By 
Bromfield says that the FNB Life & Legacy Plan represents FNB’s response to the historical challenges the SA life insurance industry has faced in delivering a compelling value proposition to the lower- to upper-middle-income markets.
“Many individuals in these groups have found the underwriting process lengthy and complicated, and some perceive life insurance as unaffordable compared to more familiar funeral cover policies,” he says. “This has contributed to a low persistency of life insurance policies, particularly within the first 12 months.”
The FNB Life & Legacy Plan aims to address this by simplifying this journey. The product offers flexible coverage options, ranging from R100,000 to R1.5m, which can be tailored to each customer’s needs. It also allows the policyholder to choose between a lump sum payout or a structured monthly income over 24 months, giving families the ability to manage their finances in a way that suits their circumstances.
“Many people assume that life cover is only about providing a large sum of money when someone passes away,” says Bromfield. “While the FNB Life & Legacy Plan does that, it’s more about helping families navigate the aftermath of a death — particularly of a breadwinner — supporting them with immediate funeral expenses, making sure their long-term financial needs are taken care of, and guiding and supporting them through the challenging estate execution process.”
This focus on legacy management is a standout feature of the FNB Life & Legacy Plan. The product integrates will and estate benefits to provide clients and their beneficiaries with a clear path to manage all assets after the covered individual passes.
FNB offers a 30% discount on executor’s fees if the estate is managed through FNB Fiduciary and the plan includes cover for up to R100,000 towards the remaining executor fees — helping beneficiaries avoid the high fees often associated with estate management.
In addition, the FNB Life & Legacy Plan includes support for minor beneficiaries through the Minor Beneficiary Trust option. This ensures that any funds allocated to children under the age of 18 are professionally managed to meet their specific needs, protecting their financial future.
Comments