Policy Charge Clause Samples
The Policy Charge clause defines the fees or premiums that must be paid by the policyholder to maintain coverage under an insurance policy. It typically outlines the amount, frequency, and method of payment required, and may specify consequences for late or missed payments, such as policy suspension or cancellation. This clause ensures that both parties are clear on the financial obligations involved, thereby preventing disputes and ensuring the insurer receives timely compensation for the risk assumed.
Policy Charge. While the policy is in force, We will deduct a policy charge via unit deduction from the initial account value and additional account value of each Top-up (if applicable). Policy charge will be calculated separately for the initial account value and the Additional account value of each Top-up. The policy charge is equivalent to a percentage of the initial account value and additional account value of each Top-up. Please refer to the table below detailing the policy charge. 1 2.30% 2 2.30% 3 2.30% 4 2.30% 5 2.30% 6 and above 1.00% Policy charge will be deducted before the representative management charge. Deduction from the initial account value starts on the Policy commencement date and subsequently on the same date of every month as Your Policy commencement date. Deduction from the Additional account value of each Top-up starts on the Top-up effective date and subsequently on the same date of every month as Your respective Top-up effective date. If this date is not available in the month, deduction will occur on the following day. If there are any pending transactions, We may defer the deduction of the policy charge until the transaction is completed and We will use the unit price as of the next valuation day. We reserve the right to revise the policy charge any time at our discretion by giving You thirty (30) days’ written notice.
Policy Charge. Policy charge is payable throughout the policy term. We will impose the policy charge through cancellation of units starting once the policy commences and the next day after the policy monthiversary for subsequent deductions. The monthly policy charge is calculated as below: Policy charge = 0.80% p.a. / 12 X Account value If there are any pending transactions, We may defer the deduction of the policy charge until the transaction is completed and We will use the unit price as of the next Valuation day. We will continue to deduct the policy charge even if You miss paying any regular Premium. We reserve the right to revise the policy charge by giving You thirty (30) days’ written notice.
Policy Charge. Policy charge is payable throughout the policy term. We will impose the policy charge through cancellation of units from the Regular Premium Account starting once the Policy commences and the next day after the Policy monthiversary for subsequent deductions. The monthly policy charge is calculated as below: Monthly policy charge = (Policy charge percentage / 12) X annualised regular Premium at Policy issue date X [lower of (Policy year and selected premium payment term)] Please refer to the table below for the policy charge percentage. Policy year Policy charge percentage
Policy Charge