Your quick and easy guide to premium increases

We keep your 1Life Insurance premium as low as possible so you can afford the cover you and your family need. But your premiums will increase annually, depending on your policy and cover. We compiled a guide to premium increases, so you know what to expect and when.

Your quick guide to 1Life Insurance policy premium increases

Premiums increase on your policy anniversary (when the policy commenced). Premiums will also increase if you increase your sum assured.

To find out what premium increases apply to your policy, access the online policyholder portal, WhatsApp service centre or speak to a skilled 1Life Insurance consultant.

We will send you an email and/or SMS with premium increase details at least a month before the increase is due so you can plan ahead.

Your increase is based on your policy, sum assured and the type of increase that applies to your policy. 1Life Insurance life and funeral cover policies may have either an inflation aligned increase, a fixed annual premium escalation or an age-rated premium increase.

Inflation aligned increase

If this option applies to your policy, your sum assured will increase in line with the inflation rate over the past 6 months, such as 4%, and your premium will increase by the inflation rate plus 3%. For example, your sum assured of R1 million increases by 4%, or R40 000, and your premium of R350 increases by 7% (4% plus 3%) or R24.50.

Increases in sums assured are, however, limited to legislative requirements. These include a total maximum sum assured of R100 000 in total with your insurer for members over age 14, a maximum sum assured of R50 000 with your insurer for members aged 6 to 14 years and a maximum sum assured of R20 000 with your insurer for child members aged 6 years and younger.

Fixed increase

If your policy has this option, your premium increases by 5% each year. Your sum assured does not increase. For example, your premium of R350 for your cover of R1 million increases by 5% or R17.50.

Age-rated increase

1Life life cover policies may also have age-related premium increases. This is where your premium increase is higher as you get older because insurance becomes more expensive. These increases are calculated based on your cover and are unique to your policy.

Does your sum assured need to increase?

Always review your sum assured each year to check that it will meet your family’s needs. If your sum assured does not increase in line with inflation, you can increase it with no underwriting, other than completing a new negative HIV test, by using the Guaranteed Assurability benefit available every third policy anniversary. This benefit is available in certain circumstances, such as when you have a child, and on certain 1Life products, including Pure Life Cover policies, but not on funeral cover. Check your policy schedule to see if this benefit is available on your policy (Ts&Cs may apply in order to qualify).

Remember! Insurance premiums offer a good return

If you had a life cover policy of R1 million at a premium of R350* a month, increasing by 5% each year, you would pay around R139 000 in premiums over 20 years. But, if anything were to happen in those 20 years, your beneficiary would receive R1 million for a valid claim to take care of their expenses. R139 000 paid for R1 million is a good return and value for your money!

And lots of other great benefits...

1Life Insurance policyholders who DebiCheck their premiums qualify for 1Lifestyle, 1Life’s FREE policyholder rewards programme. You and the family enjoy monthly savings and discounts plus a chance to win great prizes in the monthly Spin & Win!

Struggling to pay your insurance premiums?

If you are struggling to afford your insurance, please chat to your financial adviser or one of our skilled 1Life Insurance consultants who can look for ways to make cover more affordable.  

Your cover is for your loved ones

Your insurance policy is one of the most important ways you can protect your family’s financial future! Which is why it is regarded by financial planners and experts the world over as a must-have item! Make sure you include it as an essential expense, budget for annual increases and your loved ones will have the protection they need.

*Premiums shown are for illustrative purposes only. Exact premiums for each policy will depend on various risk factors. Ts&Cs apply.