This brochure explains the products designed to meet professionals unique needs DISCOVERY LIFE FOR PROFESSIONALS Have you considered how to remain financially secure when you retire or if you become severely ill or disabled? A disability or illness can have a significant financial impact on your financial security. Discovery Life has created a range of benefits for professionals to provide a regular to cover living expenses and once-off costs you may incur should you suffer a life-changing event.
Income Continuation Benefit The Discovery Life Income Continuation Benefit allows you to insure your monthly, so you can maintain your standard of living if you are not able to earn an due to an injury or illness. In addition, the Overhead Expenses Benefit ensures your monthly business expenses are met under these conditions. Discovery Life s product range provides you with the following key features to ensure you have the most comprehensive cover in the market: Protecting you for 100% of your in all scenarios Immediate upgrade to 100% of your specified * on permanent disability. Cover for 100% of your on temporary disability using the Temporary Income Continuation Benefit Unique features allow you to receive more than 100% of your in times of need An additional payment of up to 100% of your Discovery Life, Discovery Health, Vitality, Discovery retirement Optimiser, DiscoveryCard Protector, Health Plan Protector and Discovery Insure contributions through the Contribution Protector for up to 24 months. The Interest Rate Protector boosts your payout by up to 15% on temporary disability if interest rates increase during claim. The Dynamic Spend Protector increases your DiscoveryCard cash back by up to an additional 50% on permanent disability. The Family Protector ensures that you will be paid your full for up to six months if your spouse or children become severely ill. Your Income Continuation Benefit premiums are waived while you are claiming. Maximum certainty, objectivity and tax efficiency in the event of a claim Loss of underpin ensures premiums are tax deductible. Automatic Sickness underpin means professionals don t have to prove loss of for the first 24 months in claim. The Income Continuation Benefit Extender allows you to claim under three additional objective underpins. The highest amount under all the underpins will always be paid which ensures that the client receives the maximum amount possible. No other (excluding from other disability/sickness products) generated during the first two years of illness will be aggregated for professionals in private practice or partnership, provided that you are claiming under the Automatic Sickness Underpin, or under any of our objective medical criteria underpins. Flexibility to ensure the cover is relevant to your specific needs The definition for business owners measures your gross professional less business overhead expenses as an indicator of your standard of living rather than your taxable. Cover is available up to age 70. By choosing a one-month waiting period instead of a seven-day waiting period you can save as much as 22% of your premium. Professionals in private practice or in partnerships will have their payments paid retrospectively from day one. Cover is available in all first world countries. * The which you enter on your application form will be taken as your specified. Benefit maximums apply.you must insure more than 40% of your to qualify for the 100% upgrade. If you insure less than 40% of your then the upgrade is 2.5 times your sum assured. 1
Discovery Life s Income Continuation Benefit offers the most comprehensive coverage: Additional value for professionals A client, who is a 30% marginal rate tax payer with a monthly premium of R1 000 for the Income Continuation Benefit with a seven-day waiting period, will effectively pay less than this for their cover at Discovery Life. 100% of 75% of Temporary Disability Interest Rate Protector Contribution Protector Temporary Income Continuation Benefit Your premium at the Vitality status levels Effective premium after: Saving available Blue Bronze Silver Gold Diamond Upfront Integrator premium reductions Up to 32% R680 R680 R680 R680 R680 Tax deductibility of premiums 30% R476 R417 R476 R476 R476 Savings of up to 74% off your premium Income Continuation Benefit PayBack benefit Up to 60% * R440 R417 R369 R298 R262 Effective premium paid R440 R417 R369 R298 R262 Traditional continuation products Discovery Life * Based on 70% of gross Income Continuation Benefit premiums Note: PayBack is calculated at 7.5% for Blue clients, 12.5% for Bronze clients, 22.5% for Silver clients, 37.5% for Gold clients and 45% for Diamond clients. Permanent Disability Professionals in private practice or partnership can save 22% on average if they select a one-month waiting period which pays claims retrospectively from day one instead of the seven-day period. 100% of 75% of Dynamic Spend Protector 100% Upgrade Meeting your needs as a business owner The Overhead Expenses Benefit provides monthly funding for business expenses Two years continuous cover for business overheads Overall maximum amount payable is R 2 040 000 per year Choice of expiry age: 60, 65 or 70 Seven-day waiting period applies to professionals in private practice where a seven-day waiting period for the Income Continuation Benefit is selected. Traditional continuation products Discovery Life 2
Severe Illness Benefit Cover for all major physiological and anatomical body systems. Highest level of multiple claims ensuring continued cover for same or related illnesses irrespective of the severity level. Automatic cover for children and parents at no extra cost to provide protection against the significant financial impact that you could incur. Global Treatment Benefit offering up to 180% of your cover amount to assist if treatment is required overseas. No general survival period. Up to 200% of the benefit amount through the LifeTime Benefits. The highest payout in the market for the more severe illnesses through the Extender Benefit. Up to 40% additional cover for you and your spouse at no additional premium through the BenefitBooster. You can insure your lifestyle against the impact of a severe illness. If you become severely ill you will receive a lump sum payout from Discovery Life s Severe Illness Benefit. Discovery retirement Optimiser The Retirement Investment Integrator provides you with significant reductions in the fees you pay on your retirement savings. The Retirement PayBack Booster allows you to invest your Health or Vitality Integrator PayBacks and have them boosted at retirement by up to 100%. The LIFE PLAN Optimiser uses unneeded risk cover in retirement to boost your retirement savings significantly. This boost is then paid out in tax-free instalments for the rest of your life The Ill-health Income Booster provides a tax-free boost to your retirement of up to 25% if you suffer a severe illness or disability in retirement. A wide variety of investment choices and unique portfolios to satisfy your risk profile. With the Discovery retirement Optimiser you have access to the most cost and tax-efficient retirement saving vehicle in the market which also dynamically converts unneeded risk cover in retirement to enhance retirement saving. 3
Capital Disability Benefit The category of claim, which determines the benefit payment amount, is determined by the claim assessment as follows: Medical Impairment Activities of Daily Living Loss of Income Nominated occupation Discovery Life s Capital Disability Benefit provides a lump sum to ensure you remain financially secure if you become disabled. Accurately reflects earnings ability Underpins medical criteria Objective medical criteria and a loss of underpin provide absolute benefit certainty Unique cover on loss of while permanence is not yet established Occupation-based assessment Traditional criteria By using all four assessment criteria simultaneously, 100% of all valid claims are paid. Benefits are payable immediately if you meet the assessment criteria- there are no general waiting periods. No exclusions on back and mental disorders. Conversion to the Severe Illness Benefit at your benefit expiry age ensures you have the lifestyle protection for whole of life. The LifeTime Benefit considers the impact that each disability has on a client s earning ability and boosts the payout up to 200% to ensure the claim payment is relevant for each disability. Dynamic Spend Protector increases your DiscoveryCard partner store discounts by up to 50% if you become permanently disabled. Discovery Life also gives you the opportunity to unlock value through integration Discovery Life creates products that focus on meeting the specialised needs and expectations of professionals. While ensuring the most comprehensive product offering in the market, Discovery Life s assurance model gives you the opportunity to further unlock value through integrating your life assurance policy with your Discovery Health membership, your Vitality membership and your DiscoveryCard. By doing so, you have the ability to manage the cost of your life assurance cover with: Initial premium discounts up to 32% Up to 60% of your life assurance premiums paid back every five years through the PayBack benefit Up to 40% additional cover at an average premium saving of 50% through the Cover Integrator Up to 40% additional cover at a 5% discount and embedded protection against adverse economic events through the Financial Integrator. Up to 50% additional life cover at no additional premium for up to five years through the CoverBooster. 4
GM_18281DL_05/11/12 Discovery Life is an authorised financial services provider. Registration number 1966/003901/06 Physical address: 155 West Street, Sandton. Postal address: PO Box 3888, Rivonia 2128. Contact centre: 0860 00 LIFE (0860 00 5433) Fax number: 0860 LIFE FX (0860 5433 39) lifeinfo@discovery.co.za