Finding InsuranceQ&A

What is funeral insurance and do you need it?

Death is, sadly, an inevitable fact of life. It is not something that we enjoy talking about, but it is something that will affect all of us at some point in our lives. If you are the sole breadwinner of your family, your death will have a significant impact on them. They will have to plan for your funeral using what money there is available, which can be financially difficult during a stressful time.

If you want to take some of the financial strain off of your family, you should look into taking out AUL funeral insurance. Funeral insurance gives your family peace of mind that they will be able to give you a dignified funeral, while also being able to live their normal lives during a difficult time.

What is funeral insurance?

Funeral insurance is a policy that provides a cash payout within 24 to 48 hours of a death in order to cover the costs associated with a dignified funeral. The payout is used to cover the costs of a funeral, and some offer daily expenses benefits for the month following the death of the principal member.

Funeral cover or insurance is a very useful policy to have in place, as funeral costs can reach up to over R15 000 or more depending on the specifics of the day. Even if you are cremated, your family will still have to pay for a coffin, which can cost up to R8000. These costs can add up quickly and can make an already stressful time even worse. If you, your spouse or your child should die, funeral insurance will ensure that the financial side of the funeral arrangements is taken care of.

Many funeral insurance plans offer cover for your extended family, which includes siblings and grandparents. This can be extremely helpful if your grandparents do not have enough savings to cover their funeral costs, as well as if your extended family relies on you for financial support.

Why you should consider funeral insurance

It offers financial support

We can never predict what life has in store for us, just as we can never predict when our time will come. While this is not a topic people enjoy dwelling on, having AUL funeral insurance can help during these difficult periods by offering financial support.

When your family is bereaved, having to think about how they will pay for your funeral is the last thing they want to consider. By having funeral cover, you will be saving them from having to think about this and allowing them to take time to grieve. The extended family funeral cover options will also help financially if you have to organise the funeral of a sibling or parent.

Avoid prolonging the process

Funeral insurance pays for funerals. This payout helps to shorten the funerary process by giving you almost immediate funds. Your family will be able to put their plans into motion sooner, rather than having to spend time trying to put together money to cover the expenses.

Prolonging the process is also stressful to those who are grieving, which is where funeral insurance comes in handy. The payout amount is usually always enough to cover the cost of the funeral, and some options also offer repatriation of mortal remains, emergency medical assistance, HIV/AIDS counselling, trauma support, as well as legal and debt assistance.

You can cover your family

Funeral cover is not just for you. You can take out a policy that offers cover for your extended family. If your spouse or child were to pass away, you will be able to pay for a dignified funeral without having to worry about where to find the money.

If you are taking care of your elderly parents or your siblings, you can add them to your policy and their funeral will also be covered. It is important to consider where you are at in your life, and what your income covers. If you are paying for your own family’s daily expenses, as well as helping out other members of your extended family, it might be a good idea to look into extended family funeral cover.

Think about the future

It is never pleasant to think about a future without yourself or your family in it, but it is important to be prepared for every eventuality. AUL funeral insurance will allow you to rest easy, knowing that your family will be taken care of should the worst happen. Having to plan a funeral is a stressful experience, made even worse by the fact that they can become expensive. If you want to ensure that your family’s financial future is solid no matter what may happen, taking out funeral insurance is a sure-fire way to do so.

 

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