Credit Life Assurance

Description of Product

To cover the outstanding loan balance on Ubank Personal Loans, it is essential to take Credit Life Assurance in order to cover for life’s unexpected eventualities. It is the perfect solution should you lose your job suddenly, as a result of death, a retrenchment, or if you no longer have any source of income yet you still have to honour your loan repayments. It is available to all loan customers who wish to insure themselves against death, disability and retrenchment. The Policy is underwritten by Momentum.

What Are The Features of The Product?

Credit Life Assurance’s main objective is to help you repay your loan when you are unable to do so.
– The cover accommodates the loan that you have taken out with Ubank.
– The benefit amount is calculated as if all loan repayments were kept up to date and it excludes any arrears, and interest on any arrears.
– Your Policy schedule will show which benefits (temporary disability, permanent disability, death and retrenchment) you are covered for and Momentum will pay Ubank. This payment settles your outstanding loan.

What Are The Benefits of Credit Life Assurance?

– Premiums are not payable whilst receiving a temporary disability benefit.
– Momentum will not charge any penalties if you cancel your Policy.
– Credit Life Assurance premiums form part of the loan repayment.

Cessation of Benefits

Your benefits will stop as soon as one of the following events happens:
– The maximum payment period expires, provided that the periods of recurrent disability are added together for the purposes of determining the payment period that has already elapsed if you die.
– The retrenchment benefit will stop, when the maximum payment period expires or you die.
– Your loan is repaid in full.
– A permanent disability benefit becomes payable.
– Momentum is not satisfied that you are still temporarily disabled.
– You do not fulfill all of the other conditions in order to be eligible for a benefit in terms of this Policy.
– You reach the benefit termination date.
– You are absent from a Southern African country for longer than 12 consecutive months, unless Momentum agrees in writing to extend this period.
– You default on your loan.

How Does The Product Work?

Momentum will pay the death, permanent disability and temporary disability benefit, once the required documents have been submitted and the claim has been received by Momentum under the terms and conditions of this policy. If there is any surplus when the benefit is paid, this surplus is payable by Ubank to you or to your nominated beneficiaries, if you die. The first payment will take place on the last day of the month in which the assessment period expires.

Claims

The customer must provide Ubank with all the initial information and assessments required by Momentum in order to adequately assess the claim.
In respect of a death claim, Ubank must notify Momentum of the claim. Ubank needs to give the completed forms and documents to Momentum not more than six months after of the death.
If Momentum asks for any additional information or supporting documents over and above the standard, prescribed requirements, these must be provided to Momentum within six months of Momentum’s request.
What do you need to make a claim?
– A legible, fully completed Momentum claim form.
– You need a green bar-coded South African identity book or smart card, or a valid South African passport.
– A copy of your death certificate/ medical evidence that proves to Momentum that you are permanently or temporarily disabled.
– Proof of your membership, if requested by Momentum.
– If you are retrenched, a letter from your former employer stating that you have suffered a loss of employment due to a staff reduction program and that the loss of employment did not arise as a result of any of the circumstances under which cover is not provided and an affidavit from you confirming your retrenchment.

Submitting Claims

Claims are assessed within a reasonable time of receiving them. On admission of the claim, and on the satisfaction of the provisions of this Policy, Momentum will pay the benefit in accordance with the provisions of this Policy. Momentum is entitled to call for any medical or other evidence at any stage while a member’s claim is being considered, or at any relevant time thereafter.

Limitations / Exclusions Of The Product

No benefit is payable under this Policy for any claim if, during the first 12 months following your Policy start date, in the opinion of Momentum, the claim is as a result of any illness, injury or condition that you knew about, negligent, or could reasonably be expected to have known about or were diagnosed with or were treated for, or displayed symptoms of during the six months before your Policy start date. You must still pay the premiums during the assessment period. If you stop paying your premiums, your Policy will lapse, which means that you aren’t covered for any benefits.

Pricing Structure

The monthly premiums include fees and commissions payable to Ubank. A premium is charged per R1000. Permanent and contract workers are charged a different premium.

TO FIND OUT MORE INFORMATION ABOUT THIS PRODUCT
Visit your nearest branch with all the relevant documents to apply or contact the Call centre on 086000 8322 for more information.

Credit Life Assurance Policy