Wondering how a life insurance scam played out in the infamous Krugersdorp murders? Here’s the run down.
Were you gripped by the Showmax true crime documentary Devilsdorp? The show put a spotlight on the diabolical crimes of Krugersdorp residents Cecilia Steyn and Zak Valentine. Steyn was the mastermind behind a string of murders including a grim life insurance scam. The latter involved Valentine faking his own death so Steyn could cash in on his life insurance policy.
How Did They Do It?
When you take out a life insurance policy, it pays outs out a lump sum to a beneficiary of your choosing in the event of your passing. It’s a great financial tool to create a financial safety net for your loved ones. Valentine, who was married at the time, but allegedly romantically involved with Steyn, took out a life insurance policy just a few months before the duo hatched a plot to make it look as though he died in his car that was found burned out in the middle of a veld.
To make it look as though it was Valentine’s body that was found in the car, Steyn had drugged and strangled a street vendor he’d befriended shortly before his “death”. He then went into hiding and Steyn identified the charred body as that of Valentine’s to receive a payout of R3,57 million.
Burning Questions
The case raised many questions in regard to life insurance. Many, who were confused as to the facts, wondered how Celia could receive a payout if she wasn’t Valentine’s wife. In short, when you take out a life insurance policy on your own life – as Valentine did – you can list whoever you like as your beneficiary. They don’t have to be related to you and all you’d need is their consent and these two bad apples worked in cahoots. However, you can’t take out a life insurance policy on someone else unless you have insurable interest.
Insurable interest refers to the interest one person has in the life of another person. It means that the policy owner must have a valid reason for purchasing a policy on the life of another person. The policy owner would have to prove that it’s in their best interest for the other person to be alive.
Don’t Underestimate Insurance Investors
Steyn and Valentine’s crimes were clumsy to say the least. They made many mistakes that led to them being caught and a sharp-witted life insurance forensic specialist, Shane Chatzkelowitz, played a key role in bringing the awful twosome to book.
Chatzkelowitz testified that Valentine’s life insurance company became suspicious when they realised the policy was taken out only five months before the “death”. The fact that Steyn was the beneficiary and not Valentine’s family seemed odd. Also, Steyn aggressively pushed for a speedy payout and she lied to Chatzkelowitz, saying that Valentine’s medical bracelet was found in the car when an official report said otherwise.
Don’t Even Think About It
Insurance fraud is always a bad idea. Alas, it’s on the rise in South Africa but, as a result, insurance investigators are becoming wise to the fact and getting better at identifying suspicious cases and bringing fraudsters to book. In the case of Steyn and Valentine, both are now sitting in jail. Steyn received 13 life sentences and Valentine got eight. Shockingly, Valentine used to work as a broker before starting his own financial service company so you’d think he’d have known better, but as it turns out, his criminal ability was as good as his moral compass.
If you’re thinking about taking out life insurance, for all the right reasons, such as creating a financial safety net for your family, why not get a quote from MiWayLife?
