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What Is Disability Insurance & Why Do I Need It?

What would happen if you became disabled and could no longer work? Disability insurance helps to safeguard you and your employees for the future.

What Is Disability Insurance & Why Do I Need It?

Although it’s not always easy to think about, it’s important that you’re aware of the impact becoming disabled could have on you, your family and your business. Do you know what would happen if you couldn’t work anymore? Or what if one of your employees was involved in a car accident and wasn’t able to work? You’d feel responsible for them and their families but would have to employ someone else to cover their workload, which would cost your business and cause a lot of stress.

Fortunately, there’s a simple way to cover these costs and keep your stress levels in check. By insuring against disabilities – for both yourself and your employees – you safeguard yourself for the future, and take care of them and their families. Here’s what you need to know about disability cover.

How does disability cover work?

If you have disability insurance, you make monthly contributions that are then paid out to you if you become disabled and can’t work. You can use this money to provide an income for yourself and your family, to cover any debts you have, or to deal with some of the extra costs your disability might bring with it. Your insurance policy could be the very thing that saves you and your family from stress and financial trouble.

Are there different kinds of disability insurance?

Yes, there are a number of different kinds of disability cover. At Simply, we offer permanent disability which is paid if the insured person has suffered total, permanent and irreversible disability. This can mean loss of a body part, or the loss of use of a body part. This can be taken out by an employer for their domestic worker or an individual buying cover for themselves.

Simply also offers Group Cover as an option for employers to take out for their staff. In this case, employees are covered with occupational disability. In this case the employee will be paid out as a lump sum if they become permanently unable to perform their current job’s duties, or the duties of another suitable job.

What do you need to remember about disability insurance?

To ensure that you don’t experience any problems when you claim for your disability insurance, there are a few things to keep in mind:

• Be absolutely honest on your application, and tell your insurer if your health or life choices change. Becoming a smoker, for example, can affect your policy.

• Take out enough disability insurance for your family to experience the same quality of life, even if you’re no longer working, by speaking to your insurer or a financial advisor.

• Tell your family or someone you trust where the documents about your disability insurance are kept, plus any relevant passwords. Your disability might mean that you can’t communicate this information yourself.

• When you claim, give your insurer all the information they ask for, and make your claim within the correct time period. If you don’t, your claim could be rejected.

Be prepared for the unexpected, and rest easier knowing that you and your employees are protected, by making sure your disability cover is active and up to date. For more information on our disability insurance packages, including family cover, domestic cover and group cover, get in touch with us today.


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The underwriter of this policy is Old Mutual Alternative Risk Transfer Limited (OMART) a registered long-term insurer.

Copyright 2020 Simply Financial Services (Pty) Ltd. All rights reserved. Simply is a registered financial services provider (FSP: 47146).