We all think that we still have a long time to live… until death strikes, which reminds us of the reality that life is short. Which is why leaving funeral cover until it's too late can be the final blow to your loved ones as they attempt to juggle the pain of losing someone they love and the financial aspects of giving you a good send-off.
These are all the reasons why you shouldn't leave getting funeral cover until it's too late.
The financial pressure of organising a funeral
If there is one form of insurance that South African's swear by, it is having funeral cover. An estimated R10 billion is spent each year by South Africans who even go as far as having two funeral covers. Due to the affordability of funeral covers being as low as R44 per month, many people drift towards having this cover in place. However, the numbers are far too low regarding the number of people who still need to have cover in place.
One of the biggest problems in underestimating the costs that comes with funerals is people not knowing the true cost of carrying out a funeral in South Africa. Knowing what it costs to carry out a funeral is crucial as it can prevent you passing on the financial responsibility to your loved ones who are going to be in the process of grieving.
You could end up being covered for less
While choosing the cheapest cover to cover your funeral, failing to read the terms and conditions of the cover or how much you are covered for can lead to many disappointments for loved ones who have to foot the bill when it comes to out of pocket expenses.
Furthermore, leaving getting funeral cover until you are older also means that you could be covered for less. Most insurers have a set payout bracket for each age group. The older you get, the lower the cover amount will be. For example:
Children under the age of 6 are required by law to only be covered for R10,000.
Children age 6 to 14 years old can be covered for R30,000.
Adults up to the age of 65 years can be covered between R10,000-R100,000.
However, based on the insurer you could be covered for less based on your age. Adults that exceed the age of 65 years are usually covered for less due to the risk they pose.
What about after the funeral?
Not having a funeral cover at all in hopes that your family members or loved ones will take care of this is something that causes stress for many families who have to scramble towards paying for a funeral.
It is equally important to think beyond the funeral day to ensure that your loved ones are taken care of. At MiWayLife, we have created a 2-in-1 option for R149* that offers you funeral cover and life insurance under a premium that is an equivalent of getting a pizza! Not sure how much life insurance you need? We have a life insurance calculator that can give you an estimate to ensure that you and your loved ones have one less thing to worry about.
