Understanding Your Policy’s Premium Patterns
- sammijo0
- Nov 13, 2025
- 2 min read
At Insure Brokers, we believe that understanding how your policy works helps you make the most of your cover. One of the key aspects of your insurance plan is the premium pattern — the way your premiums change over time.
If you’re unsure which pattern your policy follows — or whether it still meets your financial goals — our team is here to help review and explain your options.
Each benefit on your policy (for example, life cover, disability cover, or income protection) has its own premium pattern. This determines whether your premium will stay the same, increase, or even decrease as the years go by. You can view the specific pattern that applies to your policy on your Policy Schedule.
Here’s a simple breakdown of the different premium pattern options and what they mean:
Level Premium Pattern – Your premium stays the same throughout the policy term.
5% Escalation Pattern – Your premium increases by 5% every year on your policy anniversary.
Age-Rated Pattern – Your premium increases each year based on your age and the higher likelihood of a claim as you get older.
Age-Rated Plus Pattern – Similar to the Age-Rated Pattern, but includes an additional 2.5% increase annually. This applies to certain benefits such as Life, Spouse, Child, and Disability Lump Sum cover.
Decreasing Pattern – Your premium decreases by 3% each year. This option is usually used for Life Income benefits that pay out until a selected retirement age or a child’s birthday.
It’s important to note that if your cover amount increases, for example due to annual benefit increases, your premiums will go up by more than the pattern rate.
Example: If you choose the 5% Premium Pattern and your cover increases by 10% each year, your premium will increase by more than 5% to match the higher level of cover.
Insure Brokers
8 Eagle Road, Southbroom
South Africa
The information provided in this newsletter is for informational purposes only and should not be construed as professional advice. While we include links to helpful third-party websites, please note that we don't control or guarantee the accuracy of the information on those sites. We encourage you to reach out to our office if you need personalized advice. We're not responsible for any actions taken based on the information shared here or through the links provided.
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