IMMEDIATE EXPENSES BENEFIT: In the event of the policyholder’s death, the nominated beneficiary will receive the Immediate Expenses Benefit within 48 hours after receiving all the claims documentation. The Immediate Expenses Benefit will pay the lesser of R50 000 or 10% of the Life Cover benefit.
INVESTMENT GUARANTEE : Liberty offers optional investment guarantees. These provide you with a money-back guarantee if the market does not perform and you lose money over the term of the guarantee.
IMPAIRMENT (PLUS): Pays you a lump sum if you are permanently impaired. The size of the payment depends on the severity of your impairment. The benefit may be chosen to reduce your Life Cover or Renewable Life Cover in the event of a claim (known as Impairment). It may also be chosen not to reduce your Life Cover, Renewable Life Cover or any other benefits in the event of a claim (known as Impairment Plus).
INCOME PROTECTION PLAN: Reducing and Level Income Protection Plans offer escalation options. An escalation option is not offered on the Limited Term Income Protection Plan
INSTITUTIONAL PRICING: This refers to the pricing basis used to sell a product to a group of individuals as opposed to selling a product to individuals. For example, an institutional pricing basis will apply when selling an annuity product to a pension fund and its underlying membership. An institutional pricing basis is typically cheaper compared to an individual pricing basis. In other words, an individual will get a cheaper price for the same product when he or she belongs to the institution to which the product is sold. This is because of the improved economies of scale that can be achieved when selling a product to a group as opposed to an individual.
IN-FUND GROUP ANNUITY: Under this type of annuity, the annuity product and its underlying benefits are owned by a retirement fund or corporate entity and not the individual members. In other words, the annuity policy is in the name of the institution, not the individual members. Typically, an in-fund annuity can transition into individually owned policies if certain predefined event(s) occur. For example, a pension fund wanting to transfer its pensioners to an insurer might first enter into an in-fund annuity policy which changes to individually owned annuities upon the successful completion of a Section 14 transfer in terms of the Pension Funds Act.
INFLATION: This refers to the annual increase in the Consumer Price Index as published by Stats SA on a regular basis.
INFLATION-LINKED ANNUITY: This annuity makes regular payments to an institution or an individual with the payments increasing annually with inflation.