Funeral cover in South Africa is designed to provide your loved ones with the funds to pay for your funeral. Most funeral cover policies provide cover such as legal expenses, medical medical bills, credit card charges and any other bills that remain unpaid at the time of death. These places are commonly referred to as final expense cover, burial insurance and preened funeral cover but there are important differences to consider when making a purchase decision. Pay close attention to these funeral insurance hints and learn how you can save money in the process.
First of all you need to know what you are buying. Regardless of whether the policy is marketed as funeral cover, final expense insurance, preened insurance or burial insurance. Be sure to find out if it is a whole life policy or term life policy. These are all important differences. Term life premiums will be cheaper but the policy will terminate at a specific age from about 75 years or after a set period of about 10 to 20 years. If the policy terminates during your lifetime there will be no payout of the death benefit. Permanent whole life policies can be kept in force thought your lifetime and your beneficiary will receive the payout upon your death. Insurance policies are available from various cover providers and can be purchased through funeral service providers and their agents as well as insurance agents.
The most crucial benefit of funeral cover is financial security for you and your loved ones. A traditional funeral can easily cost R100 000 or more when you add in cemetery charges. Covering funeral costs is a very heavy expensive burden for most people especially if it comes to an unexpected death at a stressful time. Funeral cover policy protects your family against this financial hardship and avoids the added stress of paying final expense while dealing with a death.