Have you purchased or are you planning to purchase occupation-based disablement cover from 1Lifedirect? If you answered yes to either question then you need to be aware of how your retirement will affect your occupation-based disablement cover and your benefit amount.
When you purchase occupation-based disablement cover from 1Lifedirect you will be asked to select a retirement age. It is important to remember that your disablement cover policy will be cancelled once you have reached retirement age and you will not be able to claim any disability cover. It is also important to note that your maximum benefit amount will start decreasing every year five years before your selected retirement date.
The example below illustrates this decrease assuming a retirement age of 65 and a maximum benefit amount of R100 000:
61 ~ R80 000
62 ~ R60 000
63 ~ R40 000
64 ~ R20 000
65 ~ R0
Please contact our call centre on 0860 10 53 40 if you have any questions on how your retirement will affect your occupation-based disablement cover. Occupation-based disablement cover provides financial protection against the day that you are disabled and unable to work. Your disablement cover payout can be used to replace a portion of your income, take care of any outstanding debt you might have or even customise your car or home to accommodate your disability.
For every breadwinner, disablement cover is the financial lifeline your family will need if you are ever unable to earn the salary your family relies on. Speak to 1Lifedirect today about investing in the cover you need or visit our website to find out more.