A conversion option is a rider benefit that allows a member to effect individual insurance at withdrawal or retirement on group life, lump sum disability, disability income as well as trauma cover.

All four of our insurers offer this and a member has 60 days from the date of leaving the employer’s employ (in the case of Sanlam, Capital Alliance and Old Mutual) and 30 days (in the case of Hollard) to exercise the option.

The maximum age by which a conversion option must be exercised will depend on the benefit and insurer and so should be checked on each policy.

Please feel free to contact us if you have any specific queries on our insurer’s terms regarding conversion options and please always remember to remind your clients of this option in time for them to exercise it.

Thank you and regards,

The TSA Team

You’ll find all back issues of TSA Connect by visiting our blog and you can do that by clicking here.

All information provided in TSA Connect newsletters is intended to inform and explain, but please remember to always check the current terms on policies when considering options and advising clients.