Will my monthly payments go up over time?
Yip, it’s likely that from year to year your monthly payment (also called your premium) will go up.
The good news is that when your premium goes up, we'll add more to your Wealth Bonus too 💰!
How will my underwritten life insurance premium change over time?
Everyone’s policies are reassessed every year. This is called rerating, and at Sanlam Indie, we rerate every January regardless of when you started your policy.
That means if you get a new policy in December, your premium will likely increase the following month. If you get a new policy in January, your premium and cover will remain unchanged until the following January.
We will always give you the option to reduce your cover 🌂 at that point if you'd prefer to keep your premium flat.
How will my funeral premium change over time?
It’s a different story for funeral cover. Your premium and cover will remain level for the first year. After a year has passed, the next January we’ll increase your premium by 5%, with no increase in cover. (We’ll do this every January going forward).
Once you’ve had your cover for 3 years, we’ll double it, but we won’t increase your premium.
Confused? Let’s look at an example.
Let’s say in August 2020 you buy R10,000 cover for yourself for R100*.
- In January 2021, you’ve had the policy for less than a year - so no change.
- In January 2022, your premium goes up to R105, but your cover remains at R10,000.
- In January 2023, your premium goes up again by 5%. It is now R110.25.
- In August 2023, you’ve had your policy for 3 years, so your cover doubles to R20,000. Your premium is still R110.25.
*These amounts are not guaranteed and are for illustration only.
Related articles
