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How is Sanlam Indie Wealth Bonus different from a premium-back promise?

Premium-back promises often sound better than they are.

For example, "you will get R100,000 in 15 years time" may be technically true, but R100,000 in 15 years time is much less than it sounds. This is because inflation over time means that R100,000 then, is worth much less than R100,000 now. In fact, if inflation runs at 6% per year, then R100,000 in fifteen years time will buy you more or less what R40,000 will buy you today.

Second, premium back benefits are usually an optional extra. This means that people have to choose to have the premium back, often for an increased premium.

So, how is Wealth Bonus different? 

Today's Sanlam Indie Wealth Bonus amount is today's money.

And if it's invested well, we expect your Sanlam Indie Wealth Bonus to keep up with, if not surpass, inflation.

Sanlam Indie Wealth Bonus is not optional because we think that everyone should get money back, rather than the select few who can afford it. So Sanlam Indie Wealth Bonus is just the way we do things.

It's automatic, and available for all.

We don't want to restrict people to just "premium back". If someone is with Sanlam Indie for long enough, they might get MORE than their premiums back.

Let's look at an example

Say a 30-year-old gets herself a Sanlam Indie policy at a monthly premium of R1,000, which comes with a monthly Sanlam Indie Wealth Bonus contribution of R1,000 (because at this age we fully match your premium value). 

If we assume her cover grows over time, we’d also expect her premium to increase by an average of 10% each year. In year two, her premium would be R1,100, in year three it’d be R1,210, and so on. When she turns 70, she’ll have paid a total of R5.8 mil in premiums. In exchange, she would have had world-class insurance for 40 years.

The big plus that Sanlam Indie Wealth Bonus offers is that you get paid even if you don’t claim. In this case, when she turns 70, her Sanlam Indie Wealth Bonus will be R7.6 million (if we assume that her investment grew at 7.5% each year and that she kept her unlocked money in the benefit). At 70, she’ll get this as cash to do whatever she wants. 

Finally, Sanlam Indie is all about financial wellness. We want you to be financially free, and we’ll help you in any way we can. We think Sanlam Indie Wealth Bonus is a great way for you to get a feel for investing. We hope Sanlam Indie Wealth Bonus will give you the confidence to think about saving and investing, and then you'll feel comfortable to do that in a big way one day.

*This example is used for illustration only. Projected future value is based on average assumptions and not guaranteed. Be wary of buying any financial product based on a forecast or illustration.

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