South Africa and Africa Life Insurance

A resident of South Africa can buy a life insurance policy from a local life insurance company like FNB Life, Sanlam or Discovery Life.

International life insurance policies are also available from some of the world's biggest and strongest global life insurers.

Life insurance premiums are typically paid monthly or yearly depending upon the size of the insurance policy being purchased.

Local South African life insurance companies’ monthly premiums start from Rand 100 for a low level of life cover. Compare this to international life insurers whose premiums typically start at least $10,000 a year for a minimum of $1m of life cover upwards.

Your life insurance premium is calculated based on where you are living in Africa. Each of the 39 African countries has its own risk rating by an insurance company. So your country of residence, age, gender, smoking status and amount of cover will decide how much life cover will cost in Africa.

Our appointed life insurance advisers in Africa will take you through a questionnaire that will be used by the insurers to assess how much life cover you can get and how much it will cost you.

Find out how much life cover you can buy if you are a South African or African resident on the Capital for Life website.

Anyone living or working in Africa can benefit from taking out life insurance if it is available.

Both ex-pats and African nationals can benefit from the same types and level of cover which are:

• Whole of life

• Universal life insurance

• Term insurance

• Renewable term insurance

Different types of life cover are available to meet different needs.

South African residents can premium finance a life insurance policy.

International life insurance single premium policies can often be premium financed by a bank or third party lender. This option doesn't exist for local African insurers.

Local and international life insurers give African residents the ability to pay for their policy over a number of years, or for the rest of the policy term.

There is no limit to the number of life policies a resident of South Africa can buy. The South African Long-term Insurance Act 52 of 1998 governs local life insurance companies.

For example, a South African resident may be insured through a group life insurance policy, as well as their own individual life cover policy.

Whilst multiple life insurance policies can be held, an insurable interest needs to exist. An insurable interest means you can justify the amount of life cover you are applying fo. The amount of life cover you can buy considers how much cover you already have in place with an onshore African insurer, or any existing policies you hold with an offshore insurer.

Multiple claims can be made on life insurance policies on a South African or African resident. Beneficiaries of the deceased person can make a claim for the death benefit on each of the life insurance policies that the individual holds.

However, some local South African insurance companies may reduce the payout if the deceased person is holding more than one life policy from a different insurer. It is important to check if your insurer will reduce your life cover if you have several life policies.

Medical centres across South Africa carry out life insurance medicals for both local and international life insurance companies.

Each insurer will have their own preferred medical centres and these can be found from your local South African life insurance broker or financial advisor working with you to get cover.

Some of the clinics in South Africa approved by life insurers for medicals include The Mayo Clinic of South Africa and Life Healthcare.

Medical centres across continental Africa carry out life insurance medicals for both local African insurers and international life insurance companies.

Each insurer will have their own preferred medical centres and these can be found from your local African life insurance broker or financial advisor working with you to get cover the cover you want.

African medical centres used by life insurers include the Euracare Multi-Specialist Hospital in Nigeria, Nakasero Hospital in Uganda and Premier Care in Tanzania.

A South African resident can typically get up to US$2m of life insurance cover in South Africa with no medical requirements. However, some age restrictions apply to no medical life insurance applications in parts of Africa and South Africa.

For example, previous serious medical conditions and older life insurance applicants will require a medical examination before a life insurer will make an offer of cover.

In South Africa, life insurance policy payouts are generally not taxed. However, the premiums paid for the policy may be subject to tax, depending on the circumstances. For example, premiums paid by an individual for their own life insurance policy are generally not tax-deductible. However, premiums paid by a business for the life insurance of an employee may be tax-deductible as a business expense.

It's important to note that the tax treatment of life insurance premiums and payouts can vary depending on the specific details of the policy and the circumstances of the policyholder. It's always a good idea to consult with a qualified tax professional or financial advisor to understand the tax implications of your life insurance policy.

The average life expectancy in South Africa is 64.1 years old (Source: Word Bank 2019) which breaks down as follows:

• The average male life expectancy in South Africa is 60.7 years old.
• The average female life expectancy in South Africa is 67.6 years old.

Beneficiaries of a life policy on a South African or African resident can submit a claim as soon as a death certificate has been granted. Contact your local African appointed broker or email us at enquiries@capitalforlife.com.

They will inform you of the life insurance claim procedure you will need to follow and the relevant documentation required to process your claim for the death benefit of the life policy.

A resident of South Africa or Africa can have both local and oveaseas beneficiaries to their life policy. There is no limit to the number of beneficiaries you can have for a life insurance plan.

Life insurance is one of the most important financial decisions you’ll ever make, which is why it makes sense to insure your life with one of the best global life insurers. All of the insurance companies we deal have a financial strength rating of 'A-' or higher from the global credit rating agency Standard & Poor's.

If you are a resident in African, speak to a Capital for Life appointed adviser in Africa.

Or speak directly to us about the options you have for life insurance and premium financing that available to you in Africa.

Email us at enquiries@capitalforlife.com and we will be ready to assist you.

No, Capital for Life is not a South African life insurance company. We provide international universal life insurance solutions for leading international life insurers to financial advisers and wealth managers for their high-net-worth clients.

There are several life insurance companies operating in South Africa, some of the most well-known include:

1. Old Mutual: One of the oldest and most reputable insurance companies in South Africa, Old Mutual offers a wide range of life insurance products for high-net-worth clients.
2. Sanlam: Sanlam is another leading provider of life insurance in South Africa, with a wide range of products and services to meet the needs of different customers.
3. Discovery: Discovery is a relatively new player in the South African insurance market, but it has quickly become one of the most popular life insurance companies in the country.
4. Liberty: Liberty is a leading life insurance company in South Africa, offering a wide range of products and services to customers.
5. Momentum: Momentum is a leading provider of life insurance products in South Africa, Known for it's good customer service and innovative products.
6. FNB: First National Bank also offers life insurance policies to its customers, which are underwritten by Old Mutual.
7. Outsurance: Outsurance is a South African-based insurance company that offers a wide range of insurance products, including life insurance.

These are just a few examples of the many life insurance companies operating in South Africa, and there may be other options available depending on your specific needs and location. It's always a good idea to compare the life policies from South African life insurance companies and international life insurance policies that are available before making a decision.

If you would like to speak to an intenational life insurance broker covering South Africa, get in touch with us at Capital for Life on 00 971 52 772 6262 or email us at enquiries@capitalforlife.com

Speak to a Capital for Life appointed adviser in Africa or directly to us about the options you have for life insurance and premium financing that is available across 39 African countries.

Email us at enquiries@capitalforlife.com and we will be ready to assist you.

Life insurance is one of the most important financial decisions you’ll ever make, which is why it makes sense to insure your life with one of the best life insurers.

We bring the best international life insurance solutions available to the African market.

We are independent, have no conflicts of interest, provide you and your African based adviser with a choice of insurers and ways to pay for your policy,

If you are a resident in African, speak to a Capital for Life appointed adviser in near to you in Africa.

Or speak directly to us about the options you have for life insurance and premium financing in Africa.

Email us at enquiries@capitalforlife.com and we will be ready to assist you.

Speak to your financial adviser or contact Capital for Life directly at quotes@capitalforlife.com and we will arrange for an adviser to contact you with a life cover quote.