Madison Cash Benefit Assurance Policy

Madison Cash Benefit Assurance Policy

Madison Cash Benefit Assurance Policy is a medium to long term conventional life assurance policy with a provision of paying out cash to the policy holder in every five years of premium payment. The term of the policy can be ten (10), fifteen (15) or twenty (20) years and the product is designed to meet the following needs of customers:


  • Life assurance protection to the immediate family on natural or accidental death of the bread-winner.
  • To save for future financial requirements.
  • To protect policy benefits against inflation.

Product Objectives

  • To provide life assurance protection to the immediate family through payment of a lump sum cash benefit (sum assured) on death of the life assured during the chosen term of the policy.
  • To provide for payment of sum assured on maturity of the policy at the end of the policy term.
  • To provide a lump sum cash benefit the end of every 5 years during the term of the policy.
  • To hedge against inflation on the policy benefits through increasing premiums at a selected rate (optional rider).
  • To provide automatic participation in future profits which enhances the value of the policy.

Cash Benefit

  • There is a cash benefit payment in every five years since commencement of the policy, provided that the life assured survives the benefit due dates.
  • The cash benefit is a fixed percentage of 20% of the sum assured together with the corresponding accrued bonuses, if any.
  • In the event of the policy being converted into a paid-up contract, the five-year cash benefit will continue to be paid on the reduced cover.

Eligible Entry Age at Commencement of Policy

  • Age next birthday of the life to be assured at entry should be 20 to 60 years.

Term of Policy

  • The term of the policy can be ten (10), fifteen (15) or twenty (20) years.

Maturity Benefit on the main policy

  • Sum assured plus accrued bonuses, if any, will be payable upon the life assured surviving the policy term.

Death Benefit on the main policy

  • In the event of death of the life assured within the term of the policy, sum assured plus accrued bonuses ,if any, will be payable to the named beneficiaries or appointed administrator.

Premium paying methods

  • Cash (available only on quarterly, half-yearly and yearly basis)
  • Stop order (cheque through employers or direct transfer)
  • Direct Debit and Credit Control (DDACC) payment through the bank account
  • Electronic funds transfer
  • A policy fee of K10, 000.00 per month will be applied on each policy.

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