Whole Life Insurance Explained

Whole life insurance is a permanent life cover that protects you for your entire lifetime (not just a set term)

When you pass on, your family gets a lump sum benefit (death benefit) no matter when it happens.

Life is full of uncertainties, but your family’s future doesn’t have to be one of them.

A Whole Life Protection Cover is designed to PROTECT your INCOME and secure the financial future of your loved ones, by providing a lump sum of cash when you pass on.

It steps in to effectively replace your income ensuring your family can maintain their current standard of living, covering essential expenses like rent, mortgage, debt, education, and daily needs.

You are also able to protect yourself through Living Benefits that pay out a lump sum in the case of Accidental Disability or Critical Illnesses such as Cancer, Heart Attack, Coma, Stroke, Open Heart Surgery, Paralysis/Paraplegia.

WHY YOU NEED A LIFE PROTECTION POLICY?

It is important because it helps your family with:

1. Debt Payoff: Ensures all your outstanding debts are fully paid, freeing your family from any financial obligations after your passing.

2. Living Expenses: Provides financial support for essential household expenses such as rent, utility bills, health care, and groceries, ensuring your family’s standard of living is maintained.

3. Childcare and Education: Guarantees your children’s future by covering all costs related to childcare and education, from daycare to college tuition.

4. Legacy and Wealth: Death is inevitable.This policy creates a lasting legacy and generational wealth (through a cash inheritance) through the guaranteed payout.

5. Final Expenses: Covers funeral and burial costs, relieving your family from the financial burden of your final expenses.

6. Income Replacement: Provides your family with a steady income stream to replace your lost earnings, helping them maintain their lifestyle. (In case of death, permanent disability, or critical illness)

7. Business Protection: Safeguards your business by providing financial support in case of critical events, like the death of a partner, disability, or critical illness, ensuring business continuity and stability.

WHY WHOLE LIFE INSURANCE STANDS OUT:

1. No Probate: Life insurance policies do not go through probate courts, ensuring a swift and uncontested transfer of funds directly to your beneficiaries.

2. Quick Payout: Claims are processed and paid out swiftly, typically within 2 weeks after a death or diagnosis of a critical illness OR total permanent disability, providing timely financial support.

3. Tax-Free: The payout is tax-free, ensuring your beneficiaries receive the full benefit without deductions.

4. Financial Stability: Prevents your family from having to liquidate investments prematurely in the event of death or incapacitation. This ensures financial stability and continuity.

5. Peace of Mind: Allows your family to focus on healing and moving forward without the additional stress of financial worries.

6. Tax Savings: You are entitled to a tax relief of 15% of the premium paid. This is subject to a maximum of Kshs. 60,000 per year.

7. Lifetime Coverage: Whole life insurance provides continuous protection throughout your entire life, ensuring financial security at every stage.

8. Guaranteed Payout: Your beneficiaries receive a guaranteed payout. This offers peace of mind that bills will be paid, debts cleared, and their future secured.

And More

9. Annual Bonuses: Whole life insurance rewards you with annual bonuses that increase your coverage and build cash value over time. (2.5% of sum assured per year)

10. Critical Illness Coverage: Enhances your medical plan by providing additional coverage for critical illnesses such as, (Cancer, Heart Attack, Open Heart Surgery, Coma, Stroke, Paralysis/Paraplegia) offering extra financial support when you need it most.

11. Accident and Permanent Disability Coverage: Ensures financial stability by covering accidents and permanent disabilities, protecting your income and lifestyle.