Choosing the right life insurance policy is crucial for financial planning and securing the future of your loved ones. This article compares two prominent life insurance providers in South Africa: Assupol Life Insurance and FNB Bank Life Insurance. Both offer a range of products with unique benefits and features tailored to meet various needs. This comprehensive review will help you understand the key differences, benefits, and suitability of each policy, assisting you in making an informed decision.
Assupol Life Insurance Overview
Assupol Life Insurance has been serving South Africans since 1913, offering a variety of life insurance products designed to cater to different needs and budgets. Here are the main products offered by Assupol:
Progress 4Sure Plan
- No medical tests or questions required
- Premiums start at R90 per month
- Payout up to R300,000 on death
- Includes funeral cover up to R10,000 for the policyholder and spouse
- Option to increase coverage over time
- Can be used as security for debt
- 10% of premiums paid back every 10 years if no claims are made (4Sure Loyalty Reward)
Progress 4Life Plan
- No blood test, 8 yes/no medical questions
- Premiums start at R120 per month
- Payout up to R1.2 million on death
- Includes funeral cover up to R20,000 for the policyholder
- Immediate cover for natural causes
- All premiums paid back every 15 years if no claims are made (4Life 100% Cashback)
Progress Legacy Plan
- Blood test and medical questions required
- Premiums start at R150 per month
- Payout up to R10 million on death
- Potential retirement value increase when combined with Carefree Life Retirement Annuity
Progress Accident Plan
- No medical tests or questions
- Premiums start at R73 per month
- Coverage up to R1 million for accidents
- Covers the policyholder or the entire family
Additional Benefits (for most plans)
- Funeral cover for family members
- Premium waiver options
- Cover for disability and critical illness
- Assupol’s On-Call support
FNB Bank Life Insurance Overview
FNB Bank Life Insurance offers a range of comprehensive life insurance products with attractive rewards and add-ons. Here are the key features and benefits:
Life Cover
- Offers up to R100 million life cover
- Provides up to 40% of premiums back in eBucks monthly
- Includes R30,000 funeral benefit at no extra cost, paid out within 24 hours
- Spend Protect benefit offers a lump sum payout to cover a portion of your monthly FNB/RMB spend
- Dynamic Life≫ Home: Life cover that adjusts automatically with your home loan
Accidental Death
- Eases financial burden after accidental death
- No medical questions or tests required
Optional Add-Ons
- Pay Protect: Protects lifestyle and family in case of income loss due to retrenchment or disability
- Retrenchment Cover: Maintains lifestyle and covers expenses while searching for new employment
- Income Protection: Protects income in case of disability
- Disability: Protects against financial impact of permanent or temporary disability
- Critical Illness: Pays out a lump sum if diagnosed with a critical illness
Rewards
- eBucks: Earn up to 40% back in eBucks on FNB Life Customised or Dynamic Life monthly premiums
- FNB Fusion or Current account holders can collect up to 2500 points towards their eBucks reward level each month
Qualifying Criteria
- Must be an FNB/RMB Private Bank customer
Other
- FNB Life has paid over R600 million in proactive claims since 2018
Comparison Table: Fees and Benefits
| Feature/Benefit | Assupol Life Insurance | FNB Bank Life Insurance |
|---|---|---|
| Premiums | R90 – R150 per month (depending on the plan) | Varies (up to 40% back in eBucks) |
| Payout on Death | Up to R10 million | Up to R100 million |
| Funeral Cover | Up to R20,000 | R30,000 (included) |
| Medical Tests | Not required for most plans | Not required for Accidental Death |
| Additional Benefits | Disability, critical illness cover, Assupol’s On-Call support | Disability, critical illness cover, Pay Protect, Retrenchment Cover, Income Protection |
| Rewards | 4Sure Loyalty Reward, 4Life 100% Cashback | eBucks rewards |
| Policy Features | Premium waiver options, increased retirement value | Spend Protect, Dynamic Life≫ Home |
| Company Establishment | 1913 | N/A |
Benefits of Each Life Insurance Policy
Assupol Life Insurance
- Flexible Coverage Options: Assupol offers a range of plans with varying coverage amounts and premium costs, making it easier to find a policy that fits your budget and needs.
- No Medical Tests for Most Plans: Many of Assupol’s plans do not require medical tests, simplifying the application process.
- Loyalty Rewards: Assupol provides loyalty rewards, such as 10% of premiums paid back every 10 years for the Progress 4Sure Plan and all premiums paid back every 15 years for the Progress 4Life Plan if no claims are made.
- Funeral Cover: Most plans include funeral cover, offering additional peace of mind.
FNB Bank Life Insurance
- High Coverage Amounts: FNB offers life cover up to R100 million, providing substantial financial security.
- eBucks Rewards: Policyholders can earn up to 40% back in eBucks on premiums, offering additional value.
- Comprehensive Add-Ons: Optional add-ons like Pay Protect, Retrenchment Cover, and Income Protection provide extra layers of security.
- Quick Funeral Payout: The R30,000 funeral benefit is paid out within 24 hours, ensuring quick support during difficult times.
Requirements for Each Life Insurance Policy
Assupol Life Insurance
- Progress 4Sure Plan: No medical tests or questions required.
- Progress 4Life Plan: No blood test, 8 yes/no medical questions.
- Progress Legacy Plan: Blood test and medical questions required.
- Progress Accident Plan: No medical tests or questions required.
FNB Bank Life Insurance
- Life Cover and Accidental Death: No medical questions or tests required for accidental death coverage.
- Qualifying Criteria: Must be an FNB/RMB Private Bank customer.
Pros and Cons of Each Life Insurance Policy
Assupol Life Insurance
Pros:
- Affordable premiums starting from R73 per month.
- No medical tests for most plans.
- Comprehensive coverage options including funeral cover.
- Loyalty rewards on some plans.
Cons:
- Lower maximum coverage amounts compared to FNB.
- Medical tests required for the Progress Legacy Plan.
FNB Bank Life Insurance
Pros:
- High coverage amounts up to R100 million.
- Earn eBucks on premiums.
- Comprehensive optional add-ons for added protection.
- Quick funeral benefit payout.
Cons:
- Must be an FNB/RMB Private Bank customer to qualify.
- Premiums may vary and could be higher than Assupol’s plans.
Who Each Policy is Suitable For
Assupol Life Insurance
Assupol’s life insurance policies are ideal for individuals seeking flexible coverage options with affordable premiums and minimal medical requirements. It is particularly suitable for those who value loyalty rewards and want to include funeral cover in their policy.
FNB Bank Life Insurance
FNB’s life insurance policies are best suited for FNB/RMB Private Bank customers who require high coverage amounts and appreciate the additional benefits of earning eBucks on their premiums. It is also suitable for those seeking comprehensive protection with various add-ons like Pay Protect and Retrenchment Cover.
Conclusion
Choosing between Assupol Life Insurance and FNB Bank Life Insurance depends on your specific needs and circumstances. Assupol offers flexible and affordable plans with minimal medical requirements, making it a great choice for those looking for straightforward coverage with loyalty rewards. On the other hand, FNB provides extensive coverage with high payout limits and the added benefit of earning eBucks, making it ideal for those who already bank with FNB and seek comprehensive protection. Evaluate your priorities and choose the policy that best aligns with your financial goals and requirements.