ONE Increase Cover For Those Under Debt Review
Insurance company ONE has long been an industry leader in the field of specialized insurance for consumers under debt review. Now they are pushing the boundaries once again as they increase their benefits to policyholders under debt review.
You Have Insurance You Just May Not Realise It
Many consumers are unaware that they have taken out insurance on their credit agreements when they take out credit. It gets mentioned in passing and they agree to pay the costs because (1) otherwise they won’t be able to get cover and (2) they imagine they will never need insurance for their credit anyway.
One of the provisions of the National Credit Act is that consumers be offered the opportunity to provide their own cover for their credit. Now, most people wouldn’t even know where to start doing this and because the amounts seem to be small (monthly) many consumers will never take advantage of this provision of the NCA even if it could save them money.
For those entering debt review, they are often looking for ways to reduce their monthly spending and after talking to a FAIS advisor they are able to find replacement insurance through firms like ONE that cut down on their previously expensive insurance costs. These savings can be used to increase their debt repayments or cover needed budget items. Over time they can save a bundle by making the change.
When you change from one type of insurance to another there is always a concern that you want the benefits to stay the same (or improve) should you ever need to claim. This has been one excuse that African Bank (who make a lot of their profits off insurance) has made in not wanting to let people switch despite this provision of the NCA. For many, it has been a struggle to make the change with the credit provider. Other credit providers have been quicker to accept the change. Any good FAIS advisor will help their client find a better product that meets their need if one exists.
Did you know that some dodgy insurance firms refuse to pay out on claims if you don’t tell them you are under debt review when entering the process?
ONE have been well known in the debt review industry for being able to not only match what other policies offer but doing so at a much lower rate. They realise that consumers under debt review have help budgeting and limit their spending and are less likely to miss payments.
Now ONE are increasing the already generous benefits they already offer to consumers who are under debt review if they lose their job (are retrenched) or are temporarily disabled. Consumers with a bond will now not only benefit by having their policy pay their mortgage payments for many months while they find new work or recover but can now also have their municipal rates & taxes paid as well.
Many times consumers have been so relieved they have their monthly obligation covered they were more than happy they took out the very affordable insurance. They may, however, have been troubled when their rates and taxes needed to be paid and they temporarily didn’t have the means to do so. This could even, in some cases, threaten to take the consumer out of debt review during this tough time.
‘This could even, in some cases, threaten to take the consumer out of debt review during this tough time’
ONE have not increased their amazing low rate of only R2/per R1000 (credit) but are now including this new added benefit into their policies at no extra to the debt review consumer.