Things to note about Long Term Insurance

Long-term insurance is insurance that covers major life-changing events, such as death, retirement and disability. Long term insurance includes life and funeral insurances that provides for your family in times of need. It also includes retirement annuities short-term and long-term investments, to provide you with either an income upon retirement or a lump sum payment on the date on which your policy matures.

Services provided by Long-term insurance
Funeral insurance provides your family with the finances to pay for the funeral service as well other costs related to the funeral of the insured. Some policies have benefits that include funeral parlour services, repatriation costs and even medical costs if there are any. Funeral insurance gives you and your family peace-of-mind knowing you can bury your loved ones with respect.

Retirement Annuity
Saving for retirement is relatively easy. Saving enough to maintain your living standard after you stop working is a more difficult challenge, especially with inflation eating away at your precious nest egg. If you want to maintain your current standard of living, afford that special little beach cottage, take trips overseas, study or start an exciting new hobby and not be financially dependent on your children, you need to take charge of your life and start investing in your future as soon as possible.

Linked Living Annuity
When you retire, Linked Living Annuities enable you to transfer the benefits from your retirement fund into a flexible, personalized investment portfolio that matches your risk profile and provides you with a retirement income.
You can construct your portfolio from a wide range of funds together with other underlying investment options, such as shares and fixed interest instruments. This allows you to continue your equity exposure after you retire, whilst maintaining control over the underlying assets and your risk profile

Life Annuity
Upon retirement you may be confronted with the challenge of how best to preserve your nest egg. Your ability to sustain your desired lifestyle will depend on the growth of your retirement capital as well as the level of income you choose to draw after retirement.
A Life Annuity is a post-retirement product providing the following benefits:

• Receive a guaranteed pension (which is not affected by declining interest rates) until your death
• The guaranteed term you select will impact on the level of pension you receive
• Your income is guaranteed regardless of what happens on the stock market or capital markets
• Should you die during the guaranteed term, the pension is still payable to your dependents until the end of the guaranteed term
• The income may be level or it may increase by a chosen percentage each year

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Credit: Khanyisa Insurance Brokers

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