If my premium changes, how does it affect my Wealth Bonus?
Our contributions to your Sanlam Indie Wealth Bonus always match your premium with a proportionate payment. For example, we pay 100% if you’re 20-30 years old. So if your premium gets bigger or smaller, our monthly contribution will grow or shrink proportionately. Any Wealth Bonus you’ve already earned continues to track the market.
What happens if my premium increases?
As the years go by, your premium will likely increase. There are a number of reasons why.
In January each year, we calculate a new premium for your underwritten life insurance policy based on inflation and your age at that point.
Funeral premiums remain level for 5 years, but after that, we will increase your premium by 5% every January.
Another reason might be that you purposefully added more cover.
The amount we contribute to your Sanlam Indie Wealth Bonus matches a percentage of your premium. So when your premium increases, so does the amount we contribute monthly (assuming everything else stays the same).
That said, the percentage of Wealth Bonus we match will get smaller after age 30.
What happens to my Sanlam Indie Wealth Bonus if my premium reduces?
When you reduce your premium, nothing happens to the Wealth Bonus you’ve earned so far, but the monthly contribution we make to your Sanlam Indie Wealth Bonus will drop because this is calculated as a percentage of your premium.
For example, say you were a 28-year-old paying R200 a month for your Sanlam Indie policy. At that age, we’d be matching 100% of your premium – so we’d contribute R200 a month toward your Sanlam Indie Wealth Bonus. If you decided to reduce your cover and started paying R150 a month, the existing Sanlam Indie Wealth Bonus would remain untouched and would continue tracking the market. But we’d start contributing R150 a month toward your benefit from that point on, to match your reduced premium.
Every 60 premiums, 10% of your total Sanlam Indie Wealth Bonus unlocks, no matter how much our contributions have changed over the years.
What happens to my Sanlam Indie Wealth Bonus if I skip/miss a premium?
Skipping or missing a premium payment doesn’t affect the current value of your Wealth Bonus. When you miss a premium payment, we simply won’t contribute to your Wealth Bonus that month. The next premium you pay, you’ll earn Wealth Bonus again. Just be sure to double check how many premiums you can skip before your policy lapses, because if that happens, you lose all your locked Sanlam Indie Wealth Bonus.
When you miss a premium, it means money will unlock a month later than it would have, because money unlocks after every 60 premium payments.
What happens to my Wealth Bonus if I cancel my policy?
If you cancel your policy or you skip too many premiums such that your policy lapses, you will no longer have life insurance cover and you’ll lose any locked portions of your Sanlam Indie Wealth Bonus.
...or it lapses because I skipped too many premiums?
Same thing. Your locked Sanlam Indie Wealth Bonus is lost forever.