Progress 4Sure Plan
Talent development
July 2018
Our product range
Funeral
Excellence Family Funeral Plan
Life
Progress Legacy Plan
Progress 4Life Plan
Progress 4Sure Plan
Progress Accident Plan
Savings
Assupol One Savings Policy
Assupol One Tax-free Savings Policy
Guaranteed-return Single-premium Policy
Retirement
Carefree Life Retirement Annuity
2
Product structure
3
The product structure
Benefits
Death
Main benefit
Accelerated Physical Disability
Accelerated Dread Disease
Accelerator
benefits
Automatically included benefits
4Sure Loyalty Reward
Cover-increase Option
Funeral cover for life insured
Funeral cover for life insured’s spouse
4
The product structure
Optional benefits that may be added
Accelerated Physical Disability
Accelerated Dread Disease
4Sure 100% Cashback
Assupol’s On-Call support
Funeral cover for children, parents, parents-in-law
Premium Waiver – Death benefit
Premium Waiver – Retrenchment benefit
5
Features
6
Premium information
• Minimum premium R90 per month
• Voluntary premium increases are available:
Premium increase %
Benefit increase %
6%
4%
9%
6%
7
Premium guarantee
• Premiums are priced for the duration of the
policy
• Premium guarantee: 1 year
• Assupol will not review premiums for at least a
year after the start of the policy
8
Age limits
• Policyholder and life insured must be the same
person
Minimum entry age
Maximum entry age
18 years
59 years
9
Policy and benefit terms
• Whole life
10
Benefit limits
Accelerator benefit may not be more than Death
benefit
Benefit
Death
Accelerated Physical
Disability
Accelerated Dread
Disease
Funeral
Minimum
Maximum
amount
amount
R50 000
R300 000
R50 000
R300 000
R50 000
R300 000
R1 000
R10 000
11
Cash, loans and cessions
• It’s a life cover product, it does not have a cash
value
• Loans and surrenders not possible
• Cessions are possible
– This policy may be used as security for a loan
12
Acceptance requirements
• Policyholder = life insured & premium payer
• No medical tests
• Life insured must have a job
13
Acceptance requirements
• Proof of employment:
– Payslip, < 6 weeks old, electronic verification,
no salary slip needed in most cases
– Self-employed, 3 months bank statement
• Salary R2 500/month
– Excluding bonus & overtime
14
RA Maturity Reward
• Qualifies
• Increase RA maturity value
• To qualify for RA Maturity Reward:
– Progress Legacy Plan with more than 5% premium
increases
– Carefree Life Retirement Annuity Fund
15
Benefits
Death benefit
17
Death
• Main benefit of policy for life insured
• What:
– Paid if life insured dies
– Accidental causes pay full amount
– Natural causes percentage is paid
At the start of the benefit % benefit to be paid
First 6 months
0%
In months 7 - 12
10% limited to R10 000
In months 13 – 18
50%
After 18 months
100%
18
Death
• What:
– With suicide a percentage is paid
At the start of the benefit
% benefit to be paid
First 6 months
0%
In months 7 - 24
10% - limited to R10 000
After month 24
100%
19
Death
• Benefit ends when:
– it is paid or
– policy ends
20
Accelerated
Physical Disability
benefit
21
Accelerated Physical Disability
• Optional
• What:
–
–
–
–
Paid if condition of physical disability happens
Condition must be permanent and irreversible
Full benefit is paid due to accident (Table A)
% of benefit is paid on natural causes (Table B)
22
Accelerated Physical Disability
Table A
Conditions of physical disability
% can claim
for
Loss one hand, foot or limb
50%
Loss of both hands, feet, hand & foot, hand & opposite
upper limb or any lower limb, foot & opposite lower limb or
any upper limb, 2 limbs
100%
Total blindness in one eye
25%
Total blindness in both eyes
100%
Total deafness in both ears
100%
Total loss of speech
100%
Head injury that requires ongoing supervision
100%
Full-thickness burns that cover at least 20% of body
100%
Mental or cognitive impairment
100%
23
Accelerated Physical Disability
Table B (natural causes)
At the start of the benefit
First 6 months
% can claim for
0%
In months 7 - 12
10% - limited to R10 000
In months 13 - 18
50%
After month 18
100%
24
How claim affects the policy?
• Claim Accelerated benefit – claims paid reduces
Death benefit
• Must confirm whether condition permanent and
irreversible
• Therefore claims can take up to 6 months to
finalise
• Less time if all requirements met
• Premiums continue until claim finalised
25
How physical disability claim affects policy
• Benefit amount before claim
Benefit
Cover amount
Death
R200 000
Accelerated Physical
Disability
R120 000
Accelerated Dread Disease
R150 000
• Benefit amount after claim of R60 000 (50%)
Benefit
Cover amount
Death
R140 000
Accelerated Physical
Disability
R60 000
Accelerated Dread Disease
R140 000
26
Multiple claims
• Accelerated Physical Disability and Accelerated
Dread Disease claimed for same event: larger
claim is paid first
• Death benefit and other Accelerator benefit
amount are adjusted
• Claim payment for other Accelerator benefit is
made based on adjusted amount
27
Multiple claims – related causes
• A client can not claim more than once against
Accelerated Physical Disability benefit for the
same cause or event
• Unless it is a progression of the earlier claim
• If insured qualifies for higher percentage payout, difference between percentages will be paid
28
Medical requirements for a claim
• Life insured must at own cost
– undergo medical or other examinations
– follow medical advice about surgery or other
treatment
29
Pre-existing conditions exclusion
• Accelerated Physical Disability benefit will not
be paid if disability caused directly or indirectly
by, or arise or results from or relates to:
– Any illness, disease, physical or mental impairment
for which the life insured received
– Medical advice or treatment in the 24 months
– Before the cover started
30
This benefit ends when….
•
•
•
•
It is paid in full
It is cancelled
Life insured dies
Policy ends
31
Accelerated Dread
Disease benefit
32
Accelerated Dread Disease
• Optional
• What:
–
–
–
–
It is a whole life benefit
Paid if dread disease condition happens
% of benefit is paid (table A)
Full benefit is paid if condition is because of an
accident
33
Accelerated Dread Disease
Table A
Dread-disease conditions
Heart attack
% can claim for
50% or 100%
Stroke
100%
Cancer
50% or 100%
Kidney failure
100%
Paraplegia
100%
Major organ or tissue transplant
100%
Coma
100%
34
Accelerated Dread Disease
• What:
– % of benefit is paid on natural causes (table B)
– Accelerated benefit - claims paid reduce the
death benefit
– % of benefit as per table B is paid based on SCIDEP
definitions (table C)
35
Accelerated Dread Disease
Table B
At the start of the benefit
First 6 months
% can claim for
0%
In months 7 - 12
10% - limited to R10 000
In months 13 - 18
50%
After month 18
100%
36
Accelerated Dread Disease
• SCIDEP Standardised Critical Illness Definitions
Projects
Table C
Condition
Severity A –
most severe
Severity B
Severity C
Severity D –
least severe
Cancer
100%
50%
50%
50%
Heart attack
100%
50%
0%
0%
Coronary
artery surgery
-
-
-
-
Stroke
100%
0%
0%
0%
37
How dread disease claim affects policy
• Benefit amount before claim
Benefit
Cover amount
Death
R200 000
Accelerated Physical Disability
R120 000
Accelerated Dread Disease
R150 000
• Benefit amount after claim of R75 000 (50%)
Benefit
Cover amount
Death
R125 000
Accelerated Physical Disability
R120 000
Accelerated Dread Disease
R75 000
38
Multiple claims
• Dread Disease and Physical Disability are
claimed for same event - larger claim is paid first
• Death benefit and other Accelerator benefit
amount are adjusted
• Then claim payment for other accelerator
benefit is made based on adjusted amount
39
Multiple claims – related causes
• A client can not claim more than once against
Accelerated Dread Disease benefit for the same
• Unless it is a progression of the earlier claim
• If insured qualifies for higher percentage payout, difference between percentages will be paid
40
Medical requirements for a claim
• Life insured must at own cost
– undergo medical or other examinations
– follow medical advice about surgery or other
treatment
41
Pre-existing conditions exclusion
• Dread Disease benefit will not be paid if
disability caused directly or indirectly by, or arise
or results from or relates to:
– Any illness, disease, physical or mental impairment
for which the life insured received
– Medical advice or treatment in the 24 months
– Before the cover started
42
This benefit ends when….
•
•
•
•
It is paid in full
It is cancelled
Life insured dies
Policy ends
43
Funeral benefit
44
Funeral
• What:
– Paid on the death of life insured
– Waiting period: cannot claim within six months for
natural death or suicide
– No waiting period for death because of an accident
– Paid within 24 hours after info & documents received
Automatic
Optional for policyholder’s
Life insured
Children, adopted and stepchildren
One spouse
Parents
Parents-in-law
45
How claim affects the policy
• Main Life Funeral Cover:
- 10% of sum insured (capped @ R10 000)
- Reduces the Death benefit amount
- Accelerator – no additional premium
• Spouse Funeral Cover:
- 10% of sum insured (capped @ R10 000)
- Doesn’t reduce the Death benefit amount
- No additional premium
46
How claim affects the policy
• Immediate family members Funeral Cover:
– Capped @ R10 000
– Additional premium
– Doesn’t reduce the Death benefit amount
47
This benefit will end…..
• Cancelled
• Policy ends
48
4Sure 100%
Cashback benefit
49
4Sure 100% Cashback
• Optional
• What:
– At end of 10 years, pay to policyholder 100% of all
premiums, if no claim on Disease and Impairment
– If claim is paid, new 10 years begin from when
claim is approved by us
– If benefit ends on policyholder’s death or other
reason, nothing is paid for the 10 years
– Additional premium
• 50% of the Progress 4Sure premium
50
4Sure 100% Cashback
• How is it calculated?
If the total monthly premium paid is R200;
the policyholder will get R24 000
4Sure 100% Cashback
= 100% x premium x 12 months x 10 years
= 100% x R200 x 12 x 10
= R24 000
51
4Sure Loyalty
Reward
52
4Sure Loyalty Reward
• Automatic
• What:
– Applies only if 4Sure 100% Cashback was not taken
– At end of 10 years, pay to the policyholder 10% of all
premiums, if no claim was paid on Impairment and
Disease
– If claim is paid, new 10 years begin from when claim
is approved by us
– If benefit ends on policyholder’s death or
other reason, nothing is paid for the
10 years
53
4Sure Loyalty Reward
• How is it calculated?
If the total monthly premium paid is R200;
the policyholder will get R2 400
4Sure Loyalty Reward
= 10% x premium x 12 months x 10 years
= 10% x R200 x 12 x 10
= R2 400
54
Cover-increase
Option
55
Cover-increase Option
• Automatic
• What
– Option to increase cover after certain events
– Increase cover above initial benefit amount when
policy was taken
– Increase 3x initial cover amount
– Extra cover premium calculated on
policyholder’s age
56
Qualifying events
• An anniversary of policy, excluding first anniversary
• After 2nd anniversary, the policyholder
– marries or
– gets divorced
– Gets a child (own or legally adopted)
– Buys a house
57
Rules
• 1 increase per policy year
• Apply for increase within 2 months after qualifying
event
• Increase at least 25%, not more than 50% of initial
benefit amount
• No increase after policyholder’s 55th birthday
• Increase can only be done if: all premiums
paid, policyholder is employed + proves
qualifying event
58
Rules
• Phasing-in period applies to additional cover
• Natural causes: % of benefit is paid on the
death of the life insured due to natural causes:
Phasing-in period for
additional cover amount
% benefit that can be
claimed
First 6 months
0%
In months 7 – 12
10% limited to R10 000
In months 13 – 18
50%
After 18 months
100%
59
Rules
• Phasing-in period applies to additional cover
• Suicide: % of benefit is paid on the death of the
life insured due to suicide
Phasing-in period for
additional cover amount
% benefit that can be
claimed
First 6 months
0%
In months 7 - 24
10% - limited to R10 000
After 24 months
100%
60
Assupol’s On-Call
support
61
Assupol’s On-Call support
Optional
Assupol
On-Call
On-Call
Plus
62
Premium Waiver - Death
• Optional
• Who:
– Policyholder = premium payer
• What:
– On policyholder death, benefits free to lives insured
– No claim in case of natural causes or suicide within 6
months
– No premium or benefit increases
– No more lives may be added
Refer to product guide – “Other benefits”
63
Premium Waiver - Retrenchment
• Optional
• Who:
– Policyholder = premium payer
• What:
– On retrenchment of policyholder, policy premiums are
waived for 6 months
– All benefits free to all the lives insured for
the 6 months
– No premium or benefit increases
– No more lives may be added
– Thereafter premiums to be paid
Refer to product guide – “Other benefits”
64
Questions?
65