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Insurance Policy: An Absolute Necessity, a Risk Minimization and Protection Tool That Must Be Purchased Without Any Thought or Choice

We often ignore the idea of taking up an insurance thinking we don’t require it. But a sudden accident or a calamity brings us to the realization that life could end any time for us without providing us with a hint or clue.

When it comes to life insurance policies, it is not only about protecting your life. Many professionals recommend it as a low-risk investment, which offers guaranteed death and retirement benefits. It means the people who matter most in your life may be protected from financial hardship if the unexpected happens.

Biashara newspaper had an interview with Lioba.N.K. Shiimi, a fully accredited financial planner/ advisor for Sanlam Mass-Affluent department in the northern Branches, who shared with us some of the benefits of buying insurance. 

Why is insurance important? Real benefits for you and your family

Insurance has many benefits but the main important ones are that it helps us to better plan for the unforeseen circumstances. Insurance covers also play a massive role in the acquisition of loans and any kinds of borrowing. For instance, when you are buying a house or perhaps want to acquire a big loan from the bank or any financial institution they require a cover to be used as collateral.

I look at insurance as the smartest way investment. If you have money to invest, consider buying an insurance policy; whether you want to save for your children’s education, or you need retirement savings, an insurance cover can help you with a long-term plan that meets your objectives. Insurance makes sure that you have planned well for a better and valuable living for both ourselves and our families, by selling you different products that give you peace of mind. Meaning you don’t have to worry about the future because all is set in place.

What type of policies or benefits do you sell?

We offer a variety of insurance benefits, like Life covers, Life plans, Funeral cover, Study policy, Retirement annuity and Unit trust

How much can your prospects pay monthly, for these covers?

Life cover & Life plan is offered for a minimum of N$250.This premium amount depends on the cover that the client has opted for and the benefits in it too play a major role in the premium amount. This applies to both the life plan and life cover. 

Funeral cover is offered for a minimum is N$200 but, it as well depends on the number of people covered in this policy, their ages and their coverage amounts too.

Study policy has a minimum of N$350 to any amount. A client can pay more than that depending on their plan and what they can afford. This premium amount is also determined by how much they want to save up in that investment.

Retirement annuity, like study policy is offered from a minimum of N$ 350 a month. But affordability plays a major role here, and clients can pay more than that. 

Unit trust has a minimum of N$200 but the client can invest/ save up more than that. 

What happens if your chosen funeral cover goes out of business?

If your funeral cover currently lapses and there where payments made, Sanlam will pay back all the premiums you have contributed to that specific policy. Payment is done within 7 hours provided that you have submitted all the correct documents we request from you.

Can one cancel the policy if your circumstances change? For example, if you have taken out funeral cover for your spouse but later get divorced? Or in cases whereby one loses their income therefore becoming jobless and unable to pay their monthly premiums?

Definitely yes, a cancellation can be made although we hardly do not advise our clients to do them because you never know what tomorrow holds for you as most of these situations are temporary. In cases of job losses or retrenchment, the client can request to get a premium holiday for 3months minimum while they are still busy hunting for a job, but this can only be granted on request and if certain requirements are reached and there is written proof from your previous employer that confirms that you have lost the job.

If there are outstanding premiums at the time of death, can you arrange to pay the outstanding amount in return for the agreed payout or will the policy simply be cancelled? When does one lose the policy?

Upon claiming if there are outstanding premiums, Sanlam automatically deducts the outstanding premiums from the cover amount (claim amount) and pays the remaining into the beneficiaries account. For one to lose their policy, it means they must not have paid their premiums for three (3) consecutive months, which means on the 4Th month the policy lapses and if the client doesn’t pay the debts they lose the policy but if they settle those debts, it continues and the client doesn’t lose anything.

How can your prospects contact you? 

“Lioba.N.K. Shiimi, a fully accredited financial planner/ advisor for Sanlam Mass-Affluent department in the northern Branches”.

I’m in the Northern regions but I operate countrywide. Prospects should feel free to contact me on my mobile number: +264 81 468 5242 or via email at liobas@sanlam4u.com.na. Your peace of mind is my concern!

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