Life insurance cover allows you to pay a small fee every month so that, in the event of your death, the sum of your choosing gets paid to your beneficiaries. A life insurance policy would support your friends and family through their grief and provide them with immediate financial support to help towards funeral costs. Depending on your cover, it could also go towards university tuition or other significant events. If you want help calculating the amount of life insurance cover you need, read this helpful life insurance guide.

There is no ‘one size fits all’ type of life insurance. The life insurance cover you choose should be based on your specific needs. When deciding on which type of policy to take out, you need to consider the reliance of your beneficiaries on your income and also how much you want to spend per month. Your risk profile will be calculated based on factors such as age, gender, occupation and health. When given options for your monthly premium, how much you want to spend may also help you decide which policy to take out.

If you work for a group or large company you may already have life insurance through that employer. This type of work benefit is often quite limited so it is worthwhile you investigating how much cover is included. It might therefore be best to have one of your own policy that is tailored to your lifestyle and needs. The expertise of our helpful team will support you in topping up any existing policies and spot any gaps in your insurance. 

Sports like paragliding, motor racing, parachuting, and diving, amongst other dangerous sports will need to be disclosed to your insurance provider. You are also encouraged by law to divulge any risks that are associated with your work – for example if you are a pilot, a miner or you work with weapons as these roles will change your risk profiel. It is important to be honest when disclosing these activities, as well as your medical history, in order for a claim to be approved and payment made.

The only requirement when taking a life insurance policy with Budget is to do a HIV test. 

There is a two-year exclusion period on all life insurance policies in place. This is to prevent those who have sadly decided to end their life from using insurance fraudulently.

At Budget, we always aim to accept claims. However, there are some situations when a claim will be rejected which is as follows:

• Takes their own life within 24 months of the commencement date (suicide).

• Gets income from a criminal act, including fraud.

• Participates in criminal activity or wilfully breaks the law.

• Dies as a result of the excessive consumption of alcohol and drugs or radioactivity and nuclear explosions.

• Withholds information from Budget Life and 1Life at any stage.

Other exclusions – or conditions under which claims might be rejected – will be listed in the policy schedule that is issued when taking out a policy.