Why You Need Insurance?

Financial Needs

People have different financial needs depending on their various stations in life. For example, a newly graduated young man/woman who has recently married will have different financial needs from his contemporary who is not married. Each person will buy products that satisfy his/her particular needs. Personal financial needs can be broken down into two broad categories.

• Personal Assurance (Protection) which covers Life Cover, Health Benefits and Disability Benefits.
• Personal Investment Plans (Wealth Creation) which covers Retirement Plans and Pure Savings Plans.

Botswana Life offers different products to meet the different personal financial needs. The Mompati Universal Life is one such product designed to evolve with the policyholder as his/ her needs continuously change. The product encompasses both features of protection and wealth creation.

Why do people need protection plans?

Death, disability, and health problems are by their very nature, not things we like to think about; but are undeniably a reality which we are forced to face.

What happens to a breadwinner’s dependants, in the event of his/her death, disability or ill health? Will these loved ones be secure, with a roof over their head? Will they be able to maintain the lifestyle that was provided by the breadwinner? Will the children be able to receive the education you dreamed of? If you as the breadwinner are disabled, will you be able to provide for your family, or will you become a burden to the family? If you are hospitalized, will you be able to afford the medical costs?

These are all unpleasant situations, but if we are wise, we can provide for personal protection, in the event of disability or illness; and for the protection of loved ones, in the event of our death.

The Mompati Universal Life Plan, provides just that protection, and provides for saving.

Why do people need to save money?

By nature people like to improve, to make progress and to prosper over time. Depending on the person’s situation, progress could mean owning an own home or having a better shelter. To somebody else it could mean a new car to another person it might mean having a decent education. All of these desires needs or dreams cost money.

Most people make a living or income by working for a boss in a company. They will have to save or borrow money to get the goods or assets they desire to improve their living standards. Borrowing money can, in most cases, lead to even lower living standards.

So, what one needs to have in order to ensure the safety and growth of his/her savings, is a financial institution with a good history in savings. That institution is Botswana Life Insurance.
What one needs to understand about savings is that they are medium to long term commitments. This means that one must accept that to ‘grow’ your money enough you must plan and commit to save money over at least 10 years. If you save your money for longer than 10 years, say 15 years then your money will ‘grow’ even higher allowing you to pay cash for the furniture or car you want and perhaps even a deposit for a dream house.

How can Botswana Life Insurance Help?

Botswana Life provides a disciplined and affordable way to save money towards making dreams become a reality; and/or providing affordable protection for your loved ones.

The investment premiums that the policyholders contribute monthly are put into a fund (portfolio). This portfolio is carefully managed so that the funds can grow over time to give the client high returns.

To grow this money at a low risk it is invested into different sectors of the economy. The money is therefore diversified into a number of portfolios to ensure high returns at a low risk. The aim of spreading the funds into different portfolios is to spread the risk so that if one sector of the economy is in a slump, then the loss is minimized by the other sectors that are having an upswing.