If you do not make provision for sufficient cash to your dependants, they are not able to maintain the assets you left behind and to maintain their standard of living (life style).Funds are needed to maintain the car, maintain the house, maintain the garden, maintain the pool, school fees, future education, clothes, food, entertainment, holiday and other daily expenses. The most efficient way to make provision on any shortfall is by means of a life insurance policy. Be sure to nominate a beneficiary or beneficiaries.
DEATH : FAST CASH (emergency fund)
If you do not make provision for cash to be immediately available after your death your dependants may end up without funds for normal household expenditure for weeks or months. Upon your death your bank accounts, credit cards and other financial facilities are frozen. The most efficient way to solve this problem is by means of a life insurance policy which is meant to pay out within 48 hours after your death. Be sure to nominate a beneficiary or beneficiaries.
DEATH : FUNERAL PLAN
A funeral is expensive, most likely an unexpected event and the funeral undertaker requires upfront payment.Be sure to have a funeral plan in place with a funeral undertaker or funeral insurance with an insurance company.
OCCUPATIONAL DISABILITY : PERMANENT and TEMPORARY
(Income protection)
You should be able to financially survive and to maintain your standard of living (life style) if you loose some or all of your income due to an unexpected illness or accident (unable to work).The financial impact of such an event can be devastating. It is crucial to make provision for disability protection as a lump sum payment and/or as a monthly income payment from your employee group life scheme disability benefit but eventually covers only round and about 50% of your life style income. The most efficient way to make provision on any shortfall is by means of a disability insurance policy on your life.
