By: SITHEMBILE HLATSHWAYO

Observer

ESRIC Investment Policy Rewards Loyalty as Clients Reap Cash-Back Benefits

FAITHFUL premium payments and long-term financial discipline are yielding tangible rewards for policyholders under the Eswatini Royal Insurance Corporation (ESRIC) Investment Policy, as clients begin to reap the benefits of cashback payouts that underscore the value of structured insurance-linked investments.

Among those celebrating the fruits of commitment are Mayibongwe Dlamini and Ntombifuthi Sangweni, who recently received their cash-back payouts after consistently contributing to their ESRIC Endowment with Periodic Cashback investment policies over the agreed policy period. Both have been paying a minimum of E200 monthly over at least 10 years.

Their experiences offer a practical illustration of how insurance can go beyond risk protection to serve as a reliable financial planning and savings tool. Speaking in separate testimonials, both clients praised ESRIC for its efficiency, professionalism, and swift processing of payouts. Sangweni, who received her funds in recent weeks, said the payout came at a critical time in her life.

"I had an outstanding loan that had been weighing heavily on me. When I received my payout, the first thing I did was clear that debt," she said. "It was a huge relief and a reminder that disciplined saving really pays off." Dlamini echoed similar sentiments, highlighting not only the financial relief but also the speed with which ESRIC processed the payout. "I did not expect the process to be so fast. Within five days, everything was finalised and the money was paid into my account. That level of efficiency builds trust," she said.

The ESRIC Endowment with Periodic Cashback Investment Policy is designed for long-term investment, making it particularly attractive to individuals seeking both financial security and future returns. Unlike traditional insurance policies that focus solely on risk cover, the investment account allows policyholders to accumulate value over time while remaining insured. Under the Endowment with Periodic Cashback investment policy, clients pay premiums regularly, monthly, quarterly or annually over a fixed period from a minimum of 10 years. A portion of these premiums goes toward risk cover, while the remainder is invested on the client's behalf. Over time, the invested portion grows, depending on the policy structure and performance, culminating in a periodic cash-back payout within five years, provided the policy terms are met.

The cashback is not a refund for unused insurance, but rather a reward for consistency, patience and financial discipline, just like any long-term investment. Clients who maintain their policies without lapses and, in some cases, without claims, become eligible for a payout that represents a portion of the premiums paid, along with any accrued investment growth.

ENCOURAGING A CULTURE OF LONG-TERM INVESTING

ESRIC Marketing and Corporate Communications Manager Gcebile Simelane says one of the greatest challenges facing households in Eswatini is the lack of structured savings and investment mechanisms. Simelane says many people rely on informal savings or short-term financial solutions, which often collapse during emergencies. "The ESRIC investment account seeks to address this gap by enforcing disciplined, long-term investing," said the marketing and corporate communications manager.

For Sangweni, the policy served as a forced investment plan. "Honestly, if I had kept that money in my account every month, I might have spent it. Knowing that it was going towards something secure helped me stay committed," she said. The investment account also offers peace of mind, as policyholders know that in addition to saving, they remain protected against unforeseen risks throughout the policy term.

FAST AND EFFICIENT PAYOUTS BUILD CONFIDENCE

One of the recurring themes in client testimonials is the speed at which ESRIC processes payouts. Both Dlamini and Sangweni confirmed that their claims were settled within five days, a turnaround time that is often rare in the financial services sector.

This efficiency is particularly important in building public confidence in insurance products, which have historically been viewed with skepticism by some members of the public. Delayed claims and complicated processes have discouraged many potential policyholders. ESRIC's approach, however, appears to be shifting that narrative.

Quick payouts not only provide financial relief but also reinforce the credibility of the institution. For many clients, seeing actual cash returned after years of payments validates their decision to invest through insurance.

FLEXIBILITY AND ACCESSIBILITY

Another key feature of the ESRIC investment account is its flexibility. Policies are structured to accommodate different income levels, making them accessible to both formally employed individuals and those in the informal sector. Premium amounts can be tailored to suit the client's financial capacity, allowing more people to participate in long-term investment planning.

This inclusivity aligns with broader national efforts to promote financial inclusion and encourage citizens to engage with formal financial institutions.

BEYOND CASH-BACK: LONG-TERM FINANCIAL PLANNING

While the cash-back payout is often the most visible benefit, financial advisors caution that the true value of an investment-linked insurance policy lies in its long-term planning potential. The funds received at maturity can be used for a range of purposes, including paying off debt, funding education, starting a business, or supplementing retirement income.

By demonstrating that insurance can deliver tangible financial benefits, not just promises, ESRIC is positioning its investment account as a practical solution for individuals seeking both protection and growth.