NOOR TAKAFUL PLC PRODUCT DISCLOSURE SHEET FOR NOOR FLEXIP FAMILY TAKAFUL PLAN

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1 3 rd Floor Akintola Williams House, 235, Ikorodu Road, Ilupeju, Lagos. Mobile: 234(0) Website: NOOR TAKAFUL PLC PRODUCT DISCLOSURE SHEET FOR NOOR FLEXIP FAMILY TAKAFUL PLAN 1. What is this product about? This Plan offers a combination of takaful protection, savings and investment. Flexip is a long-term plan with in-built flexibility to cash out a fixed percentage at periodic intervals, thereby meeting the short-term objectives of the participant. The plan thus balances the long-term security and short-term liquidity objectives of today s participants. It is a living benefit Certificate that not only provides all year protection but also pays out steadily while the participant is still alive. 2. What are the covers/benefits provided? a) In the event of death of the participant during the takaful period, the Sum Covered plus accumulated amount in the Participant Investment Account (balance in PIA and profit) shall be payable to the participant s named Nominee(s). While during the takaful period, the participant can cash out a fixed percentage of the amount in PIA at three {3) equal interval of the takaful duration. b) Upon Maturity Balance in the PIA, inclusive of investment income from the PIA and distributable mortality surplus (if any) from the Participant Risk Fund (PRF) shall be payable to the Participant. c) Takaful Certificate Surrender - upon termination, Benefit Amount accumulated in the PIA, inclusive of investment income from the PIA after deducting the administration fee from the balance in Participant Investment Account, is payable upon the surrender of the Takaful Certificate. The standard flexible plan offers a flexible Certificate term from as low as 6 years up to 24 years with 3-tiered benefits. The first installment of 25% of balance in PIA is payable at the end of 1/3 rd of the chosen term. The next 25% is payable at the end of 2/3 rd of the term

2 while the balance in PIA together with all accumulated profit shall be paid at maturity. Riders that can be attached to this Plan Critical Illness Takaful This Plan provides protection against any of the specified critical illnesses within the terms of the Certificate i. Noor Immediate Death Expenses Takaful This Plan provides immediate financial assistance to the participant s beneficiaries in the event of the death of the participant ii. Noor Waiver of Instalments Takaful This Plan will waive all non out-standing instalments due under the Certificate in the event that the participant is diagnosed with any one of the critical illnesses as specified in the Certificate. iii. Noor Personal Accident Takaful This Plan provides protection against death and total permanent disability or partial permanent disability due to accidental causes as specified in the Certificate. 3. Features of the plan: Period of Takaful : Option to choose from 6 years (minimum duration), 9 years, 12 years, 15 years, 18 years and above, depending on the age-at-entry of the participant. Instalments amount : The Takaful Instalments depends on the participant s income/inflow subject to minimum monthly instalments of N5, Mode of payment : Monthly, quarterly, semi-annually or annually Partial Maturity The first installment of 25% of balance in PIA is payable at the end of 1/3 rd of the chosen term. The next 25% is payable at the end of 2/3 rd of the term while the balance in PIA together with all accumulated profit shall be paid at maturity. Sum covered : Is the outstanding instalments from the date of death of the participant to the maturity date of the Certificate. Death benefits : The sum covered, plus Savings (cash value) accumulated in the PIA and distributable mortality surplus (if any)

3 4. How much do I have to pay? The instalments that you have to pay depend on the participant s income/cash flow on a monthly basis. 5. What are the fees and charges that I have to pay? i. An Agency (Wakalah) Fee shall be payable to cover Admin Fee to Noor Takaful plus Commission to Agent or Broker ii. Stamp Duty Fee 6. What are the key terms and conditions that I should be aware of? i. Importance of disclosure you must disclose all material facts such as your age, occupation and health condition correctly. Takaful Operator has the right to repudiate liability in the event that you failed to disclose relevant information that would affect the decision to accept or reject the risk, and on the terms to be applied to you. ii. Assignment of Individual Certificate - As the Individual Certificate is issued, assignments of Certificate shall be allowed based on written instruction from the participant. iii. Investment profit arising from Takaful Fund, if any, shall be credited proportionately to the PIA & PRF respectively after deducting 10% profit sharing from the profit. However, the Company may at its discretion deduct less than 10% as profit from profit sharing. iv. Cooling-Off Period (Right of Cancellation) - Provided that a prior written notice is given by the Participant, within seven (7) days from the date of receipt of this Certificate, any Participant may return this Certificate to the Company and the Company shall cancel it immediately upon receipt of the document and refund the Takaful Instalments less any medical expenses incurred by the Company (if any). Once a Certificate is returned to the Company and cancelled by the Company, it shall be deemed not effective from the date of issuance. v. It is important for you to receive receipts and keep them as proof of payment of Takaful Instalments. vi. You are required to notify Noor Takaful of any claim or any event that may lead to a claim and such claim must be substantiated. vii. Noor Takaful shall respond promptly, issue a settlement offer and issue a settlement cheque within a reasonable time upon receipt of executed discharge voucher. 7. What are the major exclusions under this Certificate? i. Suicide If the Certificate owner or the participant, whether sane or insane commits suicide, this Certificate shall become void and Noor Takaful shall refund the balance from the PIA. ii. Death Due to sexually transmitted disease or where the life of the Certificate owner and/or participant or both were taken by operation of law or where the Certificate owner and/or participant or both died as a result of being

4 involved in unlawful and/or criminal acts. Noor Takaful Plc shall pay the balance from the PIA. Exclusion on Total Permanent Disability (TPD) This Certificate shall not cover any disability caused directly or indirectly, proximately or remotely occasioned by or contributed or traceable to or arising out of or in connection with the following occurrences: Self-inflicted injury or any attempt thereat while sane or insane; or Military or naval service in time of declared or undeclared war or while under orders for war like operations or restoration of public order; or entering, operating, servicing or descending from or with any aerial device or conveyance except while the Participant is in an aircraft operated by a commercial passenger airline on a regular scheduled passenger trip over its established passenger route; or If the Participant is found to be infected by any Human Immunodeficiency Virus (HIV) or Acquired Immune Deficiency Syndrome (AIDS) or other sexually transmitted diseases; or If the Participant is under the influence of alcohol or drugs other than in accordance with the direction of a registered medical practitioner; or If the Participant participates commits a criminal offence; or If the Participant is found to be involved in the act of terrorism where an act of terrorism shall mean an act, including but not limited to the use of force or violence and/or threat thereof, of any person or group(s) of persons, whether acting alone or on behalf of or in connection with any organization(s) or government(s) committed for political, religious, ideological or similar purposes including the intention to influence any government and/or to put the public, or any section of the public in fear This list is non-exhaustive. Please refer to the Certificate for the full list of exclusions. 8. Can I cancel my Certificate? If the Participant wishes to cancel this Certificate, a written notice, original Noor Flexip Family Takaful Plan Certificate shall be submitted to the Company. Balance in the PIA including investment returns from PIA subject to payment of Administration Fee will be payable to the Participant. 9. What do I need to do if there are changes in my contact details? It is important that you inform us of any changes in your contact details so that all correspondences reach you in a timely manner.

5 10. Where can I get further information? Should you require additional information on Family Takaful, please refer to info booklet on Family Takaful, available at all our head office, branches or you can obtain a copy from our Takaful agent and company website. 11. Special Takaful Clause The Takaful Instalments payable under this Certificate shall be subject to the Shariah principles and practices of Tabarru (donation), Al Mudharabah (profit sharing) and Al-Wakalah BilUjrah (agency fees) as follows: (i) The Participant shall agree that a proportionate share of the agreed Takaful Instalments is made as Tabarru (donation) to be credited into the Participant Risk Fund (PRF) for the purpose of solidarity and cooperation among the participants and the balance to be credited into the Participants Investment Account (PIA). (ii) The Takaful Instalments shown in the Schedule shall be credited into the Participant Investment Account (PIA) of the Family Takaful Fund after deducting certain percentages on a reducing basis (as stated below) of the Takaful Instalments as Wakala (Agency) Fee. The Participant shall agree whilst his participation is in force to allow the Takaful Operator to deduct from his PIA a certain sum by the Takaful Operator to be credited into the Participant Risk Fund (PRF) as tabarru (donation) for the Takaful Operator to pay takaful Sum Covered to the Participant who shall be entitled under the takaful contract subject to the terms and conditions expressed herein. The takaful Sum Covered shall be paid from the Participant Risk Fund (PRF). Year % same as year 3 above 5 same as year 3 above 6 same as year 3 above (iii) The Takaful Operator shall invest both the PIA and PRF in a manner deemed fit by the Takaful Operator subject to the approval of its Advisory Committee of Experts (ACE) and shall deduct 10% (ten percent) of the investment return in accordance with the principle of Mudarabah (Profit Sharing) and the balance shall be credited to the PIA and PRF respectively. (iv) The Takaful Operator shall deduct 20% (twenty percent) of the distributable mortality surplus of the Participant Risk Fund (PRF), if any in accordance with the principle of principle Jualah (Performance Fee); and in the same manner, the balance of 80% (eighty percent) shall be distributed to the Participant provided always that the Participant has not incurred any claim or received any Takaful benefits under the Certificate whilst it is in force. The said distributable mortality surplus will be

6 determined by independent Actuary and endorsed by the ACE of Noor Takaful. (v) The Takaful Operator shall manage both the PIA and PRF on behalf of the Participant based on the terms and conditions of the Takaful Certificate. (vi) The distributable mortality surplus arising from the PRF is not guaranteed and will be based on the Fund s actual experience and will first be applied to settle any loan (Qard) owing to the Takaful Operator. (vii) In case of deficit of the Participant Risk Fund (PRF), the Takaful Operator shall extend a benevolent loan (Qard) to the Family Takaful Fund and the money will be recovered by the Takaful Operator from the Participant Risk Fund (PRF) in the subsequent year(s). (viii) This Takaful does not cover and is not intended to cover Business, Assets, Property, Materials, Stock, Cash or any other Financial Instruments, and/or Liability or Pecuniary Interest whatsoever arising from such, of any nature, whether be it temporary or permanent, if at any time after the inception of the Certificate the Takaful Operator find such property not approved by the Takaful Operator s Advisory Committee of Experts and NAICOM Takaful Advisory Council. In any such case, the Takaful Operator shall reserve the right to cancel this Certificate and refund any instalments received in respect thereof. ix) It is hereby declared and agreed that in line with the Shariah principle, the following business or occupation or trade are not covered under this policy: Pork Business Buildings use for prostitution Business Alcoholic Business Casino and other gambling businesses Any other trade or occupation not approved by the Shariah IMPORTANT NOTICE: PARTICIPATING IN A FAMILY TAKAFUL PLAN IS A LONG TERM FINANCIAL COMMITMENT. YOU MUST CHOOSE THE TYPE OF PLAN THAT BEST SUITS YOUR PERSONAL NEEDS. YOU SHOULD READ AND UNDERSTAND THE TAKAFUL CERTIFICATE AND DISCUSS WITH THE AGENT OR CONTACT NOOR TAKAFUL DIRECTLY FOR MORE INFORMATION.