Friday, November 24, 2017

Dear clients and associates                                                                                           December 2017

We are almost at the end of 2017 and would like to reflect on the highlights and challenges of the past year. A warm welcome to all our new clients who joined us this year. Most of our new clients are referrals which makes us proud and thankful towards our existing clients and associates for entrusting us to oversee your family, friends and business associates’ financial planning. To all our clients: you can rest assured that we are commited to compiling a personal financial needs analysis for every client to ensure it reflects each individual’s personal goals.

Our mission is to continue assisting you on the road to the creation and retention of wealth 
and protection against financial risks.

Investments and creation of wealth
Initially, markets performed poorly, but stabilised very well during the third semester, emphasizing again the importance for investors to keep with long-term planning and refrain from making short-sighted decisions based purely on emotions. This ensures worthy fund performances over the long haul. We expect volatile markets in December during the ANC’s leadership congress, but we trust it will only have a short-term effect.

Risk insurance: Life-, Disability- and Severe illness cover
We were grateful we could finalize a severe illness claim successfully earlier this year. This was in spite of confirmation from other insurers they would not have settled the full claim. It confirms again the importance of working only with trustworthy product providers who have proven their reliability with a good claim and payout history.

It is very important to review your risk benefits annually to ensure you are sufficiently covered. Please ensure you keep to your annual appointments.

 We receive regular concerns regarding temporary disability benefits. What happens when you are unable to earn an income for an extended period due to injury or illness? Certain employers do offer temporary disability cover as part of your employee benefits, but unfortunately this is very seldom. Luckily there are numerous products on the market that offer this cover. Feel free to contact us for an evaluation of your personal situation and advise on suitable cover.

Thank you to all our business partners for your expertise and personalized service to us, as well as our clients.

Short-term insurance
Over the past year we have seen some devastating fires in the Western Cape, especially in the Garden Route region. 
The value of sufficient insurance was again highlighted. The negative impact of under- or overinsurance can be underestimated at claim stage. With underinsurance, it is important to note that only a portion of the claim is paid. For example, if your house contents is insured for R100 000, but the true replacement value is R200 000, the insurance company will only pay 50% of the claim value. Therefore, if the claim is for R50 000, only the amount of R25 000 will be allowed. The same applies to overinsurance.  Only the replacement value will be paid and is therefore not in the client’s best interest to overinsure their items.

With the fires in Gordon’s Bay during the month of November, it was heartwarming to see the community coming together to help those in need.  Thankfully we had no loss, but clients have suffered significant damage. Our empathy is with you. We are doing everything within our capacity to finalize the claims as quickly as possible.

We are also proud of our village, Gordon’s Bay and its people for their swift action when our local animal welfare sent out a distress call for the animals in need. The animals were quickly evacuated and taken to safety at different locations. We also fostered a loveable rottweiler until the fires were contained. Thank you to all the firefighters, community members, businesses and everyone else for your speedy assistance and selfless service.

With the purchasing of a new short-term policy, please ensure all info is accurate and true as stipulated in the schedule. Please take time to read the summaries/schedule carefully and take note of any excess amounts as well as additional benefits added.

 It remains the responsibility of the client to ensure you understand the product and the insured amounts are correctly disclosed.

We receive various complaints with the annual renewals when short-term premiums increase, in spite of vehicle retail values declining. Unfortunately there is a number of factors that determine the premium increases, for example:
-      The weakening Rand which contributes to the price increase of vehicle parts and repair costs.
-      A significant rise in theft claims, which increased the cost to insure vehicles.
-      Claims due to severe weather patterns, for example flooding or the Knysna fires.

Please contact us if you are not satisfied with your current premium or service. We would like to have the opportunity to address the problem rather than have you change to a different service provider without our knowledge. In most cases we will be able to provide a solution.
Kindly contact us in advance if you want to add an item to your short-term insurance, especially with the purchasing of a motor vehicle, to allow us sufficient time to do all that is necessary.

For enquiries during the festive season when our office is closed: (Have the policy number or I.D. number of the policy holder ready when you call)

OM Insure      
Tel: 0861 247 365       Claims, emergencies, Swiftcare: roadside assistance, household emergencies and medical emergencies.
Tel: 0860 637 373       For general enquiries about adding or removing items or any other amendments.

Tel: 0860 505 911       Claims, emergencies, SOS: roadside assistance, household emergencies and medical emergencies.
Tel: 0860 726 826       For general enquiries about adding or removing items or any other amendments.

Auto & General                                 
Tel: 021 527 8666       All claims, enquiries and amendments.
Tel: 0860 104 210       Emergencies after hours.

Well wishes and inspiration
Congratulations to our clients who earned a sporting achievement. A grandson of one of our clients has previously earned provinsial colours in rugby, and has now also received SA colours in Hip Hop dancing. Another client’s daughter is a provinsial Netball player. There were also clients who studied part-time and completed their degree with distinction.

We would like to congratulate everyone who earned a significant achievement, you are our inspiration. You are most welcome to share your and your family’s achievements with us, we want to share in your pride and joy.

Tax assessments
A significant amount of grievances were mentioned in the news towards SARS for their reluctance to pay out refunds due to income tax payers. However, it is remarkable how e-filing has simplified tax submissions the past few years. Mostly the processes are easier and quicker than 10 years ago. Take this in consideration if you experience any frustrations. SARS has intensified requests for submission of supporting documentation and in some cases more detailed evidence, to ensure only true deductions.
You are welcome to forward your tax documentation upon receipt for safekeeping. We store all documentation electronically until the tax season commences to prevent endless searches for misplaced documentation when in a hurry.

It remains the client’s responsiblility to ensure we receive the relevant documentation in time.

Please take note deductions allowed for retirement savings has increased to 27.5% this year. We would like to encourage you to make use of this opportunity to maximise your tax deductions. Please contact us for more info regarding this tax allowance.

Best wishes to everyone who is recovering from a serious illness, operation or accident. We trust you will have a speedy recovery. Our thoughts are with the Walker and Agenbag families, who lost a loved one.

Masthead, the biggest network for Independent Financial Advisors, still assess and handle our compliance. Our compliance is up to date and we are proud we received a clean audit from Masthead once again. Thank you to everybody at Masthead ensuring we comply to the regulations of the industry.

Our practice behind the scenes
Our office hours are Mondays – Fridays from 8:00 till 16:00. We have however experienced some power outages in the Gordon’s Bay region recently which affected our internet and phone systems. We do apologize for any inconvenience if you were unable to reach us. Please rest assured that we have put systems in place that will ensure no call goes unanswered during office hours. You are also most welcome to visit us at our premises.

Our son, Marco joined our business in January and he has already taken a significant role within the practice. The extra member comes in handy especially when individuals are on leave.

The success in our practice is determined solely by the support of our clients. We are humbled by this and would like to sincerely thank all our clients for your continued support.

2017 was a busy year and we look forward to the break. We are excited about 2018 and what it has in store for us. Our office will close on 22 December and re-open on 8 January 2018.
Merry Christmas and best wishes for the New Year! Travel safely and enjoy this special time with loved ones.

Kind regards

From all of us at Toni van Zyl Financial Services