It’s time to demand simple, personalised life insurance

The start of the year is a common time for people to re-evaluate their lifestyles, their careers and their financial situations. This often manifests as the famous “New Year’s resolution,” an impulsive decision to kickstart the year
with some form of lifestyle change, fitness goal or new habit. 

Popular and perfectly admirably resolutions include diets, training to run the Comrades marathon, refraining from alcohol, or starting a hobby. These resolutions often fade out in the year, leaving people wondering why they even bothered with such a short-lived undertaking.


The same principles apply to one’s financial well-being. A short-term financial approach will not lead to long-term prosperity.


Short-termism is also implicit in the one-size-fits-all approach to many financial products. They are easily sold, and easily charged for, but are they tailored to a client’s personal needs? Do they integrate into the individual’s overall financial portfolio? Will they ultimately provide financial security? One-size-fits-all can never be the right approach, since all of us are different, and our circumstances most certainly are. Our financial needs, while different from each other, also change over time.


At the same time, a piecemeal strategy that only addresses one of your financial needs, to the exclusion of your broader financial portfolio, is also not optimal.


In-depth research and client engagement give financial institutions great insights into consumers’
real needs. What they reveal is a clear customer demand for integrated financial services with a holistic view of their portfolio.


If, in the spirit of the season, you have resolved to get yourself onto a more secure financial footing, we suggest three prime considerations in taking a fresh new approach to this:


1. Look for products you understand


It’s not unreasonable to ask for simple, easy-to-understand products – after all, you want to be certain that you’re going to get what you’ve been promised. Ensure that you get, or rather demand,
elegant simplicity and reduced complexity, but never at the expense of comprehensiveness.


Offerings such as life cover, disability cover, income protection cover and severe illness cover
can be consolidated under one service provider, tailored to your individual requirements.


Although convenient, debt cover products traditionally offer poor value for money. This is changing,
however. There are new products on the market where, for example, the life cover automatically adjusts as your outstanding loan balance reduces, so your premiums shrink over time.  


2. Make sure it is personalised


Don’t accept products that are not right for you just because that’s what is offered. If you want illness or disability cover, don’t be forced into buying life cover. Make sure the product pricing and benefits are designed for and based on your needs, and not created for generic population groups. You are
more than just another data point.


3. Get it on your terms


Gone are the days when companies could dictate how you interacted with them. If you want to do everything yourself online, using world-class digital support tools, why can’t you? If you want face-to-face assistance from a qualified professional who knows your personal circumstances, you should be able to get that too. You should also be able to use any combination of channels or interaction
points that you prefer. However you go about it, make sure you get a single view of your overall financial portfolio.


The world has changed – make sure your banking, investments and life insurance have kept up. You don’t need to do things the way they have always been done – do it your way.  Your financial future is too important not to.