What Life Insurers Must Tell You

If you are planning to take out a life insurance policy, then you will need to give your insurer personal details about yourself, which will include your medical history. There are also things that your life insurer will need to tell you before and after you take your life insurance policy out.

life insurance

To ensure that you don’t miss a thing in regards to your life insurance policy, here is what your life insurer should be telling you about.

What Should Life Insurers Be Telling You

They Should Give You Your Policy Document

Your policy document is important as this is the agreed contract between you and the insurer and will contain all the specifics and details about your life insurance. The information that is contained within this document includes the type and the amount of cover as well as the terms and conditions of cover.

You should receive a copy of your policy within 30 days from the acceptance of the policy. If they fail to provide you with a copy, then you must contact your insurer and ask for one.

Make sure that you keep your document in a safe place, so that you able to refer to it when you need to.

Tell You What Your Policy Covers

You will obviously need to know what your policy actually covers, the type of cover you have like life cover or critical illness cover and the amount that you are covered for.

This information should be contained within your policy document, so it is important to read it and understand it. This information will also appear on your annual review letters and you can also contact your insurer to find out.

Alongside this, your insurer should also let you know when you can increase your cover, change the cover you have and how to do this. Likewise, if you are not able to increase or change your cover then your insurer should tell you that your policy won’t allow for this.

It is vital that you read your terms and conditions and these should be in a readable and clear text in your policy. Your insurer should go through all of these and explain everything in clear and plain language so that you understand what your policy covers.

Wait…there are still things that your life insurer should tell you about…

How the Premiums Work

Your life insurance provider will tell you what your premiums are and when they are due. It can be easier to set up a debit order so that it comes out of your account automatically each month. This will require authorisation and usually forms part of your application form, but you can also give them your details over the phone.

Also, you should be told when these premiums will increase, which can be on a specific date or on the date that you took out the contract. You should be contacted in advance about any increases, what the new amount will be and when this is due.

life cover

The Exclusions

In the terms of the policy, it should be made clear what the exclusions or waiting periods are.

You will find that life insurance policies have general exclusions and waiting periods, like a death claim, will not be paid due to suicide in the first two years. These details will be in your policy document.

However, there can be specific exclusions, which are conditions that will only apply to your policy, like claims for any specific pre-existing conditions. You must be informed about these exclusions and other details that only pertain to your policy. The insurer must tell you these before you accept the policy.

Exclusions and waiting periods should not be hidden in any fine print, or placed in small text on your policy that you can’t read it. They must be made clear and understandable.

How Do You Claim

If something should happen, then your insurance will pay out a certain amount. Your insurer will tell you when a claim is valid, how you are able to make a claim and who you will need to contact for a claim and to get the documents, you will need to fill out.

It should also be made clear if you only have a certain amount of time to make any claims.

Getting in Touch

The insurance company that you choose for your life insurance policy, should give you their full details including their company name, their registration number, their physical address and their contact details as well as their Financial Services Provider number.

This is so that you know they are a reputable and licensed company who are registered and adhere to all laws, regulations, acts and rules in place and that they are allowed to practice in South Africa.

The details outlined above will give you the assurance and peace of mind that you are insured with a good insurer, who will ensure that you understand your policy, so that you don’t get a surprise if you ever need to make a claim. Life insurance is a personal product that protects your family after your death, so you must make sure that you are using a reputable insurer and that you and your family understand your policy, so that no matter what happens you will not leave your family short.

Top Reasons to Have Funeral Insurance

Funeral insurance, also known as burial insurance, is a great and affordable way for you to protect your family and help them to pay for your final expenses after your death.

There are a number of reasons as to why you will need funeral insurance, with flowers, caskets, funeral home bills and more costing thousands and on top of that, you may have debts that you leave behind.

funeral insurance

Here are the top reasons as to why you should have funeral insurance.

Adding Up The Costs Of Funerals

If you have ever had to pay for a funeral before then you will already know how expensive they are. Funerals and final expenses can easily cost thousands and many people will not have this type of money and even if your family does have this kind of money, wouldn’t you want them to keep that money?

With funeral insurance, your family will not need to fork out thousands to give you the send-off that you deserve. Funeral insurance will pay out a lump sum that will cover the costs associated with your funeral, which means your family will be protected financially from these.

Life Insurance Doesn’t Cover It All

Many of us don’t buy funeral insurance because we already have a life insurance policy and think that this will cover everything but think again.

Firstly, many of us do not actually understand our life insurance policy and have let it expire or we have let the premium lapse and the policy is no longer active. If you have a term life insurance policy, then the policy will expire when you reach a certain age, whereas a funeral insurance policy will never expire, which means that your family is guaranteed to get the money from the premium.

Also, how much did a funeral cost when you first got your life insurance policy? If you have had your life insurance policy for a while then a funeral probably cost a fraction of what it does now, so does your life insurance policy really cover the cost? Even if your life insurance policy does cover it, you may want your life insurance pay out to go towards helping your family with daily expenses and not towards your funeral.

With a funeral insurance policy, you allow your family to enjoy your life insurance money whilst still being able to give you the funeral you wanted.

Funeral Insurance is Affordable

Funeral insurance is more affordable than other types of life insurance. If you have another policy in place, then it is worthwhile looking to see if you are able to get anything better from a funeral insurance policy. There are a number of options out there that will suit your budget and offer what you need.

It’s a small price to pay for helping and protecting your family.

funeral insurance

Applying For Funeral Insurance Is Easy

Funeral insurance applications are usually only a few pages long and all you will need to do is answer health questions and give your vital stats. This information is enough for the insurer to figure out your rate and give you cover.

In no time at all, you can go from having no plan to being covered when you die. You will also find a number of online companies offering online applications, which makes the process even easier to do. You can fill out an online form on some sites and receive multiple funeral insurance offers, which allows you to choose the best one for you and your budget. Once, you have found a plan that you like, you can apply easily and quickly.

So Is Qualifying

Funeral insurance doesn’t have all the medical requirements like life insurance does. Funeral insurance will only ask you a few minor health questions and you will not need to undergo a medical evaluation. You do not need to have perfect health in order to qualify for funeral insurance.

Choose How You Want Your Funeral To Be

The great thing about a funeral insurance policy is that you have the chance to make your own arrangements for your funeral. You can work with a funeral director and figure out the cost of your burial or cremation to ensure that your policy covers all these costs.

funeral

You can also make decisions that might be painful for your family to make and also your family may have different ideas about your funeral. You can make all the decisions from your urn/casket to the flowers and service beforehand and your family will have one less thing to worry about.

There are many reasons as to why you should get funeral insurance and the most important is that your family will not need to worry about money during this difficult time and you will not leave a financial burden on your loved ones.

Compare funeral insurance cover with online comparison sites that will gather multiple quotes for you from reputable companies, allowing you the freedom to compare and choose the best policy for you.

Top 5 Reasons Why People Don’t Get Car Insurance and the Top 5 Reasons Why You Should

Most countries require you to have car insurance by law, but in South Africa, this is not the case, but it can be a costly mistake. Accidents can happen at any time and even if the accident isn’t your fault, you could still be paying out a lot.

car insurance

Here are the top 5 reasons why people don’t get car insurance and the top 5 reasons as to why you should.

Top 5 Reasons Why People Don’t Get Car Insurance

Believing It’s Not Affordable

There are many people that think adequate car insurance or even third party insurance is not affordable, so they don’t even look for quotes. If you think that you can’t afford car insurance, keep in mind that it is a competitive industry, so you should compare car insurance quotes, even if it is just for a basic policy. You might be able to find a deal that suits your budget.

Hardly Driving

If you don’t drive often then you may feel that car insurance is a waste, because you only pop to the shop every now and then. But accidents can occur at any time and the majority of accidents happen close to home. It doesn’t matter how often you drive, you need to have car insurance.

It Won’t Happen To Me

Many people believe and think that something is less likely to happen to them than others, which includes being involved in an accident. This then results in many people ignoring insurance completely, but even though we make think this, it is not necessarily true. Accidents can occur at any time and it might not even be your fault, but you may incur damage that will need to be paid for.

Do You Know The Real Cost Of Repairs?

People are not actually aware of how much car repairs can cost and whilst some cars are more expensive to repair than others, it can still be super expensive if you do not have car insurance.

car insurance

What is even worse is that your car could be written off and it is actually easy to do this. If the cost of repairs is more than 70% of the value of the car then it is written off. If this is the case and you do not have insurance then you could be left without a car.

It’s Just A Machine

There are cases where people just view a car as a way to get from A to B and that’s it, which means that as long as the car works, a few scratches and bumps are nothing that they should concern themselves with.

These type of car owners feel that paying for car insurance isn’t worth it as they don’t actually plan on repairing the damage. However, these owners don’t take third party cover into account. If you are responsible for an accident and don’t have third party insurance, then it can be a costly mistake.

So that is why people don’t get car insurance and as you can see it is actually a mistake to not have it.

Wait… now let’s take a look at the top 5 reasons as to why you need car insurance.

Top 5 Reasons Why You Should Have Car Insurance

You Don’t Need To Fork Out For Damages

If you are involved in an accident and you are at fault, then you will not only need to pay for the repairs to your car, but also that of the other persons. This can be a lot of money, but when you have car insurance, this financial burden is eased, especially with third party cover. If your car is written off, then depending on the cover you have, you might receive a pay out that can help you to get a new car.

What If Your Car Is Stolen?

You could be a victim of theft and find that your car has been stolen and this can occur anywhere. With car insurance, if you have a policy with a theft option then you are able to claim for the theft of your car and receive a pay out so that you can replace your stolen car.

Protecting Your Car

Life is unpredictable and car insurance is there to protect your car from events like fire or hail that will cause damage. If this happens then your insurance policy will help to pay for the repairs.

fire protection

Getting Help On The Road

Car insurance is a highly competitive industry, which means that you will receive a number of extra benefits from the insurance company. One benefit that is offered as a standard by most insurance companies is roadside assistance. So, if you have a flat tyre, have run out of petrol or breakdown, you are able to contact the roadside assistance and get the help you need.

Incentives To Take Advantage Of

Another benefit that you could possibly enjoy is cash back on your premiums if you go a certain time without any claims or you could be rewarded for good driving with premium discounts.

It may appear that car insurance is expensive, but the alternative is even more expensive as you will need to pay for damages out of your own pocket. If you are looking for car insurance then it is a good idea to compare quotes from various car insurance companies.

This is simple to do as there are many sites that will collect quotes for you based on your needs. You are then able to compare premiums and the cover offered easily. At the very least, you should have the basics covered.