Life Cover in South Africa

Getting sufficient life cover is also quite important when planning you finances for the future. Even if you don’t have a family or dependants, you will want to make sure that your next of kin are not burdened in the unexpected event of your death.

The premium payable versus the amount you insure your life for will depend on a number of factors. These include your lifestyle, age, gender and health. Obviously, if your lifestyle is slower and more conservative, you may get a much better policy for a lower premium. Factors that will be assessed are whether you smoke, your marital status, HIV status as well as medical history. Not all life insurance companies require a medical exam, though but to ensure that they pay out in the unfortunate event of your death, it may be advisable to get one anyway. You should also keep in mind that there is a difference between life cover and funeral cover. If your life is insured, a beneficiary of your choice will get paid a lump sum at the event of your death whereas a funeral policy will cover most, if not all, of the funeral expenses when you pass away.

As with any kind of policy, it is important to compare quotes, companies and benefits. Short term insurance for your car and household contents are also a major player in the field of monthly installments to provide in the event of disaster. Finding a company that provides affordable and reliable insurance can at times be an art unto itself. Do not fall for flashy advertisements promising the moon and the sky. Rather do your research properly, request quotes or get a company to provide multiple quotes and make an informed decision.

This ‘legwork’ may seem very tedious and will probably be tedious but in the long run the amount of money saved will add up and you would have taken your first steps to financial freedom and a comfortable retirement. These little things you do everyday add up to a healthy attitude towards spending and saving and if you ask any entrepreneur, they will tell you that saving wherever possible is essential.