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Momentum Short-term Insurance makes R26 million in future no claims and safety bonuses available to ease the financial burden of COVID-19

27 March 2020 Momentum Short-term Insurance

• Early cashback access provides vital financial relief to clients.
• Clients may opt to donate their bonus to the Solidarity Fund to support efforts in curbing the spread of COVID-19.
• Momentum Metropolitan Holdings has already committed R5 million to support the efforts of Government.

While South Africans face the challenge of curbing the spread of the COVID-19 pandemic, Momentum Short-term Insurance (MSTI) is determined to help alleviate the financial burden by giving clients early access to R26 million in future no claims and safety bonuses.

To provide immediate financial relief, clients can now opt to take an early cash benefit from their Rewarder bonus (no claims bonus). In addition, clients can also opt to cash in early on their Safety Bonus. MSTI rewards clients with a cash back Safety Bonus of up to 30% of their annual car and home insurance premiums depending on their Multiply status, Safety Score and their number of Safe Dayz™. The option to take the early cash back is available to clients between April and June 2020.

This means that a combined R26 million in future bonuses that would have paid out over the next 4 years, is available immediately to help lessen the financial burden that clients may experience.

“We firmly believe that, as a business and as business leaders, we have a significant role to play to assist our clients and to support the efforts of the South African government. The balance between flattening the pandemic spread curve and keeping the economy ticking over is challenging and we want to help where we can,” says Brand Pretorius, CEO of Momentum’s short-term insurance businesses.

Clients have the option to cash out early or wait for their normal benefit at the end of the benefit term.

“We are introducing this mechanism to support our clients during this difficult time, but we realise that not all clients would need it right now. We are also giving our clients another option to join us in the collective fight against the COVID-19 pandemic by donating their cash benefit to the Solidarity Fund which was established by the President earlier this week,” Pretorius adds.

The Solidarity Fund will focus their efforts to combat the spread of the virus, help to track the spread, care for those who are ill and support those whose lives are disrupted. The fund will be administered by a reputable team of people drawn from the financial institutions, accounting firms and government.

On 18 March Momentum Metropolitan, the holding company of MSTI, committed R5 million in financial support for Government’s initiatives aimed at preventing and containing the impact of COVID-19. Group Chief Executive Officer of Momentum Metropolitan, Hillie Meyer said at the time: "In a worldwide health crisis such as this, both public and private sector need to work together to ensure that we can achieve a health ecosystem that allows South Africans access to more health for less. This crisis requires us to collectively work together towards a common outcome."

Momentum Short-term Insurance has built their value proposition focusing on helping their clients to be safer. During this time South Africans are likely to feel unsafe in many ways, be it financially, physically or emotionally. “We have looked at this crisis and in true Momentum style considered what we can do to support our clients and to be on this journey together, even in times when people are being kept apart,” concludes Pretorius.

In these challenging times, you need more than just insurance. You need assurance – that you’re covered, protected and supported by Momentum.

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