SA: Your thoughts on the Clientele Life Insurance Company?

Question

They look affordable, but what are the catches?

Answer 1

Don't be fooled, the premiums charged by Clientele life and other life assurers aimed at the majority low income segment of the population are relatively expensive when compared to similiar products offered by large multinationals such as Old Mutual, Sanlam and liberty Life.

When I first started working I personally took out life insurance cover with Clientele, I think about R500 000 cover just to start off and paid nearly R250 per month, I later cancelled that policy and went to Old Mutual where I now pay the exact same premium for R2 000 000 cover and I am a smoker, it obviously also depends on your age, occupation and other variables and will differ from person to person.

Clientele is definitely convenient as policies can be taken out telephonically and without blood testing, but they are definitely far more expensive in the long term, rather have the blood tests done and receive far greater cover from a more recognised institution.

Answer 2

Clientele Life is my largest customer - therefore I shall refrain from giving them a hard time -

Like any other product it is best to get quotes from as many companies as possible - this is where it is best to have a broker who can guide you through all the small print as many policies look the same on the outside but when you delve deeper into the nitty-gritties there can be huge differences in the benefits offered

I did a similar exercise to BULL and I also found Old Mutual to be by far the cheapest, while offering the most benefits. I worked through a Standard Bank agent who spent a lot of time and effort explaining all the benefits and requirements of the policy...

Answer 3

"Buying cheap is buying expensive" applies as much for buying insurance as it applies for buying cars of food products.

Clientele is affordable cover but for what you are getting you actually do pay far too much.