General

Costs

Monthly contributions to the Fund include the following costs as from 1 July 2019:

  • Administration costs:

    • Member fee of R18.16 (incl VAT) of contribution per member per month; and
    • Consultation fee of 5.75% (incl VAT) of contribution per member per month; and
    • Levy on assets of 0.51% (incl VAT) per annum.
  • Group scheme costs:

    For member on Plan A1 to E

    • Death benefit: R1.06 per R1 000 cover
    • Capital Disability benefit: R0.35 per R1 000 cover
    • Accidental death/bodily loss benefit: R0.29 per R1 000 cover
    • Funeral benefit: R1.83 per R1 000 cover

    For member on Plan SAL1 to SAL4

    • Death benefit: R0.55 per R1 000 cover
    • Capital Disability benefit: R0.28 per R1 000 cover
    • Accidental death/bodily loss benefit: R0.13 per R1 000 cover
    • Funeral benefit: R1.23 per R1 000 cover


The costs of Auditors, Financial Sector Conduct Authority and Pension Funds Adjudicator levies, Fidelity Guarantee cover, a portion of the monthly administration fee and any other authorised costs are recovered from accrued assets in the Fund.

The administration cost as well as the costs attached to the group schemes is reviewed annually.

Group scheme

Death and funeral benefits

These benefits are provided up to the age of 70. In general, these benefits are provided without any medical proof of health, but the Board of Management retains the right to request the principal member to submit proof of good health on entry to the Fund.

Capital disability benefit

This benefit is provided up to the age of 65 and is subject to a waiting period of 6 months. If the onset of disability occurs within 5 years prior to the member’s attainment of age 65, the amount payable will be reduced by 20 per cent of the capital disability benefit offered by the chosen plan, for each year or part thereof by which the onset of such disability precedes the member’s 65th birthday.

Please note that pre-existing conditions apply. This means that a member cannot claim for a medical condition that existed 6 months prior to his commencement date in the Fund/chosen plan within a 12 month period after the commencement date in the Fund/chosen plan.

Accidental death/bodilyloss

If the member dies as a result of an accident, the accident benefit is paid in addition to the member’s death benefit, or does not die but experiences bodily loss as a result of an accident, a benefit equal to a percentage of the accident benefit is payable.

The table below indicates the percentages payable according to the physical injury suffered:
Result of accident Benefit as percentage
of the accident sum
(a) Death 100%
(b) The total, permanent, irrecoverable and simultaneous loss of the use of
  • both eyes; or
  • both hands; or
  • both feet; or
  • one hand and one foot; or
  • one eye and one hand; or
  • one eye and one foot.
100%
(c) The total, permanent, irrecoverable loss of the use of
  • one eye; or
  • one hand; or
  • one foot; or
  • both ears.
75%
(d) The total, permanent, irrecoverable loss of the use of one ear. 50%
(e) The total loss through physical severance of :  
  (i) one entire thumb 25%
  (ii) one entire index finger 10%
  (iii) one entire big toe 10%