Title
GSIS Interest, Penalty, Endowment, Carer's Allowance
Law
Gsis No. 17
Decision Date
Feb 16, 2005
GSIS Resolution No. 17 establishes a 10% annual interest and 0.5% monthly penalty on outstanding loan balances post-maturity, outlines the computation of endowment policy maturity values, and confirms the cessation of Carer's Allowance for new PTD benefit qualifiers while maintaining payments for existing recipients.
A

Computation of Maturity Value of Endowment Policies

  • The maturity value of an endowment life insurance policy is calculated strictly as of the policy’s maturity date.
  • Any outstanding policy loans are to be computed immediately at the time of policy maturity.
  • The total outstanding policy loan amount must be deducted or applied against the maturity value at maturity, not afterward.
  • This ensures that the final payout properly reflects any outstanding liabilities under the policy at maturity.

Stoppage of the Grant of Carer's Allowance

  • Effective November 2003, the grant of Carer’s Allowance was stopped for individuals who became qualified for Permanent Total Disability (PTD) benefits.
  • Those who were already receiving Carer’s Allowance before this stoppage date continue to receive the allowance without interruption.
  • This policy aims to clarify eligibility and ensure proper allocation of benefits among qualified recipients.

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