Credit life insurance, explained.
Plain-language answers to the questions South Africans ask most about credit life cover, what it costs and their rights.
The basics
What credit life is, what it costs, whether you have to take it and how to find out if you already have it.
What is credit life insurance?
Credit life insurance explained for South Africans: what it covers, how it differs from ordinary life cover and what to check before you agree.
Read the answerHow much does credit life insurance cost?
What credit life insurance can cost in South Africa, the legal monthly ceilings per R1 000 and what to ask your credit provider.
Read the answerIs credit life insurance compulsory?
No law forces you to buy credit life insurance, but a credit provider may require it. Here is what you can and cannot be asked to do.
Read the answerHow is credit life insurance calculated?
Credit life premiums are a monthly rate per R1 000 of the insured amount. See the formula, the legal ceilings, worked examples and what to ask.
Read the answerHow do I know if I already have credit life insurance?
Not sure if your loan comes with credit life insurance? Learn where to look, what to ask your credit provider and how to confirm what is covered.
Read the answerCredit life insurance vs life insurance
Credit life insurance vs life insurance in South Africa: who is paid, what is covered, how premiums work and why one does not replace the other.
Read the answerBy type of credit
How credit life works for personal loans, vehicle finance, home loans and cards, and what to know under debt review.
Credit life insurance for personal loans
How credit life insurance works for a personal loan in South Africa: what it covers, the R4.50 per R1 000 ceiling and what to check before you sign.
Read the answerCredit life insurance for vehicle finance
How credit life insurance works for vehicle finance in South Africa, how it differs from motor and shortfall cover and what to ask at the dealership.
Read the answerCredit life insurance for home loans
How credit life insurance works for a home loan in South Africa: the lower R2 per R1 000 ceiling, joint bonds and how it differs from buildings insurance.
Read the answerCredit life insurance for credit cards
How credit life insurance works on a credit card or store account in South Africa: premiums based on your average use, what it covers and what to check.
Read the answerCredit life insurance during debt review
What happens to credit life insurance when you are under debt review in South Africa: premiums, defaults and what your debt counsellor should check.
Read the answerCover, claims and payouts
What the benefits pay, what is excluded, how to claim and who is paid.
Does credit life cover retrenchment?
Many credit life policies include unemployment cover, but it pays repayments for a limited time and has exclusions. See how the benefit works.
Read the answerDoes credit life insurance cover disability?
Credit life usually covers permanent and temporary disability. See what each benefit pays, the waiting periods and the exclusions that apply.
Read the answerHow to claim credit life insurance
How to claim credit life insurance in South Africa: who to tell, the documents you may need, how long a decision takes and what to do if a claim is rejected.
Read the answerCredit life insurance exclusions explained
The exclusions allowed in credit life insurance in South Africa explained in plain language: death, disability and retrenchment, plus waiting periods.
Read the answerWho gets paid when credit life insurance pays out?
When credit life insurance pays out in South Africa, the money goes to your credit provider, not your family. See how payouts work and what happens next.
Read the answerIf you die
What happens to a loan, car finance or bond, with and without cover.
What happens to my loan if I die?
If you die with a loan, credit life cover may settle the balance. Without it, the debt becomes a claim against your estate. Here is how it works.
Read the answerWhat happens to car finance if I die?
If you die with vehicle finance, credit life cover may settle it. Without cover, the debt falls to your estate and the car may be sold.
Read the answerWhat happens to my bond if I die?
If you die with a home loan, credit life may settle the bond. Without it, the bank holds the property as security and your estate must deal with it.
Read the answerSwitching and cancelling
Your rights if you want to change, replace or cancel your cover.
Can I cancel credit life insurance?
Whether you can cancel credit life insurance in South Africa depends on whether it is required. Learn the steps and what to check first.
Read the answerCan I change my credit life insurer?
Yes. South African law lets you substitute a credit life policy of your choice at any time. See the rules, what the new policy must cover and what can change.
Read the answerCan I replace my bank’s credit life insurance?
You can substitute your bank’s credit life policy with your own. Compare like for like, follow the steps and do not cancel the old cover too early.
Read the answerUnderstand your options.
Take the next step.
We’re here to help you make sense of credit life cover.