Be Prepared – Get Funeral Cover

Elderly couple

Did you know that a funeral can currently cost anything between R7 000 and R50 000? If you don’t have that kind of money on hand, you need a different approach to give your loved one the dignified funeral they deserve.

With funerals being so expensive, it may be difficult to pay for it should you pass away. However, by taking out funeral cover – or insurance – you can have the peace of mind that your funeral will be paid for.

Also See: WALLETWISE gives you tips for smarter and safer banking

What is funeral cover?
Funeral cover is a specific insurance meant to cover the cost of a funeral (it is also called a “funeral plan”) and ensures that the beneficiaries have quick access to the funds they require for the funeral. As policy holder you also have the opportunity to decide the amount you want to be covered for and whether anyone in your family should also be covered by the same policy. Some policies also let you cover members of your immediate family, like your spouse, children, and parents.

Also Read: How to kick-start your savings

How does funeral cover work?
First you need to contact one of the institutions that offer funeral cover. You then need to decide which funeral insurance policy you want to take out and who you want to have covered by the policy. Your monthly premium for the policy will depend on the amount you are insured for as well as the number of people who are insured on the policy.
It is very important not to miss a payment as it may mean that you lose the funeral cover.