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1.What is group life assurance cover?

Group Life Assurance Cover is an arrangement, which provides for the payment of a lump sum, usually expressed as a multiple of salary, in the event of death of a member of the scheme while in service of the employer.

The aim of this cover is to aid employers to alleviate the financial distress that might befall the dependants of an employee upon his death.

2. What exactly is covered by this assurance?

Group Life Assurance covers death from any cause, including HIV/AIDS related complications.

3. What are the benefits?

The benefit payable is a cash lump sum usually a multiple of Annual salary. The cash Lump Sums is paid for the benefit of your dependants who may include a person or persons included in the Nomination of Beneficiary Form.

4. What is free cover/hiv testing limit?

This limit, also referred to as Non-Medical Limit, is set by the Insurance Company providing the Cover. It refers to the threshold, which, if not exceeded by a member’s Death Benefit, the member is accepted into the Scheme without medical examination. For all members, the amount of benefits up to that limit; will be accepted by the Insurance Company regardless of your state of health.

5. Why should i go for a medical check up?

A Medical Examination will only be required when your Death Benefit goes beyond the Non-Medical limit.

When your Death Benefit exceeds the limit, it will be necessary to provide evidence of your health before the Death Benefit in excess of the limit can be accepted. This will also apply to any subsequent increase in Benefit beyond the limits set by the Insurance Company from time to time. If you do not comply with the requirements for medical examination, your Benefit will be limited to the non-medical limit of the Scheme as advised from time to time.

You will be advised when a Medical report is required and this must be carried out by one of the Medical Examiners appointed by the Insurance Company. The Medical Examiner must not be your own Private Doctor. Note that the cost of the medical examination is borne by the Insurance Company.

6. What happens if i do not ‘pass’ the medical check up?

If you do not pass the medical check up any of the following can apply:

1. Your benefit above the Free cover Limit will be accepted but at a loading;

2. If your medical condition is unacceptable we will restrict you to the Free Cover Limit or to the Last Accepted death benefit, whichever is higher;

3. If your medical condition is treatable or correctible we postpone cover until the condition is rectified, but in the meantime we hold you at Free Cover Limit or the Last Accepted Sum Assured, whichever is higher.

When acceptance of your Full Death Benefit is postponed, at your request, we will send your medical report to your private medical attendant for consultation and treatment, which will be at your cost.

7. How often must i go for medical check up?

You’ll be required to undergo medical checkup;

1. If your death benefit is above the Free Cover limit;

2. Sometimes, If your medical reports are not satisfactory, you can be sent for repeat [supplementary] test;

3. If your incremental benefit goes up by 30% provided your last Medical reports are more than Six [6] month old;

4. If [iii] above is not applicable, then, after every five [5] years;

5. If acceptance of your Full Death Benefit is postponed, you’ll be required to undergo medical checkup during the next renewal;

6. If your are above the Normal Retirement Age, you’ll be required to go for medical check up every renewal.

8. Which exclusions are applicable?

Group Life Assurance exclusions are those causes of death which the Insurance Company is not willing to admit, since the admission of these causes of death would make Insurance extremely expensive. Some can however be accepted at optionally excessive premium.

Deaths arising directly or indirectly or traceable to any of the following events are excluded:

a) Active & direct involvement in war, whether declared or not;

b) Aviation except for passengers and crew of airlines and private flying purely for transport purposes;

3. Atomic energy and/or nuclear fission or reaction; &

4. Intake of illegal drugs.

9. What is meant by nomination of beneficiary?

You may nominate one or more of those of your relatives or dependants to whom you would wish the Organization to pay the Benefit due in the event of your death.

The nomination will ensure that payment can be made to your dependants promptly without being included in your estate. The nomination will not be binding on the Organization. However, the Organization will, where they hold a Nomination of Beneficiary, pay particular attention to the deceased employee's wishes.

10. How will my beneficiaries be paid?

Normally the Insurance Company will pay the Death Benefit to the Organization that employed the deceased member. The Organization then decides how the Cash Lump Sum will be delivered to their Beneficiary[ies].