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Provident Fund Life Insurance Policy


      The main cause of Provident Fund is to provide the financial help to the employees after their retirement from the minimum deduction of his salary every month. But if the employee died before his retirement it will not provide the required financial help to the nominees and they get a very little amount as compare to the amount, which he planed to save for his family. To cover this financial loss due to the death of the employee we are offering our services through our new plan of insurance, which will provide a reasonable cover to the heirs of a deceased employee of your company and also gives a better return at the time of maturity of the policy or on the retirement of the employee.


        The Life Insurance against provident fund is permitted in the Provident Fund Rule 103 H of the Income Tax Ordinance 2000 at the discretion of the employee.

Maturity Benefit

        This policy is mostly issued for 20 years term but can be enchased at the time of retirement if the retirement arises before maturity of the policy. The benefit of the policy may be different in various cases but in 20 years the policy pays approximately more then 3.5 times of the sum assured.


The employee will get the benefits of the death coverage as noted below,

  • An amount equal to the sum assured.
  • Accidental death benefits equal to the Sum Assured (Max 40,00,000).
  • Family income 15% of the Sum Assured annually up to the Maturity of the policy.
  • An additional increase in FIB by 25% on FIB taken in the policy, if the policyholder qualifies for healthy life style.
  • The bonus es announced by State Life Insurance Corporation on yearly basis.


    1. The employer doesn't bother for any cost of premium. It pays from the employee's contribution.
    2. The premium may link to the yearly profit of the provident fund in the individual account to save the original deducted amount of the employee in the Provident fund account.
    3. The employee can take a policy without investing money from his pocket.
    4. This scheme reinvests the profit amount in Life Insurance Policy so the employee can get more benefit out of it in one year.
    5. If any employee changes his/her job frequently then his/her Provident Fund loses every time when he changes his/her organization but if the policy has taken this investment cannot be destroyed. It may continue from one to another organization from PF deduction.
    6. A very little percentage of amount of the total provident fund utilizes in this scheme and get the biggest coverage to the PF account , the other bigger portion of PF amount remains invest as usual. So the real cost of this scheme is near to nothing.
    7. In some organizations the annual profit percentage on Provident fund is blow the State Life Policy profit so in that case the employee get better return of profit with huge Risk Cover by taking this policy on Provident fund account. 

      For further details, feel free to contact us. 

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