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Don’t overlook insuring your partner’s parents




Couples in long-term committed relationships often find themselves having to support their spouses financially when one of their in-laws who doesn’t have adequate funeral insurance passes away.

Lee Bromfield, CEO of FNB Life, says “Even if you have funeral cover for your own parents, you may find yourself in a financial predicament if one of your uninsured in-laws passes away as your spouse may rely on you for emotional and financial support.”

For consumers who are currently bearing the brunt of tough economic conditions, this can be a huge set back given that burial expenses will be paid out of pocket.

“When you are in a long-term relationship some financial responsibilities often have to be shared. As a result, taking out funeral cover for both in-laws should become a priority for couples,” adds Bromfield.

He says many couples find themselves in financial difficulties even post the funeral due to additional costs such as a tombstone unveiling, which are absorbed from the family’s budget and savings.

This is often followed by funeral expenses for extended family members who rely on one of the spouses for financial support.

“Some couples in this situation often have to approach loan sharks, take out personal loans and exhaust credit cards, which has a negative impact on their finances in the long term,” says Bromfield.

He advises couples to take time planning and assessing both their financial responsibilities to avoid paying for costly unforeseen events such as the passing away of a relative.

Bromfield emphasises the importance of couples deciding together who should cover their parents and extended family as well as the amount of cover necessary to afford them a dignified send-off.

“A common mistake that spouses make when insuring in-laws and extended family is taking out multiple policies. It is more cost effective to combine policies than taking out cover with different insurers,” he adds.

Couples shouldn’t wait until their parents reach retirement age to take out funeral cover as premiums will be more expensive. Moreover, there is often a waiting period for new policies that has to be factored in.

“Don’t let poor planning come between you and your partner’s financial wellbeing,” says Bromfield.

FNB Life offers funeral cover policies up to R100 000 and up to 21 family members on a single plan.

Metrosmag,sa ( inspired by Mzansi Lifestyle ) Mzansi is rich in Lifestyle, a nation diverse in race and culture. Mzansi Magazine explores the rich heritage , versitile culture and the celebrations of Life in Mzansi. Metros Magazine, SA is South Africa's informative Metropolitan lifestlye magazine with all the fresh and important news in Mzansi.

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Santam advert is getting everyone thinking insurance

David Aladegbaiye Patricks



“What Could Go Wrong?” - switch to Salam - Youtube screenshot

“What Could Go Wrong?”

Insurance adverts in South Africa are usually somewhat boring and most insurance companies have been doing adverts worse in recent times. There are even insurance companies who themselves fail to handle an irate client gone viral.

When Insurance topics are ignored by the working class, it is easily a reflection of what is not done right. So on Saturday, the tables were turned and for the very first time, an advert was cheered by a group of friends at a gathering. It was a Santam advert and the insurers received several quote requests. So what is so special about the advert.

Price is not everything

Insurance companies like to focus on price rather than expectation and force potential clients to the brink when they concentrate more on “cost savings” and ignore what can be saved. In this advert the viewer is denied the expected, nothing was discussed about price or rate, we were not given a chance to switch off our reasoning when introduced to a sequence of beautiful scenes without mentioning price.

Consumers are more Intelligent

The television commercial depicts scenarios from the surge of innovation that are currently in place and the plans for the future. The consumer is made conscious of reality and given an opportunity to reason on the current state of risk associated with technology and development. This makes the viewer feel in control, and this takes away the ” forced to buy” aspect of risk products. The advert makes consumers think of what could be managed in advance.

Risk protection should be a friendlier topic

When the drone scene pops, most people would laugh, we can all recall the flamed phones incidence that was depicted with the princess on the couch that drop her phone, these are all topics that are recent and more relative to a broad case of people and age. This is friendlier than watching a wretched car on a field with no phone answered, or a fire trapped family, insurers must move from traumatic displays to a more enjoyable and intelligent advert.

We believe santam when they say “When things go wrong, wouldn’t you want to be with the insurer that makes it right” because they spoke to consumers the right way.

If insurers take this route, consumers would be more convinced of what they are offered.

Conceptualized by the King James Group, the TV campaign provides a view into a future that’s fast becoming a current reality. Devin Kennedy, Executive Creative Director at King James says, “Digital disruptions are happening so fast it’s hard to keep up. A bold insurer identifies rising trends and quickly adapts to underwrite new risks. In this commercial, Santam shows that they’re at the forefront of technological change and are already asking the difficult question of “What Could Go Wrong?”

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Building bridges: better links to Sandton Central for everyone




Big inroads are being made improving access for everyone travelling into, out of and around Sandton Central, South Africa’s financial hub. Some of the largest positive impacts have come from building new bridges.

Three new bridges will connect Sandton Central in a way that improves transport for the area and forges stronger bonds between different communities.

“Sandton Central is South Africa’s cosmopolitan centre of trade, ideas, interaction and lifestyle. Excellent accessibility plays a key role in this. Ensuring that people can easily come to work, visit, stay, shop, or be entertained in Sandton Central is something we take seriously. We strive to provide an exceptional experience,” says Elaine Jack, City Improvement District Manager of the Sandton Central Management District (SCMD), which manages the public urban spaces of this leading city.

Over 10,000 people walk between neighbouring Alexandra and Sandton Central every day. The City of Joburg is bringing pro-poor high-quality public transport that is safe, affordable and reliable to the people of Alexandra and Sandton. Also, it is making walking and cycling easier, safer and more convenient.

“We are addressing the ill effects of the past and implementing programmes that are stitching the city together, ensuring that economic opportunities and services are closer to the people. This allows people to live, work, play and pray in a much more cost-effective and efficient manner,” says Cllr Nonhlanhla Helen Makhuba, MMC for Transport in the City of Johannesburg.

The Marlboro Rea Vaya bus and pedestrian bridge

Almost complete, this bridge is for exclusive use by Rea Vaya buses and pedestrians. It will launch in September/October 2017. The bridge is already open for pedestrians. Rea Vaya buses will have exclusive use of the bridge when the Rea Vaya Phase 1C(a) operations begin in October 2018. The bridge will make it possible for buses and pedestrians to move swiftly from Johannesburg CBD via Wynberg and Alexandra over the M1 and into Sandton Central.

The Grayston pedestrian and cyclist bridge

This non-motorist bridge for walking and cycling is under construction over the M1 highway at Grayston Drive. It will be completed by October this year. This bridge will provide a convenient and safe walking and cycling trip for people moving between Alexandra, Wynberg and Sandton Central daily. The bridge is part of a five kilometre dedicated walk and cycle route that starts in No 3 Square in the heart of Alexandra and ends in Sandton Central. The route also intersects with the Watt Street Rea Vaya station, which is right next to Pan Africa Mall. Thus, it helps people walk safely to this important station which connects Alexandra with the Joburg CBD (inner-city) and Sandton Central.

The Zandspruit bridge

Big improvements to this bridge have opened up a former bottleneck for private vehicles at a very popular access point to Sandton Central. Widening the Zandspruit Bridge and Katherine Street all the way to the M1 highway Marlboro Drive off/on ramp has already improved traffic mobility between Sandton Central and the M1 Marlboro off/on ramp.

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Small savings can go a long way this year




You don’t have to put away thousands to see the benefit of savings. In fact, starting small will not only give you the confidence that saving is possible, but will also help with your finances in the long run. 

“Starting a new savings habit this year will probably be the best financial decision you can make,” says Ryan Prozesky, CEO of Value Banking Solutions at FNB.

Herewith a few tips to get started.

Find a suitable account

Now that you have decided to save, you need an account that is best suited to your new savings habit. This needs to be separate to your bank account so that you aren’t tempted to spend your savings.

“The trick is to make the bit of money you are saving work the hardest for you,” says Prozesky. “This means it must be easy to manage and earn interest on any amount that you put away.”

For example, FNB’s Savings Pocket, is automatically linked to FNB’s Easy and Gold accounts. Transfers into and out of the Savings Pocket account are free and the account offers an attractive interest rate of 5.5%, which is earned from as little as R1 of your savings. There is no notice period to access the funds and also no monthly fee charged.

“Have a look at what your bank has to offer,” says Prozesky. “You shouldn’t have the excuse that you ‘don’t have anywhere to put your money’.”

Create a goal

Now that you have an account that will work for you, you need to choose a savings goal.

“If you are a student, starting out in the job market, or have just never put any money away, choose an amount that is manageable,” says Prozesky. “This can be R50 a month to a couple of hundred, the important factor is to pick an amount and stick to it.”

Setting up a monthly scheduled transfer into this account is a great way to make sure that you “pay yourself first” and ensure that you are sticking to your committed monthly savings amount.

Find ways to save

What is great about saving small is that you don’t have to commit to unreasonable lifestyle changes, such as never going out again.

“By choosing to stay in once or twice in the month could save you over R100,” says Prozesky. “This means you can still have fun while staying committed saving.”

There are plenty of other ways to save, such as catching a lift a few times a month with a friend or car-pool to save on petrol or travel costs; or compare brands of items you use regularly and choose a cheaper one.

FNB offers an innovative way to help customers to save through ‘Bank Your Change, which once activated, automatically rounds up small amounts each time a customer swipes his or her card. The change is then transferred and stored in the Savings Pocket.

“The power of small saving is really seen here, where on average  1.4  million customers have managed to save an average of R74 million by rounding up their change,” says Prozesky.

This equates to an average of R51 Bank Your Change savings per month per customer transferred into their Linked Savings Pocket.

Create money for savings

“Don’t assume that you have to give up something in order to save,” says Prozesky. “You can also make additional cash to save, such as going through your old stuff and selling anything you don’t need, taking on an odd job a couple times in the month, or even small money makers such as baking goods and selling them at work.”

Understanding the bigger picture

Understanding how small savings benefit you in the long term, will keep you motivated.

For example, if you put away R200 a month for 12 months in an FNB Savings Pocket with an interest rate of 5.5% you will have R2471 at the the beginning of 2018.

If you put the full amount above into your credit or store card and where you are paying for example, 20% interest, you will save yourself just under R500 in interest. The trick is to keep on saving and your small savings will reap big rewards.

“Saving small is a great way to create good financial habits and see real benefits,” concludes Prozesky.

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