ABSA INSUARNCE UNFAIR

I am writing to express my deep dissatisfaction with the way my insurance claim has been handled by ABSA in relation to my loan. When I took out the loan, I was informed that part of the loan cover included insurance to protect me in case I lost my job. Unfortunately, I was subsequently terminated from my employment, and I immediately notified ABSA of the situation.

However, ABSA’s response was that I would not be covered under the insurance policy due to my termination. I provided all necessary documentation to show that my dismissal was unfair and that I was in the process of challenging the termination in court. Despite this, ABSA maintained that, as per policy, I would not be covered because I had been terminated from my job.

While my case was ongoing, the company I worked for ultimately reinstated me and paid me for 12 months. I then contacted ABSA again, expecting that the situation would be reassessed. However, ABSA provided a different reason for denying my claim: because the company had settled with me and paid me for those 12 months, ABSA argued that I was no longer eligible for coverage.

It has now been over a year and seven months since my termination. I received 12 months’ worth of payments from the company, yet ABSA refuses to cover the remaining 7 months during which I did not have any income. I have contacted ABSA’s complaints department numerous times, but for the past three weeks, I have only received the same response from Ms. Dhlamini, stating that ABSA will "respond by the end of the business day." It seems that ABSA’s "end of business day" timeline stretches on indefinitely.

When I took out the loan, I was never made aware of any of these issues or limitations regarding the insurance cover. I was simply told that the cover was mandatory. I have consistently made my loan repayments without fail, yet I am extremely dissatisfied with how ABSA has handled my claim and the lack of transparency around the insurance policy.

At this point, I am requesting a direct response from ABSA management to explain why my insurance claim for the 7 months I was unemployed has been denied, especially given that I was paying into the policy with the understanding that it would protect me in such situations.

I would also like to warn other customers to be cautious about ABSA’s insurance cover offerings, as it seems they do not provide the support they advertise.

I look forward to your prompt response and a fair resolution to this matter.