When it comes to life insurance, there are two types of customers. The first, a person who primarily takes out a life insurance policy with the purpose of leaving behind a safety net for their loved ones after their passing. The second, a person who takes out a policy with the primary purpose of making savings.
Many of our policyholders fall into the second category. When they meet with insurance agents and representatives, they discuss the savings plan which work best for their short or long term goals.
One of the concerns shared by some of the more cautious policyholders is that they may not survive the policy term and will not get to enjoy the benefits of their savings. This concern subsequently shapes the type of policies they take out. In the worst scenario, some potential policyholders never take that ultimate step.
With Sacos currently running a promotion on Endowment Assurance Plan for its 40th anniversary (giving away a free SCR150,000 policy to existing or new customers by 31 August), here is a quick look at how a SCR150,000 Endowment Assurance Plan can benefit the policyholder.
Lump-Sum Payment: The Endowment Assurance Plan is designed to pay out a lump sum amount at the end of the maturity period. This means that the policyholder will receive SCR150,000 at the end of the maturity period.
Policy term: The policy term can range between 10 and 35 years. The policy holder has flexibility in deciding what works best for them depending on their short or long term goals.
Survival Benefit: With the Endowment Assurance Plan, the survival benefit is paid upon maturity. The policyholder receives the full sum assured, plus accrued bonuses if With-Profit was included. Currently, the SCR150,000 Endowment Plan promotion is based on a 10-year term. Policies with shorter terms can easily assuage the fears some policyholders may have with not surviving their insurance plans.
There are many ways a short term Endowment Assurance Plan can be used to benefit the policyholder. Parents can use this plan as an investment to cover (fully or partially) tuition costs at secondary or tertiary level. A twenty-two year old aspiring homeowner can use it to secure a SCR900,000 Mortgage at the age of thirty-two. A thirty year old would-be entrepreneur can use it as capital when they launch their own business in ten years. A fifty year old can plan for a supplement to their retirement income.
A case can also be made for a third type of consumer, who considers a little bit of both – the savings plan and the safety net for families left behind. Whichever it is, there is an insurance plan for everyone out there. You simply need to take the first step in reaching out to an agent or Sacos at 429 5000 or life@sacos.sc.
