Founding Affidavit and Annexures

Provisions of the existing Burial Benefit Regulations ("BBR") and the Thari Ya Baruti Regulations ("TYBR") 1 of 11 2. Background The BBR are issued in terms of the Master Regulations and regulate the Burial Benefits provided by the Trust. The TYBR are issed in terms of the Master Regulations and regulate Committee Member,Youth Committee Member and Moria Staff MemberBenefits. (a) 3. Commencement The BBR and TYBR shall commence on 1 April 2021 and replaces the BBRs previously issued by the Trust 4. Determination of burial benefit and Additional Burial Benefit The Trust shall determine the benefits payable and the Trust shall determine the Additional Burial Benefit from time to time (b) Member in good standing receives R27,000 + an amount equual to 50% of the benefit; and Dependent of a Member in Good Standing or a Paid-up Dependent who was on Date of Death: i) between 14 and 24 years old (inclusive) - R27,000 + an amount equual to 50% of the benefit; (ii) between 6 and 13 years old (inclusive) - R13,000 + an amount equual to 50% of the benefit; (iii) between 1 and 5 years old (inclusive) - R9,500 + an amount equual to 50% of the benefit; (iv) between date of birth and 1 year old (inclusive) - R5,200 + an amount equual to 50% of the benefit; and (v) Stillbirth of a Member in Good Standing - R3,500 + an amount equual to 50% of the benefit. Burial Benefits shall at all times comply with the Financial Sector Charter and the Zimele standards published by the Association for Savings and Investments South Africa 5. and 6. Payment of Burial Benefits and 5. and 6. Payment of Committee Member, Youth Committee and Moria Staff Member Benefits (TYBR) The Trust shall pay the benefits to the Members or Beneficiaries on the Death of the Assured Life once the claimhas been approved by the Trust and provided that the Member is a Member in Good Standing. The liability of the Trust shall be limited to the payment of Burial Benefit. 5 (TYBR). The Trust undertakes to provide to the Committee Member, Youth Committee Member and the Moria Staff Member the Additional Burial Benefit in accordance with the Provisions of the BBR. (c) No person shall have a claimexcept for: (i) a Beneficiary on death of a Member in Good Standing; (ii) a Member in Good Standing on Death of a Dependent; (iii) a Member in Good Standing in respect of a Stillbirth of a Member in Good Standing; and (iv) a Beneficiary on the death of a Paid-up Dependent. 6 (TYBR). No other person shall have accessto an Additional Burial Benefit save for: (i) a Committee Member, Youth Committee Memberor Moria Staff Member. (ii) The liability of the Trust shall be limited to the payment of the Additiona Burial Benefit. Personal information Not dealt with in the BBR. (d) Cover Cessation of cover not dealt with in the BBR (e) Premiums Determination of Contributions not dealt with in the BBR. (f) 1.1.3. Assured Lives Includes a (i) Member in Good Standing; (ii) a Dependent who predeceases a Member in Good Standing; (iii) Stillbirth by a Member in Good Standing; and (iv) a Paid-up Dependent Nomination of a Beneficiary Not dealt with in the BBR. Policy documents Not dealt with in the BBR. Part 1 - 9.2. Premiums SDM shall be entitled to review and change the premiums and additional premiums at least on an annual basis in line with the Policyholder Protection Rules, subject to any Applicable Laws. SDM shall review the Premiums adn Additional Premiums and Additional Premiums at any time if there are reasonably actuarial grounds to do so,or where the review is required in the interest of the Policyholder. SDM reserves the right to review and change the Premium adn Additional Premium at any time upon the occurrence of any of the following events: (i) the Membership Contributions change; and/or (ii) the claims ratio exceeds 80% in respect of all Policyholders SDM shall, following the outcome of the review, be entitled to change the Premium and Additional Premium with effect from the date as specified by the Insurer, by giving 31 (thirty one) days prior written notice to the Policyholder, subject at all times to the Applicable Laws. Part 1 - 6.1.10 and 12 Assured Lives Part 1 - 6.1.10 - For purposes of the Funeral Policy (i) the Policyholder, and (ii) all children of the Policyholder who qualify as Dependent Children of the Policyholder,and includes Paid- up Dependants, who are indicated in the Payment Receipt Booklet, in respect of whom SDM will provide cover in terms of the Thari ya Baruti Funeral Policy and iii) Stillbirths in respect of the Policyholders A Dependant shall be the following persons indicated on the Payment Receipt Booklet as Dependant Children: (i) a child born to the Policyholder; (ii) a legally adopted child of the Policyholder; (iii) a child adopted by custom by the Policyholder (provided that both natural parents are deceased). This does however, exclude (i) a child who survives the policyholder and is not a Paid-up Dependent; (ii) a child of a Dependant Child of the Policyholder (i.e. grandchildren); and (iii) children over the age of 25 (unless this child is permanently dependant on the Policyholder by virtue of mental illness or physical disability which occurred whilst the person qualified as a Dependant and provided that at least one Premium was paid by the Trust in respect of the Policyholder prior to the date the child would otherwise cease to qualify as a Dependant Child and thereafter Premiums were paid in respect of the Policyholder in each ensuing Month). Part 1 - New-born children born to the Policyholder and children adopted by the Policyholder must be indicated in the Payment Receipt Booklet within 6 Months after the date of birth or adoption as the case may be. A child of a Policyholder (who is the father) shall not be a Dependent Child of the Policyholder unless (i) the natural mother is deceased or is not a Memberof the ZCC, or (ii) the Policyholder is the legal guardian of such a child. The Policyholder shall provide all such documentary and other evidence,as may be required by SDM from time to time, to establish whether a child qualifies as a Dependent Child for purposes of the TYB Contract. Part 2 - 5. Nomination of a Beneficiary Nominated by inserting the names in the MPP Form, which nomination can be changed or withdrawn by the Policyholder (by completing an AMPP form or contacting a call centre as provided for in the Policy) at any time before a TYB Funeral Benefit is paid. Nomination will automatically cancel if the Beneficiary predeceases the policyholder or dies simultaneously with the policyholder. The nomination of a Beneficiary will not confer any rights on the Beneficiary until such time as a TYB Funeral Benefit becomes payable. If the Policyholder fails (i) to nominate a Beneficiary or (ii) if such Beneficiary: (i) was not validly appointed; (ii) is under the age of 18 at the date of the Insured Event or otherwise legally disqualified; (iii) is deceased; (iv) cannot be identified with reasonable certainty; (v) is indisposed or unreachable; and (vi) is not considered to be a suitable person by the Policyholder's Church Branch or the Trust, then the benefits will be payable to the such a person as recommended by the Policyholder's Church Branch and/or the Kganya Benefits Fund Trust and finally determined by the Insurer after considering all such information as the Insurer may determine to be necessary for purposes of such payment. Upon the death of the Policyholder, the Beneficiary can no longer be changed. Review of Changes to the Burial / Funeral Benefits of the Kganya Benefits Fund Trust *To the extent any differences between the provisions of the existing Burial Benefit Regulations and the proposed Thari Ya Baruti Pukwana ya Kganya Contracts have been identified that do not adversely affect the rights of the members to the Kganya Benefits Fund Trust, such changes have been marked in orange in the corresponding cells below. ** To the extent any differencesbetween the provisions of the existing Burial Benefit Regulations and the proposed Thari Ya Baruti Pukwana ya Kganya Contracts have been identified that do adversely affect the rights of the members to the Kganya Benefits Fund Trust, such changes have been marked in red in the corresponding cells below. *** Material differences or changes indicated in red shading shall be accompanied by a letter referencing the material difference or change in the left most column of the table and the corresponding letter referencing such material difference or change will be accompanied by an explanation for the material difference or change. **** Capitalised terms used in this comparison shall have the meaning ascribed to them in the documents considered in this comparison, unless indicated otherwise Reasons for material differences a) The reason for this specific change is due to the fact that due to the promulgation of the Insurance Act 18 of 2017, the funeral benefits could no longer be provided under group insurance policies in the current scheme and must rather be provided through individual insurance policies issued to each member. Therefore, whereas the BBRs constitute the regulations detailing the trust benefits,and which trust benefits are underwritten in terms of separate group policies entered into between the Trust and SDM with the Trust as the policyholder entitled to the insurance benefits, the TYB Contract provides insurance benefits to the members as policyholders. b) The reason for this change is due to the fact that the relevant insurance laws specifically require that the insurer must determine the insurance benefit payable, unless it has entered into a binder agreement (as prescribed) with another person to perform this exact function as a binder holder. Note that the relationship agreement requires continued cooperation between SDM, the Trust, the ZCC and KIA. c) The BBR imposes a waiting period in respect of death occurring due to natural causes (i.e. not an accident) in that the date of death must be 91 days from payment of the initial Membership Contribution. The waiting period of 91 days has been included in the TYB Contract, but provision have been made for reduced waiting periods to apply, per Rule 2A of the Policyholder Protection Rules. The waiting period is therefore i) not a new inclusion and ii) aligned with the applicable laws. d) The reason for this change is to ensure compliance by the Trust and SDM with the Protection of Personal Information Act 4 of 2013 but to further allow SDM to provide the Benefits under the structure of the new scheme. e) Under the BBRs,a Member's access to vested trust benefits against the Trust was dependent on such Member qualifying as Members in terms of the Trust and further qualifying for trust benefits in terms of the relevant benefit regulations,which included qualifying as a Member in Good Standing (determined, broadly speaking, with reference to periodic and contiguous payment of contributions). Therefore,access such vested trust benefits would cease where these requirements were not met. The same principles remain applicable in respect of some vested benefits. In respect of the vested trust benefits which will become insurance benefits under individual policies pursuant to the amended insurance scheme, the terms of the policy will need to comply with the Policyholder Protection Rules and the termination provisions in the TYB Contract (in addition to the requirements giving effect to previous grounds of termination of vested rights), now makes provision for that alignment. However, it should be noted that the instances in which cover will cease are similar to those provided for under the existing trust regime and further that the policy will never lapse despite the cessation of cover (i.e. cover can be reinstated once the relevant requirements are met). It is key to note here that SDM is now entitled to terminate the policy where the Trust was not previously able to do so. This is however, standard wording for insurance policies and such cancellation is (due to recent case law) still subject to it being inline with public policy. (f) SDM has the right to determine premiums as underwriter. Note that the relationship agreement requires continued cooperation between SDM, the Trust, the ZCC and KIA. Provisions of the Thari Ya Baruti Pukwana Ya Kganya Contract ("TYB Contract") Part 1 - 2. and 3. Background / Introduction The TYB Contract is issued by Sanlam Development Markets Limited ("SDM"). The TYB Contract comprises (i) the Thari ya Baruti Funeral Policy; and (ii) the Thari ya Baruti Dread Disease and Personal Accident Policy. The T&Cs as set out Part I and Part IV, apply to the TYB Funeral Policy, and the TYB Dread Disease and Personal Accident Policy in respect of all Members who acquired membership to the Kganya Benefits Fund Trust before the Effective Date ("Existing Member"). In respect of such Existing Members, the terms and conditions as set out in this Part I and Part IV must be read with –the TYB Funeral Policy contained in Part II; and the TYB Dread Disease and Personal Accident Policy contained in Part III, The provisions of Part IV do not apply to new Members. Part 1 - Introduction 3.1 The Trust procured access to this TYB Contract forall Church Officials who are Members who satisfy the requirements for Membership to the Trust. 3.2 The Church Officials as Members are entitled, in addition to the Funeral Benefits and the Dread Disease and Personal Accident Benefits, to the Additional Funeral Benefits and the Additional Personal Accident Benefits,against payment of the Additional Premiums payable by the Trust as set out in this TYB Contract. 3.5 The Thari ya Baruti Funeral Policy and the Thari ya Baruti Dread Disease and Personal Accident Policy constitute two separate and divisible insurance policies, which are offered as part of a Member's Membership to the Trust in terms of this TYB Contract Part 1 - 7.2. Commencement Subject to the provisions of of Part IV as it relates to insurance cover for Existing Members, insurance relating to the TYB Contract commences with the amendment to the Trust Deed, providing Members with access to the TYB Contract as a vested right, but on the date the Memberaccepts the offer for insurance cover pursuant to: (i) the payment of the initial Membership Contribution, or (ii) completion of the MPP Form, and purchasing a Membership Book. Part 1 - 8.1, and 8.4 Determination of burial benefit SDM shall determine the Benefits payable. SDM shall at all times be entitled to amend the Benefits,by way of 31 days' written notice to the policyholder. Part 1 - 3.7, 6.1.20 and 6.1.40 and Part 2 - 2.1 and Annexe B. Determination of burial benefit Part 1 - 3.7 - The Benefits provided in terms of the Thari ya Baruti Funeral Policy shall at all times comply with the Financial Sector Charter, to the extent applicable. Part 1 - 6.1.20 and 6.1.40 - Payable on date of death of an Assured Life on the occurrence of an Insured Event. Part 2 - 2.1 The benefits payable are subject to the maximum amounts payable as prescribed by law. Annexe B - Policyholder - R40500; and Dependent of a Member in Good Standing or a Paid-up Dependent who was on Date of Death: i) between 14 and 24 years old (inclusive) - R27,000; (ii) between 6 and 13 years old (inclusive) - R13,000; (iii) between 1 and 5 years old (inclusive) - R9,500; (iv) between date of birth and 1 year old (inclusive) - R5,200; and (v) Stillbirth - R3,500. Part 1 - 6.1.20 and 6.1.40 and Part 2 - 2.2. Payment of Benefits Part 1 - 6.1.20 and 6.1.40 -Payable on date of death of an Assured Life on the occurrence of an Insured Event. Part 2 - 2.2 - The Thari ya Baruti Funeral Benefits are paid directly by SDM to the policyholders (in the event of the death of a Dependant Child as an Assured Life or upon the happening of a Stillbirth) or the nominated Beneficiary (the event of the death of a Policyholder or a Paid-up Dependant) once the claimhas been approved by SDM. Part 1 - 8.2. and 8.3 - Payment of Benefits Part 1 - 8.2. - In order to qualify for payment of the Benefits, the Premiums and the Additional Premiums must be paid in respect of the Policies, subject at all times to the Waiting Periods that may be applicable. Part 1 - 8.3 - SDM shall not allow any deductions from the benefit payable. Part 2 - 3. Waiting Period Benefit payments are subject to a waiting period of 91 days, calculated from the Inception Date, which will not apply in instances where: (i) an Insured Event occurs as a result of an Accident; (ii) the policyholder confirms that the policyholder and all Assured Lives were covered in terms of another funeral policy that had lapsed or had been terminated or cancelled with another insurer, which previous policy was in force at least 31 days before the Inception Date; (iii) the policyholder confirms that the previous policy provided cover for similar risks covered in terms of this Thari ya Baruti Funeral Policy and for the same Assured Lives; and (iv) the previous policy imposed a Waiting Period shorter than 91 (ninety-one days), which had been completed in full; or (v) the previous policy imposed a Waiting Period of 91 (ninety-one) days or longer, of which 91 (ninety-one) days had been completed. No Thari ya Baruti Funeral Benefit will be paid in the event that the Insured Event occurs within the Waiting Period. The Waiting Period can be reduced if the 91 day period of the previous policy had not been completed and risk covered under that previous policy were the same. To the extent that (i) the Policyholder does not give such confirmation,or (ii) SDM cannot verify the correctness of such confirmation, then a Waiting Period of 91 (ninety one) days will be applied. In order for SDM to reduce the Waiting Period and/or for the Waiting Period not to apply, the Policyholder must provide confirmation of the previous policy, in the form and manner as the Insurer may request. To the extent that (i) the Policyholder does not give such confirmation,or (ii) the Insurer cannot verify the correctness of such confirmation, then a Waiting Period of 91 (ninety one) days will be applied. Confirmation for the previous policy is considered by SDM to be material to the assessment of the risk in terms of this Policy. Part 1 - 4. and 15. Personal information The policyholders have consented to their personal information being shared with SDM (or its duly appointed administrator) by the Trust (or its duly appointed administrator)and for SDM to share such information with a third party that assists SDM in providing the Benefits. The Member (as Policyholder) will not be required to complete separate documents for insurance purposes. The Member agrees that the information completed by the Memberas part of Membership, may be used by the Insurer for purposes of this TYB Pukwana ya Kganya Contract SDM will only retain such information for as long as it is needed and will at all times comply with the relevant data protection legislation. Part 2. - 8. Cover Cover shall cease when: (i) the TYB Contract is cancelled; (ii) the policyholder ceases to be a member of the Trust; (iii) the last Assured Life dies; and (iv) the Trust fails to pay Premiums and Additional Premiums for an Assured Life as a result of the Policyholder's failure to pay his/her Membership Contribution, subject at all times to the Forgiveness Rules. Part 1 - 5. Policy documents The TYB Contract and the Policy Schedule will form part of the Membership Terms and Conditions Booklet, despite it constituting a separate agreement between the Policyholder and SDM. All notices and disclosures to be distributed by the Insurer in terms of the Applicable Laws shall be supplied by the Insurer or its duly appointed administrator, being Kganya Insurance Administrators, to the Policyholder through the Church Branches affiliated with the ZCC, or such other means of communication as may be appropriate in the circumstances. Part 1 - 3.1, 3.2., 3.3 and 3.4 and 9.1. Premiums Part 1 - 3.1.,3.2., 3.3 and 3.4. - The Trust (as the premium payer) merely pays the premiums and additional premiums on behalf of the policyholders to SDM, which premium and additional premium is made pursuant to the vested right of a Member against the Trust for the payment of such Premium. The Trust will not pay premiums and additional premiums if the Policyholder (as Member) fails to pay their Membership Contribution to the Trust pursuant to their Membership. Part 1 - 9.1. Premiums and Additional Premiums are paid in terms of a separate premium payment agreement. Premiums and Additional Premiums are paid only if the policyholder is a Member that pays its Membership Contribution. If the Membership Contributions are not paid, the Trust will not be obliged to pay the premiums and additional premiums will not be paid until Membership Contributions are paid again. Premiums are due and payable in full, and are due monthly in advance. In the event that any of the above conditions are not met, the Trust shall not be obliged, and shall no longer pay, the Additional Premiums and Premiums to SDM in respect of the Policyholder,until such time as the Policyholder resumes payment of his/her Membership Contributions to the Trust,as provided for in the Master Regulations, read with the Enhanced Benefits Regulations. Payment of Premiums and the Additional Premiums shall at all times be made in accordance with, and subject to, the terms of the Premium Payment Agreement, which Premium Payment Agreement can be made available on request. Payment of the Premiums by the Trust does not entitle the Trust to any rights in terms of the TYB Contract nor entitle it to any Benefits.