How to Save on Life Insurance in South Africa

Life insurance serves an important purpose in that it provides financial freedom. It is however shrouded in negativity.  To have a more positive experience, don’t spend more than you should on life insurance. Being ignorant on how life insurance works means you are possibly investing in products you don’t need. It is important to know how to save on life insurance.

How to Save on Life Insurance in South Africa

People often think that the only answer to how you can save on insurance is to pay a lower premium. The only problem with settling on a lower premium is that sometimes you land up with benefits you don’t want. There are other ways to save money when buying life insurance, and one of these is to ensure you only focus on buying from a financially sound, reputable company.  South Africa has many of these such as Old Mutual, Liberty Life, Metropolitan Life, Clientele and Momentum Life among others.  There are also life insurance companies such as Alexander Forbes Life who target certain income group.

Ways to Save on Life Insurance in SA

  • Shop around and get an idea of the premiums you’re likely to pay. Remember that if you have a health condition, you may be disqualified from some kinds of life insurance. Also, know your life insurance product inside-out. Is the product renewable and what are the exclusions?
  • Look at group insurance – even if you’re going to have to contribute something towards it, you’re still going to pay far less for group insurance. By participating in your employer-sponsored life insurance cost, you can pay far less than were you to take out individual life insurance.
  • Make some lifestyle changes – if you’re a smoker, for instance, you’re going to pay far higher premiums than a non-smoker. By quitting smoking, you should be able to qualify for more favourable rates.How to Save on Life Insurance in South Africa

    More Tips

  • Buying through an independent financial adviser is going to be far more expensive than through a comparison website. Check out Hippo – South Africa’s most popular life insurance comparison site.
  • Buy life insurance while you’re still young.  The younger and healthier you are, the less you’ll pay for a policy. Once you’re over 40 and your health changes, you’ll pay far more.
  • Term life insurance is cheaper than whole life. Life insurance agents often don’t want to tell you why life insurance is more expensive. The truth is, once you discover some of the reasons why whole life is more expensive, you’ll conclude that term life insurance is the wiser choice. The insurance agent is compensated more by selling whole life insurance so they will be eager to sell it to you just to make themselves richer. Term insurance provides protection only, and unlike whole life, doesn’t have a savings component. Whole life has this savings component and is therefore much more  expensive. You’re better off paying for term insurance. The cost savings you make can be invested somewhere else.


How to Save on Life Insurance – Be Watchful for Useful Savings

Don’t have sleepless nights wondering about your family’s wellbeing when you’re no longer there. There is a way to meet your family’s needs. A life insurance plan will ensure that your family members get financial help when they need it most. Shop around and compare because you can save thousands by choosing a good plan.

To get a FREE life insurance quote, just complete and submit the form on this page

All info was correct at time of publishing