Tag: life insurance policy

You’ve most likely heard the term ‘underwriting’ mentioned in insurance ads and weren’t sure what it meant and why it’s important. Underwriting is a key element of life, critical illness, and disability insurance. It forms the basis of what premiums you pay and what you are covered for.

An unrehabilitated insolvent, who is a nominated beneficiary in terms of a life insurance policy, is not entitled to the proceeds of the policy to the exclusion of the trustees of their insolvent estate.

After the likely spike in insurance claims arising from the COVID-19 pandemic, insurers are likely to introduce new or change  existing exclusionary clauses which were not previously considered to be necessary. The rapid spread and potential damage of the coronavirus presents an extraordinary situation for governments, businesses and individuals.

A trust is a legal arrangement, where assets are held by one party (the trustee) for the benefit of another (beneficiary) as instructed by the owner (trustor/settlor). Recently many people have started to question the usefulness of trusts, given that the tax benefits afforded to trusts in the past, have eroded over time.