Risk cover

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Different benefits solve different cash-flow problems

A lump sum settles debt. A monthly benefit replaces earnings. Buying one does not automatically solve the others, and insurance only covers what remains.

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Life cover is not simply a multiple of salary

Existing assets, survivor income, employer cover, debt terms and the length of dependence all shape the amount. Four policy roles that may be four people.

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Disabled is not a definition

Own occupation, a similar occupation, daily activities, or another stated test. Find the wording that decides the claim, not just the schedule.

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Cover is rarely every rand of income

Limits, offsets, escalation and proof of earnings all shape what is paid. Compare the waiting period with your emergency reserve and employer sick leave.

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A diagnosis is not automatically a claim

Severity levels, partial payments, survival periods and exclusions all sit behind the list of conditions. Check the marketing summary against the wording.

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Unpaid work also has to be replaced

Financial dependence is wider than a list of legal dependants. Include the roles that would need paid help, and be careful not to count the same need twice.

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A neat number can hide fragile answers

Needs less resources gives a possible gap, not an automatic policy amount. Do not offset an asset unless it could reasonably be used for that purpose.

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The schedule says what, the wording says how

A schedule is not the whole contract. Seven items to mark on it, and why a wrong occupation or smoker status can create a real problem later.

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Exclusions are not footnotes

Back condition excluded can be broader or narrower than it sounds. Copy the reference accurately before you paraphrase it.

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The first debit order is not the price

A low starting premium can become difficult later. Ask for the premium and cover patterns separately, and find out which increases the insurer may change.

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Group cover can end the day the job does

Employer benefits belong in your cover picture, but the policyholder is often the fund. Check portability before you cancel anything personal.

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A documented consequence, not an arbitrary multiple

Name the people whose absence would materially affect the business, and the revenue, cost or debt consequence for each. Cover follows from that, not a formula.

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The policy pays, the agreement obliges

One without the other can fail. Put the signed agreement, the latest valuation and the policy schedules side by side and check that they still match.

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A loading is not a moral judgment

Standard terms, a higher premium, an exclusion, a postponement or a decline. What underwriting is actually doing, and why disclosure protects the later claim.

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Cheaper may be narrower, dearer is not automatically broader

Products can share a name and use different claim definitions. Complete the sentence: a claim may be paid if ___, using the wording and all its qualifiers.

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Naming someone does not settle it

A nomination's legal effect depends on the product. Retirement funds follow statutory processes that a life policy does not. Leaving it blank is worse.

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Your health has changed since the first application

A replacement can bring new exclusions, waiting periods and claim definitions. Never cancel on the assumption that the new application will be accepted.

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Commission questions are not accusations

A high payment does not prove the advice is wrong, and the insurer paying does not make it irrelevant. Four lines to add to your policy record.