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Capital Disability Benefit
Receive a lump sum payout if you become disabled
A disability can affect your family not only emotionally, but also
financially. If you were disabled and could no longer work, would you
still be financially secure?
This brochure will explain how the Discovery Life Capital Disability Benefit will ease your financial difficulties if
you become disabled.
Do you need the Capital Disability Benefit?
Discovery Life’s Capital Disability Benefit provides a lump sum payment to ensure you remain financially secure in the
event of becoming disabled and not being able to earn an income. It is also useful to settle outstanding debts at the
time of being disabled.
It’s relevant to consider insuring your spouse against disability. A disability payout for your spouse would ease the
financial burden (such as paying off an outstanding debt) as the family adjusts to their new living conditions.
How the Capital Disability Benefit works
The Capital Disability Benefit offers a lump sum payout that can be used to cover the immediate costs associated
with disability. You can also invest the money to provide or supplement your monthly income.
1. Discovery Life’s robust claims assessment filter ensures that 100% of all valid disability claims are met.
2. Your payout is linked to the severity of your disability.
3. The LifeTime Benefit takes into account the long-term impact of your disability and enhances your disability payout.
4. The Dynamic Spend Protector makes your living expenses more affordable if you become disabled.
(This is not available on the Essential LIFE PLAN.)
How we will assess claims
In the past, disability claims were assessed on your ability to do your job. At Discovery Life we take a different view. When
we assess a claim we look at objective medical criteria, Activities of Daily Living, loss of income while it is being established
if your disability is permanent, and lastly your ability to perform your nominated occupation.
Objective medical criteria: we look at the severity of your medical impairment no matter what work you do to generate
an income. This allows us to be completely objective when evaluating claims.
Activities of Daily Living: the Activities of Daily Living is an internationally used scoring system that looks at the functional
ability of a person. It takes the physical, social and interactive abilities of a person into account.
Loss of income: if you suffer a loss of income because of an illness or injury, but it has not been established if it is
permanent, you will receive a partial payout every four months until permanence is established. This is a unique benefit
in the market. (This is not available on the Essential LIFE PLAN.)
Nominated occupation: we will also look at your nominated occupation, to determine if a disability claim is payable.
Different categories of disability
Policyholders who claim for disability benefits fall into one of three disability categories:
P
• ermanent disability means that the policyholder is not able to work at all, and would never be able to because
of an injury or disability.
A
• temporarily disabled policyholder will return to work within a set period of time after suffering an injury
or disability.
A
• partially disabled policyholder has an injury or disability that is permanent, but he or she is still able to work.
For example, a client who is paralysed from the waist down, is still able to work even if it is for short periods.
The payout you will receive is linked to Discovery Life makes your living expenses more
the severity of your disability affordable during times of need.
If you become permanently disabled, your DiscoveryCard
When you take out the Capital Disability Benefit
partner discounts will be boosted by up to 50%. This will
you can choose between the Core option and the
depend on your Vitality status at the time of your claim.
Comprehensive PLUS option. The Core option will cover
You need a Discovery credit card, the DiscoveryCard,
Category A and D claims. The Comprehensive PLUS
to qualify for this benefit. (This is not available on the
option will cover Category A, B, C and D claims on the
Essential LIFE PLAN.)
Classic LIFE PLAN or Category A, B and D claims on the
Essential LIFE PLAN. Ensuring that you have enough cover
Category A claims: you will receive a 100% payout Discovery Life will provide you with cover up
of your insured amount if the medical criteria of the to the age of 70.
disability is severe enough to prevent you from working
at all. Paying affordable premiums
Category B claims: you will receive a 50% payout of The premium you pay every month depends on your
the insured amount if you are still able to partially fulfill individual circumstances. When you join Discovery Life
your occupation. you have to undergo certain medical tests to ensure
that you pay the most appropriate premium. Some of
Category C claims: you will receive a payout of 2.5%
the factors we look at include your weight and smoker
at the end of every four months if you suffer a loss of
status. The LIFE PLAN, of which the Capital Disability
between 80% and 100% of your income. If the loss of
Benefit forms part, offers four flexible funding options
income continues for two years, you will receive a lump
that will help to make your LIFE PLAN as affordable and
sum payout of 50% of your Capital Disability Benefit,
sustainable as possible.
and if it continues for the remaining three years, the
balance of the benefit will be paid. (This is not available You also have the option of lowering your LIFE PLAN
on the Essential LIFE PLAN.) premium simply by integrating your LIFE PLAN with
other Discovery products and managing your health. For
Category D claims: you will receive a 100% payout if
full details on how you can benefit from the range of
you are permanently unable to perform your nominated
Discovery Integrators, have a look at our Integration and
occupation because of an injury or illness.
Premium brochure, available from your financial adviser.
When you will receive your payout
We do not impose explicit waiting periods – claims are
And if you ever have to claim
paid as soon as the criteria are met. We recognise that the most important test of an
insurance company is when you have to claim. At
Making sure that the payout you receive Discovery Life, we take the payment of claims seriously.
is sufficient Our aim is always to save you from unnecessary worry
The LifeTime Benefit takes into account the by making sure that your claim will be assessed and
long-term impact of your disability settled quickly and fairly.
The LifeTime Capital Disability Benefit dynamically
What next?
adjusts cover to reflect a loss in future earnings relevant
to your specific cause of disability and expected future For more information please speak to your
salary growth. By objectively assessing the impact that financial adviser who will prepare a financial needs
a disability has on your loss of future income, we can analysis for you. Once you have agreed on your
accordingly boost your Capital Disability payout requirements, your financial adviser will draw up
up to 200%. a quote for you. If you are happy with the quote
you will have to fill in the necessary application
You shouldn’t have to worry about meeting the
forms. You will also have to complete the necessary
premiums on your LIFE PLAN if you become disabled
underwriting requirements to ensure that you pay
and are adjusting to your new circumstances. The
the most appropriate premium.
Premium Waiver Benefit will ensure that your
LIFE PLAN premiums are met (according to Category
A or D criteria).
Which products are right for you?
Having the right protection is fundamental to building a
lifetime of financial security. Consider the other
protection products available so that you can create a
personalised Discovery LIFE PLAN that addresses your
particular needs.
Other products that complement the Capital Disability
Benefit include the Income Continuation Benefit, the
Severe Illness Benefit and the DiscoveryCard Protector.
Jenny’s story
Jenny recently got a promotion, but a few months
ago she thought she would never see the inside of
her office again.
Jenny enjoys hiking holidays and a few months ago she
Income Continuation Benefit went to the Drakensberg with friends. An unexpected rain
shower made the trail slippery and Jenny slipped and fell
The Discovery Life Income Continuation Benefit allows
several meters. The fall damaged her spinal column and
you to insure your monthly income, so you will have a
she is now permanently disabled from the waist down.
replacement income to help you maintain your standard
of living should you not be able to earn an income due Fortunately, Jenny works in the financial services industry
to injury or illness. In addition, the Overhead Expenses and was aware of the importance of disability insurance.
Benefit ensures your monthly business expenses are met Her LIFE PLAN paid out 100% of her Capital Disability
under these conditions. Benefit, settling her debts and giving her the freedom to
focus solely on getting stronger.
She took a short sabbatical, made possible by the payout
she received, and went for daily rehabilitation. She also
had her car adjusted to make it possible to drive to work
once she felt able to do so.
Severe Illness Benefit
You can insure your lifestyle against the impact of severe
illness. This means if you get severely ill you will receive a Want to learn more?
lump sum payout.
This brochure is a summary of the Capital Disability
Benefit. For full technical details refer to the Discovery
Individual LIFE PLAN Guide or speak to your financial
adviser. Your financial adviser and the LIFE PLAN
Guide will give you full details of Discovery Life’s
products, cost structures and benefits. Please be
DiscoveryCard Protector certain to discuss with your financial adviser the
difference between the Classic and Essential
The DiscoveryCard Protector will pay the outstanding
LIFE PLANS.
balance on your DiscoveryCard if you die, become
disabled or get a severe illness. It will also cover key living
expenses charged to your DiscoveryCard.
Keep in mind that examining the different benefits with
a financial adviser and determining the appropriateness
each one holds for you is the best way to determine the
level of financial security you need.
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
Discovery Life is an authorised financial services provider. Registration number 1966/003901/06
GM_7277DL_13/05/10 CDBBE 05/10
