Citizen Savings Growth Plan for Fund Accumulation and Insurance Protection

14th December 2025, Kathmandu

The Citizen Savings Growth Plan is a meticulously designed Universal Life Insurance Plan engineered to fulfill the dual objectives of systematic long-term savings accumulation and robust life insurance protection.

Citizen Savings Growth Plan

This plan offers policyholders the assurance of lifetime coverage, contingent upon the regular payment of required premiums, while building an Account Value component that increases steadily over the duration of the policy.

Saving plans of this nature are highly preferred financial instruments for individuals dedicated to long-term financial planning. They offer a unique combination of financial security, future-oriented benefits, and critical life coverage, securing the economic well-being of the policyholder’s family against unforeseen circumstances.

Key Eligibility and Premium Detail

The plan is structured with flexible eligibility criteria and premium payment options to suit a broad range of applicants.

Eligibility and Term: The plan has a minimum entry age of 18 years and a maximum entry age of 55 years. The policy term can be selected from a minimum of 10 years up to a maximum of 20 years, provided the policy does not extend beyond the maturity age of 70 years.

Premium Payment Options: The plan offers two main payment structures. For the Regular Pay option, the minimum premium required is 12,000 Nepalese Rupees. For the Single Pay option, where the entire premium is paid upfront at commencement, the minimum is 30,000 Nepalese Rupees. All final premium amounts are determined according to the company’s specific underwriting guidelines, primarily based on the income eligibility of the Life Assured.

Sum Assured: The minimum Sum Assured under the Regular Pay option is 120,000 Nepalese Rupees, while the Single Pay option has a minimum Sum Assured of 37,500 Nepalese Rupees. The precise Sum Assured is also finalized based on underwriting and income guidelines.

Premium Paying Term and Modes: The premium paying term can be a single premium payment or equal to the entire policy term. Premiums can be paid in various modes: Single, Yearly, Half-yearly, Quarterly, or Monthly, providing high flexibility to the policyholder.

Benefit Structure and Payouts

The Citizen Savings Growth Plan provides structured payouts for both survival and death, along with a unique loyalty reward mechanism.

Maturity Benefit: If the Life Assured survives until the completion of the policy term, the entire Account Value accumulated on the maturity date will be payable, subject to the policy’s overall terms and conditions.

Death Benefit: Should the Life Assured pass away before the policy reaches maturity, the benefit payable to the nominee or legal heir will be the higher of the Sum Assured or the Account Value on the date of death. This provision ensures a substantial payout, offering greater financial security to the family.

Advertisement

Loyalty Reward: A unique feature of the plan is the Loyalty Reward offered at the end of the policy term, provided all due premiums have been consistently paid. This reward is a guaranteed 3 percent of the Account Value and is calculated based on the average Account Value of the last 60 months of the policy. This reward is added to the Account Value at maturity and is paid as part of the overall maturity benefit.

Beneficiary Entitlement: Policy benefits are payable to the Life Assured if they are alive at maturity, or to the nominated person upon death. If the nominee is deceased, the benefits are payable to the legal heirs as determined under Section 127, Subsection 2 of the Insurance Act, 2079.

Loan Facility and Surrender Value

The plan incorporates liquidity features, allowing policyholders to access funds when needed.

Policy Loan: A loan facility becomes available once the policy acquires a surrender value. The maximum loan amount available is 90 percent of the surrender value, with a minimum loan amount set at 1,000 Nepalese Rupees. The interest rate on the loan is determined by the Company, and the policy will be terminated if the surrender value drops below the loan balance plus accrued interest.

Surrender Value Eligibility: For Regular Premium Policies, a surrender value is acquired only after the payment of premiums for three full years and the completion of three policy anniversaries. For Single Premium Policies, the surrender value is available after the completion of three policy anniversaries.

Risk Coverage and Disability Riders

The plan includes monthly risk coverage deductions from the Account Value. If the Account Value becomes insufficient to cover the insurance costs, the policy will automatically lapse. The plan also offers comprehensive riders for accidental death and disability.

Accidental Death Benefit (ADB): If death results from an accident within 183 days, the ADB Sum Assured is paid, along with the higher of the Sum Assured or Account Value.

Permanent Total Disability (PTD): If total and permanent disability occurs within 365 days of an accident, the PTD Sum Assured plus the Account Value on the date of the accident is paid, and the policy’s risk coverage ceases. Qualifying losses are clearly defined and include the total loss of sight of both eyes, the loss of any two limbs (hand or foot), or the loss of one limb and sight of one eye. The maximum payable amount is capped at the Sum Assured.

Permanent Partial Disability (PPD): PPD must occur within 120 days of the accident, with payouts ranging from 3 percent for the amputation of one toe to 50 percent for the loss of one arm or hand. The maximum PPD payout is capped at 50 percent of the Sum Assured, and following a PPD claim, ADB and PTD coverage ceases, but the basic life coverage remains active.

Exclusions and Policy Conditions

The insurer’s liability is limited to the Account Value only in specific exclusion cases, such as death during unauthorized air travel, war or terrorism, criminal activity, suicide within two years of policy start or revival, and pre-existing conditions. There are no general restrictions on foreign travel or occupation, provided the listed exclusions are not violated.

For More: Citizen Savings Growth Plan