ISR3702 Assignment 2
(COMPLETE ANSWERS)
Semester 2 2024
, Question 1:
1.1 Appropriate Life Policy for Each Application:
Presh (24, Female, Construction worker)
Policy: Term Life Insurance
Reason: As a young person with a potentially hazardous occupation, term life insurance would
provide affordable coverage for a fixed period, especially since her occupation might pose
risks.
Premita (36, Male, Lawyer)
Policy: Whole Life Insurance
Reason: As a lawyer with a stable income, whole life insurance would be beneficial for long-
term financial planning, covering both life protection and cash value accumulation over time.
Kgabu (48, Male, Medical doctor, Heart attack)
Policy: Guaranteed Issue Life Insurance
Reason: Due to his pre-existing condition (heart attack), Kgabu might not qualify for standard
life insurance policies. Guaranteed issue life insurance offers coverage without medical
underwriting, though with higher premiums.
Tshivhase (56, Male, Teacher, Diabetes)
Policy: Guaranteed Issue Life Insurance
Reason: Due to his diabetes and age, a guaranteed issue policy would be appropriate since it
offers coverage without medical requirements.
Malerato (27, Female, Judge, Epilepsy)
Policy: Whole Life Insurance
Reason: As a judge, Malerato likely has a stable income, and whole life insurance can offer
permanent coverage and cash value benefits, suitable for her needs.
Grace (33, Female, Self-employed)
Policy: Term Life Insurance with Conversion Option
Reason: As a self-employed individual, term life insurance would provide affordable coverage
with the option to convert to a permanent policy when her business becomes more financially
stable.
(COMPLETE ANSWERS)
Semester 2 2024
, Question 1:
1.1 Appropriate Life Policy for Each Application:
Presh (24, Female, Construction worker)
Policy: Term Life Insurance
Reason: As a young person with a potentially hazardous occupation, term life insurance would
provide affordable coverage for a fixed period, especially since her occupation might pose
risks.
Premita (36, Male, Lawyer)
Policy: Whole Life Insurance
Reason: As a lawyer with a stable income, whole life insurance would be beneficial for long-
term financial planning, covering both life protection and cash value accumulation over time.
Kgabu (48, Male, Medical doctor, Heart attack)
Policy: Guaranteed Issue Life Insurance
Reason: Due to his pre-existing condition (heart attack), Kgabu might not qualify for standard
life insurance policies. Guaranteed issue life insurance offers coverage without medical
underwriting, though with higher premiums.
Tshivhase (56, Male, Teacher, Diabetes)
Policy: Guaranteed Issue Life Insurance
Reason: Due to his diabetes and age, a guaranteed issue policy would be appropriate since it
offers coverage without medical requirements.
Malerato (27, Female, Judge, Epilepsy)
Policy: Whole Life Insurance
Reason: As a judge, Malerato likely has a stable income, and whole life insurance can offer
permanent coverage and cash value benefits, suitable for her needs.
Grace (33, Female, Self-employed)
Policy: Term Life Insurance with Conversion Option
Reason: As a self-employed individual, term life insurance would provide affordable coverage
with the option to convert to a permanent policy when her business becomes more financially
stable.
