We recently launched two new financial products on the Fincheck platform! This is really exciting because we can now help people make better financial decisions over a wider selection of finanncial products. We started with a Life Insurance education series and we're now following that with a Funeral Insurance education series.
Help us to spread the helpful information to South Africans by sharing this article with your friends! Let's look at the basics of Funeral Insurance.
What is a Funeral Policy?
A funeral policy, also known as funeral cover, is a form of life insurance and covers the expenses of a funeral. There are different ways in which the benefit payout can be used but most typically it covers the expenses or services required for a funeral.
A funeral policy should be the consideration of almost all South Africans who don't own any other life insurance products. This ensures peace of mind in the time of mourning instead of financial stress adding to this already troubling time.
Do you really need a Funeral Policy?
The short answer yes and the more important question in South Africa is whether you really need more than one!
There has been a trend for years where people have taken out multiple funeral policies for members of their families. Some studies concluded that most South Africans who have a form of funeral cover, have more than one for multiple family members. This can quickly rack up the cost of your monthly budget. The better option is to consolidate these payments into one funeral policy that meets the requirements of a family or even extended family.
Any person who has no other form of life insurance products or savings and has taken on financial and life responsibility should strongly consider getting funeral cover. If you haven't had the great misfortune of organising a funeral, you might be unfamiliar with the amount of work and cost that goes into funeral arrangements.
Typically the things to consider are:
- contacting a funeral home
- picking a coffin or,
- decide on cremation versus burial ceremony
- organise catering
- funeral programme for family and friends
- organising all the communication and events for family and friends
This entire process comes at a cost of time and money, no matter the size of the funeral and it's therefore important for any person as mentioned above to have a funeral policy.
We know the options for funeral insurance is vast and each person’s situation is different. So, we want to help you make the right choice. If you are looking for a funeral insurance partner, we encourage you to make use of our funeral insurance comparison page to apply & then compare the different funeral insurance partners and their basic options.
To your better financial future!