Insurance that goes with your handbag – what all women need to know about managing their finances like a pro.

According to a study by the Human Sciences Research Council (HSRC) and the South African Race Relations Institute (SARRI), 40% of mothers in South Africa are single parents[1]. While Trading Economics[2] revealed that last year, 45,4% of the South African workforce was female.

“It is evident from these statistics that women are becoming more independent and have a lot more responsibility when it comes to taking care of their own finances and managing their households” says Lize Badenhortst, GM: Short Term Insurance at Iemas Insurance Brokers. No matter what your financial or family situation is, as a woman you have to ensure that you are in control of your finances – this includes your insurance policies, retirement annuity and your Will.

Why do you have to be insured?

“Insurance includes more than car and household insurance. It also involves the people you love” says Badenhorst. Not having a funeral policy for you and your extended family or life cover when you pass away, will put your family in a dire financial position, especially when you are the main bread winner. And what about your phone, laptop, valued jewellery and handbags? These items are expensive to replace, thus not insuring your accessories will result in you having to use your savings or emergency fund, which is not ideal, especially when other unexpected expenses also creeps in.

Who will take care of you when you retire?

Retirement always seem far away, until you reach the age of 60. If you are a mother, you are more likely to focus so much on the needs of your children, that you often forget about your own. “Don’t just depend on your pension fund or the help of your children when they are grownups. Open a retirement annuity to supplement your pension and to give you more peace of mind at a time when you deserve not to work anymore” advised Badenhorst.

Who will take care of your children when you are no longer there?

If you do not have a valid Will, now is the time to get one in place as it includes details about what happens to your assets and, if you have children, who will have legal guardianship of your children. If these details are not specified in a valid Will, then the court will decide who will take care of your children when you are no longer there.

“Managing your finances is more than just drawing up a budget and ensuring that you have a stable income to support yourself and your family. It is also about planning for the unexpected, the longer-term future and making sure that you have all your ducks in a row to secure the things and the people you love” concludes Badenhorst.


[1] Source: https://www.parent24.com/Family/Parenting/where-have-our-fathers-gone-20160217-2#:~:text=Research%20conducted%20in%20the%20past,in%20the%20US%20and%20a

[2] Source: https://tradingeconomics.com/south-africa/labor-force-female-percent-of-total-labor-force-wb-data.html