Life Cover

Life Cover ​pays out a lump sum in the event of your death. Life cover forms the cornerstone of most families’ financial protection and it would be an important consideration for anyone with a partner or children. Your family would normally be the beneficiaries of a life cover policy. There are a few types of life insurance policies available, depending on your own individual needs:

• Guaranteed Whole of Life Insurance: This type of policy provides coverage from the date of commencement of the policy to the date of your death. Upon your death, it will pay out a tax-free payment in the form of either a lump sum or continuous income to the other policyholder (if the policy was a joint one), or whomever was named as the beneficiary in your will. Guaranteed Whole of Life is the costliest life insurance cover due to the fact that you have complete coverage. At MPFS, we will assist you in critically analysing your situation and determining whether this policy is best suited to you and your family’s needs. We will consider any budgetary constraints you may have, your specific objectives as well as the range of other products currently available on the market.
• Term Life Insurance: This type of policy provides coverage for a predetermined time frame of between 2 and 40 years. If you die or become ill during this period, your beneficiaries will get the payout of the policy. The payout once again will be in the form of either a lump sum (level term cover) or a continuous stream of income (monthly income cover). The premium is guaranteed never to increase. Term Life Insurance is less expensive than Guaranteed Whole of Life due to the fact that you may outlive the policy term and as such, end up not making a claim to your insurance provider.
• Convertible Term Life Insurance: This type of policy enables you to convert your cover into a new policy for an extended period of time without have to submit to a medical examination attesting to the good of your health. Because of this added on feature, Convertible Term Life is more expensive than the classic Term Life Insurance.
• Indexation Option: Indexation is a feature which allows you to increase your premium payments in line with increases you wish to make to the amount of cover you have. Indexation thus helps combat the effects of inflation eroding the real value of your payout once a claim is made.