SESS is an insurance product that provides a unique opportunity for any Kazakhstani citizen to save enough money for their child to pay for vocational and higher education locally or abroad. Thus, by concluding an endowment contract within the SESS framework, parents will be able to accumulate funds for their children’s education, plus they will receive a state premium of 5%, and parents with many children - 7% per annum on the amount of accumulation.
“SESS is the first and unique insurance product with a state subsidy in the Kazakhstani market today. And we are glad to be the first to obtain a license and be able to offer this product to our customers in the near future. We all know that education is considered one of the most important investments in the child’s future success, therefore, it is important for parents to carefully choose the most high-quality and promising financial instruments for saving. SESS is the new financial instrument that will compete with bank deposits, since it guarantees to pay the full education cost in case of death or disability of one of the parents, regardless of the accumulated amount,” pointed out Zhanar Zhubaniyazova, the Chairman of the Board.
Life insurance within the SESS framework as a tool for long-term accumulation of funds, has a number of significant advantages. Thus, the rate of return on the product is guaranteed for the entire duration of the insurance contract, the guarantee by the Insurance Payments Guarantee Fund will cover the full accumulated amount, and most importantly, in the event of a parent's disability or death, the full cost of education will be paid regardless of the accumulated amount. In addition, the SESS clients will have the opportunity to save on taxes: to reduce taxable income by the amount of insurance premiums (up to 320 MCI per calendar year). The term and amount of insurance premiums are not limited. And also, if the child receives an educational grant, it will be possible to withdraw such savings or reissue a policy for another child.
Photos are from open sources.