5 steps to buying life insurance for your home loan

Private Property South Africa
Press

Buying a home for the first time is an exhilarating mix of excitement and stress, which culminates in your owning a place you get to paint any colour you want. But before you start picking the brightest paint swatches on the rack, there’s something you need to do to protect your shiny new asset.

We’re talking about life insurance. Basically, it works like this: You find a house you love, you apply for a home loan, you get the home loan and the bank requires you to get life insurance to cover the bond. You need this cover, because if anything should happen to you, whether it’s illness, sudden disability or the Big Sleep, the bank has the right to sell your property to cover the outstanding loan amount. That’s bad news for your family.

But with life insurance, if any of that should happen, you or your beneficiaries get a lump sum paid out to cover your bond (and potentially any other debts you may have). Think of it as a lovely blanket that surrounds you all, making sure you’re warm and safe, forever.

So let’s get right to it, here’s how you go about buying life insurance:

One
Do some research, ask friends and family or talk to your bond originator, . The best advice often comes from someone you already trust. And check out Indie’s Finale product. It’s world-class cover, plus it includes a Wealth Bonus that can help you pay your bond off quicker (more on that later).

Two
Request some quotes. Most reputable financial services providers have online tools that allow you to get an idea of your potential premiums, which makes it easier to compare. Remember that cheapest isn’t always best.

Three
Cover only what you need. You can keep your premiums low by making sure your cover amount is exactly what you need. There’s no point in paying more for an eventual payout that is bigger than your actual debt.

Four
Choose a life insurance provider with a good reputation and solid backing. Consider the customer services, benefits beyond cover, as well as the price.

Five
Complete your application. This could take a while, or if you’ve stepped into the 21st century, you can complete your application online with Indie in 10 minutes!

Okay, so what’s the deal with Indie you ask? Glad you noticed the hints.

Indie is a financial services provider that’s breaking the category mould. Their process is completely online, and you can go from getting a quote to being insured in less time than it takes to power through the latest must-see Netflix documentary. And even if that’s not your cup of tea, their customer service team is always available to give you a call and chat you through the process.

Indie Finale is the product you’re looking for, especially if you’ve got a home loan. It’s cover without the fuss, and then some, plus every Indie policy also comes with a built-in Wealth Bonus. That means they match up to 100% of your monthly premium into a growing investment account on your behalf, at no extra cost to you.

This investment grows until you’re 70, at which point you can cash out and enjoy being a millionaire. If you’re not keen on waiting, you can also cash out 10% of the invested amount every 5 years, which you can use for whatever you want (think about the difference that could make to a bond payment!) The only catch? Stick with Indie. That’s it. We’re not telling you to get Indie, of course. Research is still important to find the perfect life insurance fit for you.

All we’re saying is “Hey, whaddya know, a link!” www.indiefin.com

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