This product is designed to be used as security ceded to the financial institution that has provided a mortgage loan to the policyholder. The product insures the life of the policyholder and pays the benefits in the event of death or disability within the term of the policy. The term of the policy should coincide with the term of the loan provided by the bank or any financial institution licensed to offer such loans.
There is an option to select a return of premium benefit. Where this option is selected, upon survival of the policyholder to the 15th policy anniversary and the policy has not been canceled or lapsed, Botswana Life will return the life premiums paid up to that date, increased by 20%.
This product comes with an option to add rider benefits such as capital disability benefit, critical illness benefit, accidental death benefit, waiver of premium on disability, family commuter as well as Thuso 911 benefit. Premium for rider benefits will not form part of the return of premium benefit.
- The sum assured will be used to settle the loan if the policyholder dies within the term and any sum assured remaining after settling the loan will be paid to the beneficiaries.
- The minimum sum assured for this policy is P250 000 while the maximum sum assured is P5million. Sums assured in excess of P5million will be subject to Botswana Life underwriting requirements.
- There is no waiting period.
- There is no medical underwriting.
This policy will be terminated at the age of 70 years or upon reaching the end of the selected policy term whichever is earlier.