GSIS allots P893M in dividends last year

The Government Service Insurance System (GSIS) has allotted P893 million as cash dividends last year to be given to its eligible members after the system again recorded earnings from its life insurance fund in 2008.

“This is a result of the reforms we have initiated which required the prudent management of GSIS funds, in line with the vision of President Arroyo,” GSIS president Winston Garcia said.

The earnings in life insurance are principally derived from two sources: investment income and mortality gains or savings.

All active members including the members of the Judiciary and constitutional offices whose life insurance coverage have been in force for at least one year as of Dec. 31, 2008 and are still active as of the declaration date are entitled to 2009 GSIS cash dividends.

In addition, active members issued with Life Endowment Policy (LEP) or with new or converted Enhanced Life Policy (ELP) will be entitled to cash dividends provided their policies have been in force for at least one year as of Dec. 31.

Active members whose LEP matured after Dec. 31, 2008 and who were issued a renewal policy under the ELP will also be entitled to the 2009 cash dividends based on their LEP. Active members who opted to convert their LEP to ELP after Dec. 31, 2008 will also be entitled based on their LEP.

On the other hand, those with lapsed policies in calendar year 2008 up to the declaration date are not entitled to receive the 2009 GSIS cash dividends.

In addition, those with terminated policies due to retirement, maturity, and separation in calendar year 2008 up to the declaration date and active members who have defaulted in their Consoloans and salary loans for at least 12 months and/or have unpaid premiums for at least 12 months as of declaration date will not receive the dividends.

The 2009 GSIS cash dividends were disbursed through the savings account of the members’ eCard Plus. –Daily Tribune