough units to pay for the administrative
                                            cost of maintaining the policy.

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