Helping employees keep their life cover in these trying times
COVID-19 is posing great challenges not only to governments and the global economy, but also to businesses and their employees. The far-reaching economic impact of the pandemic and lockdown regulations is already evident in the employment space as many employees face the harsh reality of retrenchment. Another reality is that the only life insurance cover many South Africans have is the group life cover they have through their employer. This means that large numbers of these employees facing retrenchment will not only lose their jobs, but also their life cover. Special offer to convert death benefits on retrenchment – now available to members of Momentum Corporate group insurance schemes. If your clients’ employees have death benefit cover under a Momentum Corporate group policy and are retrenched, they will now be able to exercise the conversion option, even if their employer has not elected this option as part of their group insurance benefits. This benefit is already available to all FundsAtWork Umbrella Funds schemes. Until recently, the conversion option for specific benefits was only available to the employees of employers who had chosen to make the option available to their group of employees in the event of the employees’ employment being terminated due to retirement, resignation or retrenchment. This special offer gives your clients’ employees the opportunity to convert their group insurance death benefits to an individual insurance policy with Momentum Myriad if they are retrenched. This means that they can get the same level of cover they had under their group insurance and aside from a smoker’s test, don’t have to undergo the underwriting they would normally be subject to when taking out a policy as an individual. As a leading group insurer, we are already there for thousands of South African families in their time of need. In 2019, we paid more than R2.2 billion in death benefits. Making the conversion option available to a much wider group of employees means:
• More employees will be able to retain their life insurance cover as individuals.
• More employees will be encouraged to keep their life insurance cover at a critical time in our country’s history and in the middle of a life-threatening pandemic.
• Fewer families will face the potentially catastrophic financial consequences of losing a breadwinner without any form of insurance protection.