What is OAL?

The Overall Annual Limit (OAL) serves as a crucial component in determining the yearly benefits available to beneficiaries, ensuring compensation up to a specified rand value. 

Essentially any benefit category explicitly stipulating its dependence on the OAL signifies that claims can only be processed up to the OAL amount, provided there is an allocation remaining within this limit. The annual increment of the OAL, typically taking effect from 1st April each year. 

For instance, let’s consider the scenario where the OAL experienced an increase from R 191 000 to R 201 000 effective from 1^st April 2024. This adjustment implies that during the preceding period from 1^st January 2024 to 31 March 2024, beneficiaries were eligible to claim benefits up to the previous limit of R 191 000. Once this limit was reached, any further claims specified as part of the OAL would fall outside of cover. 

Subsequently, from 1^st April 2024 to 31 December 2024, beneficiaries will have access to the increased value of R 201 000, meaning that if they have reached the R 191 000 by 31 March 2024, the beneficiaries would be able to claim for an additional R 10 000 from 1^st April 2024 – 31 December 2024 for events from 1^st April. 

Please could you provide me with feedback by COB Monday, 04/03/2024.