1.0.

0 Insurance Insurance is a contract between the insurance company (insurer) and insured (policy holder) whereby the one party agrees to indemnify the other party in case of happening loss in return of a payment known as premium. 1.0.1 Importance of Insurance

Insurance is a process of sharing risk over a group of persons on organization who are exposed to it and who want to insure themselves against the risk. Human beings, his family and properties are always exposed to different kinds of risks. Risk involves the losses. Insurance is a tool which reduces the cost of loss or effect of loss caused by variety of risk. It accumulates funds to meet individual losses. It is not device to prevent unwanted event of happening or cause of loss but protects them against that loss by compensating which as lost. The role and importance of insurance are discussed as follows: 1. Insurance provides security Insurance provides safety and security against the loss on a particular event. Life insurance provides security against death and old age sufferings. Fire insurance protects against loss due to fire while Marine insurance provides protection and safety against loss of ship and cargo. For personal accident and sickness insurance financial protection is given when the individual is unable to earn. In other insurance too, this security is provided against the loss at a given contingency. In Business, commerce and industry, huge properties are employed. Because of slight negligence, the property may be turned in to ashes. A person may not be sure of his life, health and cannot continue the business up to the longer period to support his dependents. By the help of insurance, he can be sure of his earning, because the insurance company will pay a fixed amount at the time of death, damage by fire, theft, accident and other perils. Insurance removes the tensions, fears, anxiety, frustrate or weaken of the human mind associated with the future uncertainty. By providing financial position and promise to compensate losses arise out from various risk, it

2. Insurance reduces business risk or losses

3. Insurance provides peace of mind

4. Life insurance encourages saving

provides peace of mind and stimulates more and better work performance of an individual. The insured has an obligation to pay premium regularly and cannot be withdrawn easily before the expiry of the term of policy. Life insurance encourages the habit of regular and systematic saving through premium and after a certain period, it would be a part of necessary saving of the insured person. To develop the economic growth of the country, insurance provides strong hand and mind, with protection against loss of property and capital to produce more wealth. It provides protection against different kinds of loss caused by risk. It accumulates the capital from the insured and utilizes for the development of country. Thus, the insurance meets all the requirements for the economic growth of a country. The insured person can get loan by pledging insurance policy and the interest will not exceed the cash value of policy charged by insurer. In case of death of insured person, the policy can be utilized for setting of the loan with interest. Business person can take loan on the basis of insurance documents from the bank also. Inflation created from oversupply of money and on less production entities. Insurance can help to reduce the inflationary pressure in two ways. Firstly, it collects money as an amount of premium which controls over supply of money and secondly, it provides sufficient funds for increase production entities. Thus, it reduces the impact of inflation. The security and welfare of employees is the responsibility of employer. These security and welfare are easily met by life insurance, accident and sickness

5. Insurance accelerates the economic growth of the country

6. Insurance provides credit facilities

7. Insurance helps to reduce inflation

8. Insurance makes security and welfare of employees

9. Other importance of insurance

benefit and pension which are generally provided by group insurance. The premium for group insurance is normally paid by the employer. Insurance is the simple method for employer to fulfill their responsibility. Due to these benefits, employee will devote their maximum capacities to complete their job. a) Insurance helps to promote foreign trade providing protection again trade risk.

b) Insurance increases business efficiency eliminating the loss of damage, destruction, or disappearance of property of goods. c) Insurance protects the social wealth providing protection against social evil. d) Development of insurance business helps to solve the evil of unemployment, generating employment opportunity in the country. 2.0.0 Background of MetLife Alico Insurance Company MetLife Alico is an affiliate of MetLife, Inc., a leading global provider of insurance and employee benefit programs. Through its subsidiaries and affiliates, MetLife serves more than 90 million customers around the world. MetLife Alico has been helping people and businesses in Bangladesh with their insurance needs since 1952. Throughout their history, they have continuously sought to nurture talent, respect local cultures and promote the diversity that characterizes the Bangladeshi society. Theyve grown by understanding the needs at the heart of the community and by tailoring their extensive product offering to the unique needs of individuals, families and businesses of all sizes. Today, they are one of the leading insurance companies in the country, with close to 1,000,000 insured members and over 12,000 agents who understand this market better than anyone else, so one can rest assured that nobody is better placed to find a solution which fits ones needs. e) The insured gets tax benefit in life insurance.

In Dhaka district they have five agencies, in Dhaka metro they have 90 agencies and in 42 districts they have 107 agencies. They have five customer services center all over the Bangladesh.
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3.0.0 Policy Issued by MetLife Alico Insurance Company The life insurance needs differ from person to person. So, the offers here are so much versatile. At MetLife Alico, any individual client can find a range of Life Insurance, Accident and Health Insurance as well as Education and Retirement plans to suit their personal or family needs. There are three major criteria in their offer list. These are Life Insurance Policy, Savings and Retirements Plan and finally Accident and Health care Plan. Every criterion here has divided again into several subdivisions according to the customers needs and requirements. These are as following: 1.0 Life Insurance Policy Life insurance can take care of clients family and MetLife help them to maintain their standard of living. Apart from taking care of outstanding loans or mortgages, it can also protect their children's education or provide for their partners retirements.

Here we are going to describe about Education Process Plan [EPP] Plus and Three Payment Plan [3PP] Plus offerings. 1.1 The Product Overview of EPP Plus A flexible plan with terms ranging from 10 to 25 years.

On maturity, policy holders child will receive the full face amount along with the bonus.

In the unfortunate even of clients death, protects the child's financial future by paying out a monthly sum of 1% of the face amount every month for his/her education till the maturity of the policy. The policy also provides for a waiver of all future premiums in order to keep the policy active and in-force. Like in all other life policies, the paid premiums are income tax deductible (subject to prevailing tax laws & rules).

Customers can choose to add a disability protection rider to this plan which will protect them in the event of a disability due to sickness or accident.

1.2 The Product Overview of 3PP Plus

This EPP Plus plan also provides a personal accident coverage that ensures the financial future of clients loved ones in case of his/ her death, disability or injury due to accident.

This Plan is available for varying terms such as 12, 15, 18, 21 & 24 year and any clients can choose one that best suits their needs. 25% of the face amount is paid at the end of 1/3rd of the term and another 25% at the end of 2/3rd of the term. The policy holder can use this to finance his/ her goals. The remaining 50% of the face amount is paid along with a bonus at maturity.

In the unfortunate event of the death of the policy holder, at any time during the term of the policy, their nominees will receive the entire face amount along with the bonuses- NO DEDUCTION is made for the partial maturity amounts. Loans up to a maximum of 85% of cash value are available, if required. Like in all other life policies, the paid premiums are income tax deductible (subject to prevailing tax laws & rules).

2.0 Savings & Retirement Plan Policy

The 3PP Plus also provides Personal Accident Coverage in case of clients death, disability or injury due to accident.

Alico selection of savings and retirement products mean that one can take steps towards the lifestyle he/ she really wants today, as well as plan for the future that they really want tomorrow.

Here, we are going to introduce the Income Growth Plan Policy and DPS Super Policy as follows. 2.1 The Product Overview of Income Growth Plan Policy A unique plan that combines protection and savings.

 Offers a maximum premium payment term of up to 30 years thereby giving the flexibility of choosing small payments to suit clients budgetary needs. The plan is split into 2 phases. The first phase is for a period of 7 years and then the second phase starts (from the 8th year) and includes the rest of the term. During the first 7 years clients savings accumulate and grow and at the end of the 7th year a dividend is declared. This dividend could be up to 40% of the cash value of his/ her plan.

In the second phase, the cash value and dividend are transferred to the Investment & Protection Account (IPA) From the 8th year onwards, the policy offers a range of flexible options such as changes to the amount of premium, insurance coverage, etc, subject to the policy terms and conditions. Like in all other life policies, the paid premiums are income tax deductible (subject to prevailing tax laws & rules)

Maturity Benefits: On maturity, the policy owner can either withdraw the account (IPA) value; or convert it into a life time pension. Income Growth also provides Personal Accident Coverage in case of clients death, disability or injury due to accident.

2.2 The Product Overview of DPS Super Policy

Clients can select their plan from the following 3 options: Plan

Features

DPS Super Gold DPS Super Silver

Maturity Value + Life Coverage + Accident Coverage + Critical Illness & Waiver of Premium Benefits Maturity Value + Life Coverage + Accident Coverage

DPS Super Bronze

Maturity Value + Accident Coverage

2.2.1 DPS Super Gold Plan Attractive maturity value to meet the clients financial planning needs.

Life insurance coverage equivalent to policy face amount (Face amount is defined as the DPS Super annual premium times the policy term).

Double benefit due to Accidental Death (AD) and Accidental Permanent & Total Disability (PTD); consequently a total coverage of 3 times the face amount in case of AD. In case of Accidental Dismemberment the additional accidental benefit may reach up to 2 times the face amount depending on the type and extent of Loss. Lump sum payment equal to 100% or 50% of the face amount in case of diagnosis of 8 critical illnesses. Waiver of premium in case of Permanent Total Disability due to accident or sickness under family protection rider disability.

2.2.2 DPS Super Silver Plan

Attractive Maturity Value to meet policy holders financial planning needs.

Life Insurance coverage equivalent to policy Face Amount (Face Amount is defined as the DPS Super annual premium times the policy term).

2.2.3 DPS Super Bronze Plan

Double Benefit due to Accidental Death (AD) and Accidental Permanent & Total Disability (PTD); consequently a total coverage of 3 times the Face Amount in case of AD. In case of Accidental Dismemberment the additional Accidental Benefit may reach up to 2 times the Face Amount depending on the type and extent of Loss.

Attractive Maturity Value to meet clients financial planning needs

Death Benefit equal to Account Value or Premiums paid for the Basic Policy whichever is higher.
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3.0 Accident & Health Care Plan

Accidental benefit under which 2 times the Face Amount (Face Amount is defined as the DPS Super annual premium times the policy term) will be paid in the event of Accidental Death, or Accidental Permanent & Total Disability (PTD). In case of Accidental Dismemberment the additional Accidental Benefit may reach up to 2 times the Face Amount depending on the type and extent of Loss.

Their accident and health insurance products give the customers one less thing to worry about, should the unthinkable happen. There are various options they can choose from to get the ideal level of cover for them and their families. There are six plans under this criterion. These are as following: 3.1 The Product Overview of Critical Care Plan

Critical Care provides the lump sum payment of up to BDT 500,000 which is payable upon diagnosis and receipt of proof for one critical illness only. Critical Care supplements clients life insurance protection. Alico offers several plans and clients can select the plan of their choices. There is no deductible amount.

The critical illness lump sum payment will be made only once if the client is diagnosed and proved with any of the 25 illnesses listed. 3.2 The Product Overview of Hospital Care Plan The Hospital Care supplements clients life insurance protection

These benefits are payable in addition to any other insurance plan that they may have. One can select the plan that best suits his/ her needs and the needs of your family from the range Alico offers.

 The Daily Cash income continues for up to 52 weeks from the very first day of hospitalization. The Cash Income is paid directly to the clients, to use any way they wish. There is no deductible amount or waiting period. The Cash income is payable regardless of expenses, even if the client is confined in a free hospital. 3.0.1 The Characteristics of 3 Payment Plan Policies (3PP) There are three specific characteristics by which MetLife Alico is successful today to make this policy attractive to their clients. The characteristics are describing here:

1. 3 Payment Plan policies can be hold for 12 years, 15 years, 18 years, 21 years or 24 years timeline period. Policy holder can purchase the policy for any of these maturity periods.

2. There are variable payment policies are included in 3 P. P. One can plan the policy from BDT 1, 00, 000 (One Lac) to BDT 1, 00, 00, 000 (Ten Million) for their payment according to his/ her income level. 3. Minimum 10 years age holders to maximum 60 years age holders, anyone can be the client of this 3 P. P. policy to take its whole coverage.

Thus, different people from different income level and age background can be the beneficiary of this 3 Payment Plan policy of MetLife Alico which is very much convenient to the people of developing countries like ours. 3.0.2 The Benefits Provided in 3 P. P. Policies According to companys rules and regulations, the benefits those are providing in this specific policy depend on the policy amount, policy maturity periods and so on.

Here, we are trying to focus on the benefits of 3. P. P. policy with the amount of BDT 5, 00, 000 for 18 years maturity period.

1. If any client of this policy becomes hospitalized due to any accident, then he or she will get up to BDT 1, 47, 000 in every month for treatment purpose. If, the person will get up to BDT 1, 05, 000 in every month for that purpose. client gets his/ her treatment at home for any kind of accident, then that 2. There are 25 (twenty five) diseases in human body which are recognized as

the most complicated and critical diseases according to MetLife Alico Health Insurance Policy. If, the policy holder gets affected by any one of them, then the company will help him with BDT 5, 00, 000 in advance at a time for starting the treatment. After that, because of that disease, if that person needs

to be hospitalized, then he/ she will get BDT 63, 000 in first month for bearing every month up to one year. STROKE

the treatment expenses and after that if he/ she stay in hospital for the same reason, then company will give them BDT 42, 000 for the same purpose in The 25 diseases which are considered to be highlighted are as following CANCER (Except Skin Cancer) FIRST HEART ATTACK CORONARY ARTERY SURGERY MAJOR BURNS BLINDNESS Other Serious CORONARY ARTERY Diseases HEART VALVE REPLACEMENT

PULMONARY ARTERIAL HYPERTENSION (Primary) END-STAGE LUNG DISEASE KIDNEY FAILURE SURGERY to AORTA

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 APLASTIC ANAEMIA LOSS of HEARING LOSS of SPEECH ALZHEIMERS

MAJOR ORGAN TRANSPLANT MUSCULAR DYSTROPHY BRAINDISORDERS

DISEASE/

IRREVERSIBLE

ORGANIC

DEGENERATIVE

MOTOR NEURONE DISEASE PARKINSONS DISEASE COMA MAJOR HEAD TRAUMA PARALYSIS BENIGN BRAIN TUMOUR BACTERIAL MENINGITIS 3. For any normal disease, if the client becomes the victim and get hospitalized, 4. This benefit is little bit different. When the policy will pass 6 years maturity, once. After that, when it will be matured of 12 years then the policy holder will get 25% of original policy again and that is BDT 1, 25, 000. It will happen at a respective client will get 50% of his policy at a time and the amount is BDT 2, 50, 000. With this last amount, he/ she will receive the bonus amount also. For then he/ she will get BDT 42, 000 monthly up to 1 year.

the policy holder will get 25% of original policy and that is BDT 1, 25, 000 at time also. Finally, when the policy will fulfill 18 years maturity period, then the example: the Bonus rate of this running year is BDT 7, 000 in every BDT 1, 00, 000. So, for this policy of BDT 5, 00,000 the company will pay that person BDT

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35, 000 as bonus per year. 5. In case, if the policy holder dies due to unusual accident, then his/ her MetLife Alico. On the other hand, if that person dies in a normal way without time by this organization as well. nominee will be paid with BDT 20, 00, 000 and bonus amount at a time by any accident, then the nominee will get BDT 5, 00, 000 and bonus amount at a 6. When the policy will pass 3 years maturity period, after that, the client will be she can take the loan up to 70% of their savings amount. After that, client can repay his loan yearly, monthly, weekly and daily basis as well.

able to take loan in any time from that policy. But, here the condition is, he/

7. After 3 years periods of maturity, if the client is unable to continue the policy but he/ she is interested to run that, in that case without paying any premium that person will be able to continue that policy till its full maturity period. In that circumstance, policy holder needs to apply to the company by mentioning his/ her present financial problems and situations and has to show his/ her that policy on behalf of that client until its 18 years maturity period without receiving any premium payment. This facility is called ETI which stands for Extern Term Insurance. own interest to run that policy. If the reasons go under companys consideration, that time company will take the responsibilities to continue

The benefits under Extern Term Insurance are that, company will continue that policy without any premium payment till its maturity of 18 years period. In that case, if the client dies before the maturity of the policy, his/ her nominee will get compensation money due to this circumstance. Besides, if the client is alive till the maturity period, then he/ she will receive his/ her savings money back at that time with some profit amount.

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3.0.3 The Process of Premium Rate Calculation The premium rate is the most important thing for the operation of any Insurance policy of MetLife Alico. As I have mentioned before, any person from 10 years old to 60 years old can be the purchaser of this policy that is why; the premium rate is determined by the age of the client. Company uses their Premium Rate Chart for the calculation of this fact. Here, the amount is determined in thousands according to the age of the client.

Here, the procedure of this calculation is described following. We have chosen a 3 P. P. policy for a Health Insurance of MetLife Alico which is purchased by a 35 years old client for 18 years maturity and the policy amount is for BDT 5, 00, 000. The steps are as following: Basic Annual Premium Rate per TK 1000 for 3 P.P. = 68.00 tk. (Multiply) the policy amount (in thousands) So, the Basic Premium = 500 tk. = 34070 tk. = 70 tk. [35yrs age and 18Yr Plan]

(Add) Policy Factor

(Add) Accident Injury (in thousands) TK 5 (Add) Hospital Care Benefit

(Add) Normal Injury (in thousands) TK 7.95 (Add) Critical Illness Benefit

= (500*7.95) = 3975 tk. = 5445 tk. = 3990 tk.

= (500*5) = 2500 tk.

So, the total amount of Premium

This premium can be given annually, semi- annually or quarterly by the respective policy holders. But in this case, if any client is interested in to paying semi- annually or quarterly, then that person will have to pay little bit more than the annual payment of premium.

= 49980 tk. (Yearly)

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The formula that is used for this semi- annually payment and quarterly payment is BDT 49, 980 * .52 = 25989 tk. (Semi-Annually) BDT 49, 980 * .27 = 13, 494 tk. (Quarterly)

This rate has been determined by the Board of Directors of MetLife Alico. Besides, this overall process is being followed in every branch of MetLife Alico. They are applying these formulas internationally in all over the world. 3.0.4 The Requirements & Process of Having a Health Insurance Policy in MetLife Alico. Every Organization has their own procedure to operate their business. MetLife Alico is not excluded from that. When, any possible client wants to make an agreement on Health Insurance Policy with MetLife Alico, there are some steps which are being followed by the organization to make that policy secured for both the organization and the policy holder. The steps are describing here: Step 01

First of all, clients need to fill-up a specific kind of application provided by MetLife Alico bearing some personal information of clients. Step 02 With this form client needs to submit his/ her passport size photocopy, Secondary School Certificate (S.S.C.), photocopy of passport, photocopy of National Identity Card and photocopy of Driving License (if available) and the amount of premium to this company. These are mainly important for justifying the clients age. Step 03 After verifying all information, company will underwrite that form.
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Step 04 Once the company underwrites the form, then the policy owner will be offered a written agreement by the company where all rules and regulations will be included. On that agreement paper, client has to sign on a Government Insurance Tax Stamp and the registrar or the Chairman of the company will also sign on that Stamp and agreement on the behalf of MetLife Alico.

This is how MetLife Alico makes contract of Health Insurance Policy with their service consumers. In this agreement, all benefits are also being written and after that policy owners can pay their all premiums in the companys enlisted banks or in Customer Care Service Centre by cash or auto debit payment from their own account. 3.0.5 How the EPP Works One can select the period of the plan to suit the age of his or her child at which he or she want the policy proceeds to be paid. The options are many; one can select any period from 10 to 25 Years. The benefits of this plan are as follows: 1.0 At Maturity

On survival of the insured child at maturity, the full face amount of the policy plus bonuses is paid. The money can be used to pay for his/her higher education. On if he/she will find the money very helpful in starting a career. It can also be used for expenses such as marriage. 2.0 In Case of Insureds Death All future premiums under the policy will be waived and the policy would Income for education equal to 1% of the face amount will be paid every month to the insured child till the maturity of the policy.
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continue in full force.

 At maturity, he/she would receive the benefits. 3.0 On Death of the Child before Maturity Income for education equal to 1% of the face amount will be paid every month to the insured child till the maturity of the policy. 4.0 Payments on Insureds Disability For a small additional premium, one can add a very valuable benefit disability protection rider that will provide In event of insureds total and permanent disability due to sickness or accident, all future premiums will be waived. till the maturity of the policy.

Income equal to 1% of the face amount will be paid, every month, to the child At maturity, he/she would receive the benefits.

5.0 Specimen Premium Amount for Disability Protection Rider (DPR) If insured wish to add the Disability Protection Rider (DPR) to this policy, the ALICO agent will provide him or her necessary rates.

As an example, if his or her age is 25 years and he or she wish to buy a 18-year term EPP policy for his or her 2-year old child with the face amount of tk. 100,000 and his or her EPP yearly premium with DPR would be tk. 6,864. 6.0 Bonuses The policy will participate in profits declared in the form of reversionary bonus and capital growth bonus (terminal bonus), if applicable.

Other attractive features- cash value, paid-up value, and extended term insurance value are guaranteed and premium will never increase.
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3.0.6 Executive Five 1.0 Terms & Conditions It is hereby agreed that in consideration of the of the payments in full of the total premium applicable & if after the policy executive date, the named insured die from natural causes prior to the expiry date or sustain accident bodily directly & independently of illness & all other causes which results within three hundred and sixty five (365) days in losses covered hereunder, the company shall pay the amount of benefit specified in the policy schedule of benefit, subject to the terms, conditions, exceptions, & provisions contained in the policy. 2.0 Definitions

Policy Effective Date Wherever use this policy will mean the time starts from 12:01A.M. local territory time for 7 day following the policy application date. Named Insured Wherever use this policy will mean the insured, as stated in the application. Accidental bodily injury occurring while this policy is in force as to the named insured whose injury is the basis of claim, & resulting, directly & independently of all other causes, in loss covered by the policy. Permanent Partial Disability Wherever use this policy will mean the total loss of functional use or complete & permanent severance. With reference to hand or foot: at or above the wrist or ankle joint. With reference to thumb & index: at or above the metacarpal phalange joint.

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With reference to the eyes, hearing or speech: the entire & irrecoverable loss Ophthalmology or Otolaryngology.

of sight, hearing or speech as certified by a licensed physician specializing in Permanent Total Disability

Wherever use this policy means the named insured is unable to engage in any occupation or employment for compensation or profit for which the named insured is reasonably qualified by education, training or experience. If at the time of the loss, the named insured is unemployed, permanent total disability will mean the total & permanent inability to perform all of the usual & customary duties & activities of a person of like age & sex. Hospital Wherever use this policy means an establishment which meets the entire following requirement: Operates primarily for the reception, care & treatment of sick, ailing or injured persons as in-patients. Provides 24-houres a day nursing service by registered or graduate nurses. Provides organized facilities for diagnosis & major surgical procedures. Has a staff of one or more physicians available at all times.

Holds a license as a hospital, if licensing is required in the country or govt. jurisdiction.

Is not primarily a clinic, nursing, rest or convalescent home or similar establishment & is not, other than incidentally, a place for alcoholics or drug addicts. Maintains X-ray equipment & operating room facilities.

Patient

Wherever use this policy means a person who is confined in a hospital as a resident patient & who is charged at least one (1) days room & board in the hospital.

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Physician Wherever use this policy means a person legally licensed to practice medicine & surgery other the insured or a member of the insureds immediate family.

3.0 Policy Schedule of Benefit

Benefit A Loss of life When death results from natural causes, the beneficiaries receive..tk. 10, 000

Benefit D Permanent total disability

Benefit B Accidental Loss of life When death results from accidental injuries sustained by the insured, the beneficiaries receive..tk. 50, 000

If, as a result of any accident, the insured is totally disabled for a period of 12 consecutive months from doing each & every job that he/she is reasonably qualified for by training, experience or education, & if at the end of 12 months is beyond hope of recovery, the insured receives a cash payment of. Tk. 100, 000

Benefit E

Benefit C Permanent partial disability The insured receives cash payment when accidental injuries result in any of the following losses:

Loss of both hands & feet . Tk. 75, 000 Loss of both eyesTk. 75, 000 Loss of one hand & feet. Tk. 75, 000 Loss of one hand & sight of one eyesTk. 75, 000 Loss of one feet & sight of one eyeTk. 75, 000 Loss of hearing in both earsTk. 75, 000 Loss of speech.Tk. 75, 000 Loss of either hand or feet...Tk. 37, 500 Loss of sight of either eye...Tk.37500 Loss of thumb & index fingersTk.18750

In-hospital daily income due to accident When as the result of accidental injuries the named insured shall be necessarily confined within a hospital as an in-patient under the continuous attendance of a physician, the company will pay daily benefit for each day of hospitalization up to 365 days.tk.100

Premium Total premium for 5 years by age

Age ..Premium 18-34yearstk. 1, 510 35-39yearstk. 1, 630 40-44yearstk. 1, 790 45-49yearstk. 2, 070 50-55yearstk.2550

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4.0 Special Features 24 hours worldwide coverage.

Worldwide claim service.

One single payment-no renewal billing.

Pays in addition to any other insurance coverage insured may have.

Non-cancelable for 5 years except in case of fraud, misrepresentation or nonpayment of premium 5.0 Conditions A bonus of 20% of the premium paid will be refunded at the expiry of the policy term, provide that no claims have been submitted

Coverage remains in effect even if you move away, change your job or become uninsurable due to health problems

1. This policy shall commence on the policy effective date & shall remain in effect for 5 years from said date. 2. This policy shall terminate at the earliest of -The expiration of the five years period -When any of the named insured attains 70 years ago

3. This policy may not be cancelled by the insured or by the company except in the case of fraud, misrepresentation or non-payment of premium 5. As soon as practicable after the happening of any event which could give rise to a claim under this Policy and in any case within one calendar month written notice thereof must be given to the company, but notice of death must be given forthwith and the company shall have the right to have a post mortem examination of the body. 4. The premium for this policy shall be considered fully earned by the company when collected.

6. Completed claim forms and written proof of loss must be furnished to the company within 90 days after the data of such loss. Failure to furnish such proof within the time required shall not invalidate nor reduce any claim if it was not possible to give proof within such time. However no proof will be accepted if furnished later than 1 year from the time the loss occurred.
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7. Death will not be presumed by reason of the disappearance of the named insured unless a competent authority issues a Certificate of Presumption of death, and only after 12 months have elapsed since the date of disappearance. 8. The company will not be bound to notice or be affected by any notice of any trust charge or alienation relating to the Policy but the receipt of the insured or legal personal reprehensive shall in any case effectually discharge the Company.

9. The due observance and fulfillment of the terms, conditions and endorsements of the policy will be a condition precedent to any liability of the company hereunder.

10. This Policy becomes effective only if countersigned by an authorized representative of the company. No waiver of alteration in any of the terms of this Policy or neither any of its conditions nor any endorsement thereon will be held valid unless the same is signed by an officer of the company. 11. Indemnity, if any, for loss of life of a Named Insured is payable to the Beneficiary for such Named Insured named in the Application provided such beneficiary survives the Named Insured by 30 days, otherwise to the estate of the Named Insured. All other indemnities of this Policy are payable to the Insured. Any payment made by the company in good faith pursuant to this condition, shall fully discharge the company to the extent of the payment.

12. The company, at its own expense, shall have the right and opportunity to examine a Named Insured when and as often as the company may reasonably require during the pendency of a claim hereunder, and also the right and opportunity to make any autopsy in case of death where it is not forbidden by law 13. No action at law or in equity shall be brought to recover on this Policy prior to the expiration of 60 days after written proof of loss has been furnished in accordance with the requirements of this Policy. No such action shall be brought after the expiration of 3 years after the time written proof of loss is required to be furnished.

14. This Policy and the application for it, together with any supplementary contract applied for which are attached hereto and stated to be apart hereof, constitute the entire contract. All statements made in applying for the contract will be deemed, in the absence of fraud, representation and not warranties. No statement will be used to invalid the contract or to defend against a claim under it unless contained in the written application.

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6.0 Exceptions

15. Age of the insured must be proved to the satisfaction of the Company before payment of any benefits under this policy. If the age of the insured has been misstated, any amount payable under thus policy shall be such as the premium paid would have purchased at the correct age.

This policy does not cover any loss or expense caused by or resulting from: 2. Assault or murder; nor

1. Intentionally self-inflicted injury, suicide or any attempt thereat while sane or insane; nor 3. War, invasion, act of foreign enemy, hostilities or warlike operations and all acts of similar nature, conspiracy, military or usurped power , or any weapon or instrument employing atomic fission or radioactive force weather in time of peace or war; nor 4. Any period a Named Insured is serving in the Armed forces of any country or international authority, whether in peace or war, and in such an event the Company, upon written notification by the Named Insured, shall return the pro-rata premium for any such period of service, nor 5. Any loss sustained while flying in any aircraft or device for aerial navigation; nor 6. Congenital anomalies and conditions arising out of or resulting there from; nor 7. Bacterial infections or any other kind of disease; nor 9. Any bodily injury which shall result in hernia; nor

8. Medical or surgical treatment except as may be necessary solely as a result of injury; nor 10. Stay in sanitariums for whatever reason and whatever treatment; nor

11. If the named insured is admitted to hospital for the treatment of drug addiction, alcoholism, acquired immune Deficiency Syndrome, any mental disorder or for cosmetic surgery.
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4.0.0 Economic Contribution of MetLife Alico Insurance Company Life insurance companies rated AAA in long-term belong to Extremely Strong Financial Security cohort. AAA is the highest Insurer Financial Strength Rating assigned by CRAB. The rating reflects the Companys strong competitive position, satisfactory profitability, operating efficiency, high quality of assets as well as sound liquidity position. The Company also has its strength in group support. On the other hand, principal concern of the Company is high lapse ratios. MetLife Alico is a leading global provider of insurance, annuities and employee benefit programs, with diverse clients of 90 million over 50 countries. The rating also reflects the competitive advantage of the company with its strong brand value. Rating also considers long presence of the Company in the local market with its strong distribution channels. MetLife Alico plays an important role in the economy of Bangladesh. The company invests its entire investible surplus locally, mostly in govt. securities, banks, thereby allowing usage of the progressively increasing fund in such public interests as infrastructure development, industrialization & employment generation. Besides, with nearly 4000 career agents & 230 dedicated employees MetLife Alico is a major employer in the country.

MetLife Alico has consistent growth in 1st year as well as renewal premium. Net premium of the Company grew by 27.4% in 2011 and reached BDT 14,608.7 million on the back of high renewal premium as well as moderate growth of 1st year premium. Renewal premium dominated the gross premium with an average of 74.3% of total and first year premium contributed the rest (25.7%). The Company maintained comparatively low cost structure against the allowable limit which reflects the operating efficiency of the Company. Operating efficiency and cost control along with satisfactory yield helped the Company to build a life fund of BDT 27,313.8 million at the end of 2011. Alico, Bangladesh follows standardized procedures for the settlement of claims. In 2011, total death claim reached BDT 577.5 million, among which BDT 334.3 million (57.9%) were paid during 2011. The death claim settlement ratio of the Company remained almost stable at 62.2%. It is also observed that major portion of the outstanding death claims were settled within one year. The company also settled maturity claims amounting BDT 3,322.1 million. Insurance company receives premiums from insured persons. These premiums increase national capitals. By investing these capitals, national productions increase. This company helps to expand the business by providing capital and reducing risk.

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Income taxes represent the net amount of income taxes that the company expects to pay to or receive from various taxing jurisdictions in connection with its operations. This company provides for federal, state and foreign income taxes currently payable, as well as those deferred due to temporary differences between the financial reporting and tax bases of assets and liabilities. This companys accounting for income taxes represents managements best estimate of various events and transactions. At the end of the current year net amount of income tax of this company is BDT 8, 69, 71, 000. Economic capital is an internally developed risk capital model, the purpose of which is to measure the risk in the business and to provide a basis upon which capital is deployed. In MetLife Alico Company the amount of economic capital is at the end of the year is BDT 20, 03, 27, 000.

This company directly helps to increase national income by developing business sector and create employment opportunities in our country. Thats why in this business organization there are lot of employment opportunity are created. At the end of the year there is the amount of paid salary and agent commission to employees is BDT 11, 02, 27, 000. 5.0.0 Social Contribution of MetLife Insurance Company The main objective of MetLife Alico is to provide maximum financial security to a person and families by giving modern insurance facilities. Its other objectives are to turn it into a profitable savings institution through payment of bonus at an attractive rate and enriched servicing and invest the accumulated small savings in the nation building various welfare and profitable projects.

MetLife Alico is always conscious about social responsibilities as an integral element of our corporate culture. As a part of our corporate social responsibility the company contributed over BDT 3218.4 million to non-profit organizations and BDT 35208 million in loans and investments for community development. Other corporate social responsibility includes campaign against drug abuse, human trafficking, tree plantation, vitamin A campaign, elusive use of narcotics etc. It has also extended its contribution and stood besides the victims of floods, cyclones and landslides.

The companys vigorous public health campaign, conducted through its agents was the largest such endeavor launched by a public or private entity. For nearly a half

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century, approximately 1 million policyholders all over the Bangladesh received free nursing care. At its peak of service in 1998, 35 out of 1, 000 policyholders were treated for illness such as diphtheria, influenza, smallpox and tuberculosis.

As part of social responsibility the company donated to the M/S. Future Bangladesh a training institute of self reliance of physical handicapped people and also helped a cancer attacked women for her treatment. The company also donated BDT 5 lac cheque in aid of the victims for Nimtoli fire accidents. The company also donated several tens of thousands of taka in cash donation for poverty and disaster relief. 6.0.0 Conclusion As a first multinational Insurance company in Bangladesh, MetLife Alico has completed more than 30 successful years in this country. Its efficient management team has made its proper progress in every step throughout these decades. All agencies are the core operational active places for their overall business. Three payment plan (3 P.P.) for Health Insurance policy of this company is the most important and attractive policy. Agencies are the intermediaries between the people and the company. In our country insurance business faces great problem due to inefficiency of the authority, lack of proper publicity, lack of appropriate industry as well. Insurance institution like MetLife Alico has put a great significance in the financial market as well as capital market. Besides this, it increases its investment year to year in financial market which is a positive sign in the market. It does some corporate social responsibility (CSR) as well for the needy people of this country. Like this many other organizations fulfill their duties & put their contribution in national income & thus make the financial market healthy. 7.0.0 Bibliography Report on MetLife Alico Internet sources

Annual report on MetLife Alico

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