Sudden cancellation of life and illness policies - consumer warrior advice
Wendy Knowler, consumer journalist, this week has a horror story of the life insurance industry.
It involves mostly elderly customers with health issues who have been paying premiums for years - who suddenly got an sms saying ''from the end of March you won't have this cover''.
The message said 'Don't be alarmed'. That was the part that got me! I mean - you've just been paying paying premiums for seven or eight years and you won't be getting them back.
Prime Meridian Direct sold these policies. The most problematic one is Prime Living Cover Growth, sold mainly to older people with health issues who could not get cover anywhere else - life cover and for terminal illnesses.Wendy Knowler, consumer journalist
There was a three-year waiting period before they could claim for illnesses. Just as those waiting periods were coming to an end, and that cover benefit has grown quite nicely, then the rug gets pulled by Constantia insurance, who was underwriting the policies.Wendy Knowler, consumer journalist
Listen to the entire horror story about the insurance policy and how it panned out, below.
Get the 10 most-read articles of the week from Bruce Whitfield’s The Money Show, emailed to you every Friday morning.
Wendy Knowler, Consumer Ninja, investigates non-payment of business interruption claims during the Covid-19 lockdown.Read More
The Ombud for Short Term Insurance’s aim is to resolve short term insurance complaints ''fairly, efficiently and impartially''.Read More
Wendy Knowler, consumer Ninja, on the small print and pitfalls of credit life insurance.Read More
The annual banking ombuds report has been released. Were they good, were they bad; how many complaints have been received?Read More
It seems many credit life claims are being rejected. Here are nine companies that were named and shamed in a new report.Read More
This edition of Consumer Corner looks at how lay-offs, closures and quarantine will impact people's income and ability to repay debt.Read More
Hundreds of small businesses which fell prey to a phone directory listings scam, should relax and read here.Read More
Wendy Knowler, consumer journalist, on Nedbank's early debit orders.Read More
Wendy Knowler, consumer journalist, on the importance of carefully reading your documents when you buy assets.Read More
In South Africa, Black Friday has become a spend-fest of epic proportions, says consumer journalist Wendy Knowler.Read More