JS Retirement Plan

JS Retirement Plan is a long-term investment plan that allows you to build your savings for a better tomorrow, with the comfort of an insurance plan that protects you and your loved ones. The plan offers the promise of financial stability when you retire, so that you never have to give up the best things in life. JS Retirement Plan is underwritten by EFU Life Assurance Ltd.

Unit Allocation:

Premiums are allocated to the investment fund based on the following unit allocation percentages:

  • Year 1-    35%
  • Year 2-    80%
  • Year 3-    90%
  • Year 4 to 10 – 100%
  • Year 11 onwards-  100% plus loyalty bonus

Unit Accumulation and Investment Fund:

Every contribution paid towards the plan is invested in an internal investment fund of EFU Life based on your selection. The contributions are utilized to buy units of the fund at the prevailing offer price. The objective of the funds is to maximize capital growth by investing in a balanced portfolio spread across a wide range of investment opportunities. The fund is managed by investment experts who adjust the mix of the underlying investments in light of economic conditions and investment opportunities.

Loyalty Bonus:

The loyalty bonus unit allocation, in addition to the basic plan contribution is as follows:

  • Year 11- 30%
  • Year 16- 45%
  • Year 21- 60%
  • Year 26- 75%
  • Year 31- 90% & so on

Fund Acceleration Premium (FAP)

The customer can choose to make extra contributions (additional to the decided premium) which would have positive impact on the cash value of the plan. The minimum FAP is PKR 24,000 per payment. However, the maximum FAP contribution in a year is 5 times the Current year’s annual regular contribution.

Fund Selection Option:

Policyholders have an option to select a unit fund based on his risk preferences and investment objectives at the policy inception. The funds available are:

  • EFU Managed Growth Fund.
  • EFU Guaranteed Growth Fund.
  • EFU Aitemad Growth Fund.

Additional Benefits

Death Benefit:

On death, the benefit payable is equal to:

  • The greater of Sum Assured or Cash Value of units allocated against basic premium.
  • The Cash Value of units allocated against FAP plus payments.

Maturity Benefit:

On maturity of the plan, total Cash Value of units applicable to basic premiums and FAP payments is paid. This amount can be utilized to purchase one of the pension options.

Pension Options:

The maturity value of the plan can be utilized to purchase pension from the Company at rates prevalent at that time. Pension options available to the client are as follows:

  • Life pension payable as long as the policyholder is alive; or
  • Guaranteed for 10 years and life thereafter; or
  • Joint Life pension payable to the customer and on his/her death 50% continues to be paid to the spouse.

Policyholders may also opt for a 25% lump sum benefit and purchase the pension from the remaining 75% of the maturity or surrender value.

Early Retirement Option:

The plan also gives an option to the policyholder to avail early retirement. Under this option, policyholder can decide to surrender the Cash Value of units before the pre-determined plan maturity and purchase the pension from the options given above. This option is available after age 50 years provided the policy has remained in force for at least 5 complete years. This benefit is provided free of any charges

Inflation Protection:

Under this option, the premium will increase every year by 5% of the previous year’s contribution with appropriate increase in benefits, without any medical evidence.

Built-in Benefits:

Accidental Death & Disability Benefit:

In case of accidental death of the life assured, this rider provides an additional lump sum benefit. The amount of payout is up to 10 times the basic annual premium with a maximum payout limited to Rs. 5 million.

Optional Benefits:

  • Waiver of Premium.
  • Family Income Benefit.
  • Additional Term Assurance.

Eligibility & Terms:

The product is available to anyone between the ages of 18 to 60 years. The minimum term of the plan is 10 years whereas the maximum term is 45 years. The savings term has to be selected in such a way that the age of the customer at the end of the savings term is between 60 and 70 years.

The mode-wise minimum premium is as given in the table below:

  • Annual -PR 24,000 per annum
  • Half Yearly – PKR 12,000per half-year
  • Quarterly –PKR6,000 per quarter
  • Monthly-PKR 2,000 per month

Disclaimer:

  • This product is underwritten by EFU Life Assurance Ltd. It is not guaranteed or insured by JS Bank Limited and it is not a JS Bank Limited product.
  • All investments made in any of EFU’s funds are subject to market risk. Past performance of these funds is not necessarily a guide to future performance. Any forecast made is not necessarily indicative of future or likely performance of these funds and neither EFU Life Assurance Ltd. nor JS Bank Limited will incur any liability for the same
  •  A personalized illustration of benefits will be provided to you by our sales representative for facilitating the decision. Please refer to the notes in the illustration for detailed understanding of the various terms and conditions
  • Service charges and taxes will be applicable as per the Bank’s Schedule of Charges and taxation laws as stipulated by relevant authorities
  • JS Bank reserves the right to levy such additional charges as may be required, to facilitate the making of contribution in the plan, in the event that the arrangement between JS Bank Limited and EFU Life Assurance Limited is discontinued.

 FAQs for JS Retirement Plan

What is JS Retirement Plan?

JS Retirement Plan is a long-term investment plan that allows you to build your savings for a better tomorrow, with the comfort of an insurance plan that protects you and your loved ones. The plan offers the promise of financial stability when you retire, so that you never have to give up the best things in life. JS Retirement Plan is underwritten by EFU Life Assurance Ltd.

How can I be eligible for JS Retirement Plan?

The retirement plan is available to anyone between the ages of 18 to 60 years. The minimum term of the plan is 10 years whereas the maximum term is 45 years. The savings term has to be selected in such a way that the age of the customer at the end of the savings term is between 60 and 70 years.

What is the proportion of contribution allocated to investments?

Premiums are allocated to the investment fund based on the following unit allocation percentages:

  • Year 1-    35%
  • Year 2-    80%
  • Year 3-    90%
  • Year 4 to 10 – 100%
  • Year 11 onwards-  100% plus loyalty bonus