Customizable Life Insurance Solutions: How to Secure Your Family's Future
Finding life insurance that truly fits unique circumstances can feel overwhelming. Old Mutual has streamlined the process for South Africans by offering flexible, customizable policies. With the ability to mix and match cover types, as well as add extra benefits, you can ensure your family is protected in the ways that matter most, without paying for unnecessary extras.
🔍 Understanding Old Mutual’s Tailored Life Insurance Options
Life insurance needs are not one-size-fits-all. Old Mutual makes it possible to pick and pay only for the level of cover that suits you. The primary life insurance offerings pay out a single tax-free sum starting from R100 000, or provide a monthly payout option from R3 000 should something happen to you.
✅ This pay-out can be used to manage essential expenses, such as:
- Outstanding home loans
- Education costs
- Maintaining your family's lifestyle during challenging times
With add-ons like disability or severe illness cover, you’re given the flexibility to respond to life events and change your policy as your circumstances evolve.
📌 How Different Old Mutual Life Covers Work for You
Old Mutual presents several options to ensure every family's specific needs are met:
- Protect Life Cover: Lump sum paid when the insured passes away
- Protect Life Income Cover: Monthly financial support during an agreed term
- Last Survivor Cover: Covers two lives, pays out upon last insured’s passing or terminal diagnosis
- Accidental Death Cover: Financial support in case of accidental death
Every policy comes with opportunities to enhance protection, such as Cashback or Premium Protection features, so your loved ones gain the right support when it’s needed most.
📊 In 2024 alone, Old Mutual paid out over R7.3 billion in personal risk cover claims, highlighting the real value provided to families across the nation.
💰 Understanding Compulsory Yearly Premium Increases
To maintain consistent cover amounts over time, Old Mutual applies compulsory yearly premium increases. This ensures your insurance cover keeps pace with inflation and rising costs but does not automatically increase your cover amount.
You can choose from two types of compulsory yearly premium increases:
Fixed Rate Increase:
Your premium increases every year by a fixed percentage you select.Age-Linked Increase:
Premium increases depend on your age at the next birthday after the increase date. The annual increase percentages are as follows:Age Yearly Premium Increase Younger than 31 3% 31 to 35 4% 36 to 40 6% 41 to 50 8% 51 to 60 9% Older than 60 10%
You may change the compulsory yearly premium increase option at any time during your policy. The increase date and percentage chosen will be clearly detailed in your Personal Product and Benefit details.
This mechanism is necessary to keep the cover amount constant in real terms, even though your premium will increase annually. Importantly, the cover amount itself will not automatically increase due to the compulsory premium increases—you can decide if and when you want to increase your cover amount separately.
📈 Comparing Life Insurance Plans to Match Your Needs
Choosing a fitting plan requires understanding the differences in cover amounts, payment types, and available add-ons. Below is a comparison table highlighting key features of Old Mutual’s main cover types:
| Feature | Life Cover | Life Income Cover | Last Survivor Cover | Accidental Death Cover |
|---|---|---|---|---|
| Minimum Cover | R100 000 | R3 000/month | R100 000 | R100 000 |
| Maximum Accidental Death Cover | – | – | – | R2 million |
| Payout Type | Single | Monthly | Single | Single |
| Pays on Terminal Illness | Yes | Yes | Yes | No |
| Add Disability/Illness Cover | Yes | Yes | Yes | No |
| Medical Test Needed | No (up to limit) | No (up to limit) | No (up to limit) | No (up to max) |
Such comparisons help you select a plan that balances coverage, flexibility, and affordability for your family.
💡 The Benefits of Adding Disability and Illness Cover
Life can take unexpected turns, making add-on benefits essential for comprehensive protection:
- Disability insurance: Pays your cover amount if you become unable to work
- Severe illness insurance: Provides financial support during recovery from serious conditions like cancer or heart attack
- Child Illness Benefit: Pays up to 10% of your severe illness cover if your child faces critical health issues
⚠️ While these add-ons may increase your premium, they ensure your policy remains relevant if your health status changes. Choosing to bundle these within your main Life Cover can be more cost-effective than buying separate policies.
🎁 Maximizing Value with Old Mutual Rewards and Policy Features
Old Mutual’s life insurance offers more than just payout sums:
- Old Mutual Rewards Programme: Earn up to 500% of your premium as BONUS points by meeting health and fitness benchmarks
- Premium Protection: Ensures cover continues if the premium payer is disabled, impaired, retrenched, or passes away
- Immediate Cover: Up to 30 days of cover before your first payment is due — protection starts from day one
Every detail is designed to offer flexibility, encourage personal wellness, and ensure long-term security for your loved ones.