Rizal Philippines
June 23, 2017
We are on final stages of having actuarial studies a non traditional plan which is UNIT + Plans. These are to be sold in units of P10,000 each to match various funeral services
The minimum number of plans to be sold to break even for the plan seller is 3 units (P30,000)
Then we have to IC for product plan approval.
The features of the product (internal and financial perspective)
(
1. Unit Price one unit 3 units
Unit Price P10,000 Total P30,000 Total
Annual 2,000 10,000 6,000 30,000
Semi Annual 1,060 10,300 3,180 31,800
Quarterly 562 11,240 1,686 33,720
Monthly 199 11,940 597 35,870
2. Trust Fund Contribution
Year 1 2 3 4 5 Total
TFC 10.00 60.66 60.66 60.66 60.66 50.53
Com 40.00 10.00 ----- ---- ---- 10.00
ME 3 3 3 3 3 3.00
Admin 20.00 10.00 10.00 10.00 10.00 12.00
Insurance 0.8 0.8 0.8 0.8 0.8 4.00
Vat 1.2 1.2 1.2 1.2 1.2 1.2 6.00
ST 85.53
Liquidity fund 14.47
Shall used for liquidity, other investments and other expenses (to pay extra the mortuary, to make investments in memorial products of other companies)
3. Matching the funeral product services with the unit plans
The catalogue of services shall be provided the sellers. Based on what the customers want, using only one product, the prospect shall select the number of units he/she needs; The number of units shall match the product or service selected at the servicing mortuary (or in house chapel memorial service)
2. Funeral Services
Unit Plans #Units Matching Package
Wood - P30,000 3 Whtie Rose 37,500
40,000 4 Gladioli 50,000
50,000 5 Gladioli 62,500
Metal
60,000 6 Peace Lily 75,000
90,000 9 Carnation 112,500
120, 000 12 Chrysanthemum 150,000
3. High end
150,000 15 Lotus 187,500
200,000 20 Gold Orchid 250,000
300,000 30 Saffron 375,000
500,000 50 Bouquet 625,000
Interment Service
12,000 1 Econo 14,900
23,000 2 De Luxe 26,000
26, 000 3 Luxury 30,000
Cremation
30,000 3 units Direct Crem 35,000
50,000 5 units With Service 62,500
after cremation
60,000 6 units With service 75,000
before cremation
N. B.
One unit is a loss product
There is profit on 3 units as listed
4 Product benefits and advantages
1. Insurance protection during the paying period: term life and personal accident
2. Flexible: only one product a unit plan to cover 16 product lines; not fixed to any particular plan but to the peso value of the plan
3 Liquid can be withdrawn any time especially past the paying period (on the 6th year)
4 With increments - depending on the trust fund earnings the plan holder will participate get a share of additional earnings of the trust fund.
Interment Service
12,000 1 Econo 14,900
23,000 2 De Luxe 26,000
26, 000 3 Luxury 30,000
Cremation
30,000 3 units Direct Crem 35,000
50,000 5 units With Service 62,500
after cremation
60,000 6 units With service 75,000
before cremation
N. B.
One unit is a loss product
There is profit on 3 units as listed
4 Product benefits and advantages
1. Insurance protection during the paying period: term life and personal accident
2. Flexible: only one product a unit plan to cover 16 product lines; not fixed to any particular plan but to the peso value of the plan
3 Liquid can be withdrawn any time especially past the paying period (on the 6th year)
4 With increments - depending on the trust fund earnings the plan holder will participate get a share of additional earnings of the trust fund.
