PERSONAL ACCIDENT LITE (PAL) PLAN

Dear Colleague,

In line with STU’s direction of providing everyone the best possible benefits for the year, we are happy to inform you that STU has worked with American Home Assurance Company, Singapore, a member company of American International Group Inc. (AIG) to provide you with a new and enhanced insurance protection program, Personal Accident Lite (PAL) Plan with effect from 1 April 2007. This new STU PAL Plan will replace the current STU Personal Accident Scheme (STUPAS).

The STU PAL Plan has been designed to supplement your other insurance coverage and provide you with the opportunity to extend this coverage to your family as well. The premiums offered by AIG are attractive and competitive. However, please note that this is an ‘opt-in’ plan where you may sign up by choosing either one of the following options.

If you wish to enrol onto the STU PAL Plan, please complete and return the attached [1] Application Form, [2] Product Summary and [3] GIRO Application Form to AIG at the following address.

American-Home Assurance Company Singapore Attn: Employee Care Accident & Health Department Robinson Road P.O.Box 10 Singapore 900010

Some of the highlights of the STU PAL Plan are:-

COVERAGE

• The benefits under this Plan will supplement your existing plans. Most of the benefits can be claimed OVER and ABOVE whatever insurance protection plans you already have subject to terms, conditions and exclusions. In addition to that, the benefits may be extended to your family as well!!!

• It provides 24 hours worldwide coverage!

EXCLUSIVE RATES

• Take advantage of this chance to get EXCLUSIVE premium coverage with rates at a fraction of the cost!

PREMIUMS

• Premiums do not increase with age!

• Premiums will not increase with the anticipated GST revision! We have negotiated with AIG and they have agreed to absorb the increase in GST of up to 2%.

CONVENIENCE

• No messy and tedious medical examinations required. And, plans are renewable subject to applicable terms and conditions.

Should you require clarification, please contact AIG representatives on telephone number 1 800 220 2300 from 9am to 5pm Monday to Friday or email to employeecare@aig.com or you may visit our website www.stu.org.sg .