What is Disability Insurance?

Here in this article, we will have a look at the question some of you may ask, “What is Disability Insurance?”

  • it’s an insurance for when you can no longer work because of illness or an accident
  • it’s a cost-effective way to manage the risk
  • you can use the payout to replace lost income


The financial consequences of disabilities without insurance are devastating. According to research, about 140 South Africans become disabled every day. You need disability insurance if you have an income but you are off work for a considerable time, whether for illness or for injury.

Financial Benefits to Tide you Over – What is Disability Insurance

Disability income insurance is important because What is Disability Insuranceit will give you financial benefits in the event of sickness or injury.

You get policies that pay out for a couple of years, but a much longer benefit period is to be recommended, at least until the age of 65.

Disability income insurance is meant as a substitute for income on a tax-free basis. Anyone considering this type of insurance should consider –

  • whether the policy covers short- and long-term disabilities
  • whether there is a waiting period before the income commences
  • inflation protection features – remember that inflation can drastically diminish the value of your money over time so you should be looking for an inflation-protection feature


Disability Happens to Anyone – What is Disability Insurance

South Africans are actually underinsured for disability cover. Nobody believes it can happen to them. And yet income earners are hard hit when disability strikes out of the blue.

Disability insurance is particularly important for those South Africans who are self-employed.  With the help of the Internet, there are more self-employed people. These people know that just a week out of business can be detrimental.

There are many disability insurance providers in South Africa –

  • Sanlam – their disability cover offers excellent choices, and you can combine your disability cover with life insurance, severe illness cover and income protection. The level of cover you need will depend on your personal needs. For their disability insurance, they provide their 3-in-1 cover which pays for recognised, occupational and personal disability including conditions where you can’t care for yourself, disabilities that affect your employment and loss of limbs.
  • Old Mutual’s Accidental Death & Disability Plan provides cover that starts from R50 000. There is no waiting period either.
  • With 1Life, their disability cover also pays out a lump sum – up to R10 million. It covers you immediately for accidental disablement. There are also no premium increases for the first 24 months.
  • OUTsurance – their disability cover is for anyone between the ages of 18 and 60 and you can choose your own payment structure. So with Outsurance, you can opt to keep your premium the same for the entire duration of your cover, you can choose to increase it each year or you can keep the insured amount fixed, increasing your premium as time goes by.



Your income provides for your family. Have you thought what will happen if you’re not earning an income? Also, without Disability Income Insurance, you can worry yourself into an early grave. Thanks to this insurance, you can focus on enjoying life because you’ve got a reliable back-up.

Complete the form on this page to get a FREE life insurance quote.

All info was correct at time of publishing