In a recent Personal Finance article, a figure of R28.8 trillion was estimated as being the gap between the life and disability cover South Africans need and the cover they actually have.
Statistics show that more than 140 000 income-earning South Africans below the age of 65 are expected to die this year and more than 46 000 will be permanently disabled.
There is really only one way to check if you are one of the thousands who are under insured and that is to complete a detailed financial needs analysis with your financial planner. This will entail assessing your family’s financial requirements in the event of death or disability, taking into account your assets and liabilities and current cover as well as the suitability of such cover in your circumstances.