What you need to know about funeral policies

29 July 2021 | Life Style

“The last thing you should worry about when grieving the loss of a loved one is reading the terms and conditions of your funeral policy to understand a claim. Particularly in today’s trying times with funerals having to be finalized within ten days and with only ten mourners per funeral – the added stress about finances can be alleviated,” says Georg Garrels, Head of FNB Insurance and OUTsurance Namibia CEO.
Many consumers only place emphasis on the cost of their monthly premiums and the lump sums that will be paid out in the event of death, and mistakenly ignore important detail in their policies. Garrels advises to ask these important questions when taking up cover:

Who qualifies as a nominated beneficiary?
It has to be a natural person and cannot be a company, business, charity or trust. Some insurers may also require the beneficiary to be a spouse or family member.

What if the nominated beneficiary passes away?
It will be important to update your policy immediately and nominate a new beneficiary. If the nominated beneficiary is no longer around or has passed away, the benefits would be paid into your estate.

Does the policy have a waiting period?
However, for natural death and suicide, the waiting period for most insurers is 6 and 24 months, respectively. There’s often no waiting period for accidental death.

Can I add my newborn child to the policy?
Most insurers require that a newborn child be added three months after their birth in order to be covered. Alternatively, the normal six-month waiting period will apply.

What if I skip a payment due to financial distress?
Your insurer will collect a double premium the following month. If collection fails for the second time, the policy will lapse.

How do I claim?
Some insurers require the claimant to submit a certified claim form, notice of death form, death certificate and a copy of their ID.

Will my policy lapse if I pass away?
Some insurers will give a spouse an option to continue with the policy as the new principal member, if a spouse was insured under the same plan.

“Although getting funeral cover is essential to safeguard you against unforeseen burial expenses, it is equally important to carefully read, understand and seek clarity about your policy from your insurer to avoid unpleasant surprises in the unfortunate event of death. For peace of mind and one less item to worry about, we recommend that consumers familiarise themselves with their policies and ensure they are conforming to all their needs and wants. FNB Insurance and Fiduciary offers assistance to customers and we encourage the public to speak to us to get their affairs in order.” concludes Garrels.

Similar News

 

Valuable features to add to your home

5 days ago - 22 September 2021 | Life Style

Each buyer will have unique preferences, but there are some features that tend to be more popular than others. Knowing what these features are can...

How to buy a house cash

2 weeks ago - 10 September 2021 | Life Style

When purchasing a property through home finance, buyers may end up spending the equivalent of what the property is worth in interest over the course...

Three tips for interior design novices

2 weeks ago - 08 September 2021 | Life Style

Our environment plays a crucial role in our wellbeing. Living and working in a visually pleasant setting can boost one’s mood and even one’s productivity....

Property: An asset, not an expense

3 weeks ago - 31 August 2021 | Life Style

Although property is classified as an asset, there is more to this than initially meets the eye.Assets are purchases that grow in value over time....

Are you ready to sell?

1 month - 13 August 2021 | Life Style

Just as buyers need to do their research before taking on homeownership, those who are considering placing their home on the market also need to...

Questions every seller should ask their estate agent

1 month - 11 August 2021 | Life Style

Selling property is one of the biggest financial transactions a person can make. Having the best possible service during these complicated transactions will ensure the...

Ways to renovate without losing character

1 month - 02 August 2021 | Life Style

For many, the history of a home is what makes it appealing.However, as charming as antique archways and brass finishes might be, rusty pipes and...

How to avoid buyer’s remorse

2 months ago - 27 July 2021 | Life Style

Buying a home is a long-term financial commitment, yet many buyers make their decision to purchase a home based on only a few minutes spent...

Some growth in mortgage sales

2 months ago - 22 July 2021 | Life Style

“Housing markets across most advanced and emerging economies have remained buoyant, despite the marked slowdown in global economic activity,” says Frans Uusiku, FNB Market Research...

How much is your home worth?

2 months ago - 21 July 2021 | Life Style

Knowing how much the property is worth will equip homeowners with the knowledge to make well-informed plans for the future, regardless of whether the owner...

Latest News

Kindergarten feeding changes lives

7 hours ago | Social Issues

Windhoek • [email protected] than 5 500 vulnerable pre-schoolers receive three free meals at 135 kindergartens across Windhoek’s poverty-stricken informal settlements.The programme is one component of...

International award for local leader

8 hours ago | Events

The Africa Leadership Awards took place virtually last week and this year, Namibia was added to the pool of women that have made an impact...

Award-winning Cassidy on this Friday

8 hours ago | Art and Entertainment

In this month’s edition of Night under the Stars at the Goethe Institute in the capital on Friday 1 October, singer Cassidy performs songs from...

Planning a holiday? Shark Island...

10 hours ago | Tourism

Namibia Wildlife Resorts (NWR) Limited, which initially planned to renovate its Shark Island campsite in the 2019/2020 financial year, had to postpone its plans due...

Sustainable investment opportunity for future-fit...

10 hours ago | Business

While 2020 was a record year for investment into the African tech startup ecosystem, with more startups raising more money from more investors than ever...

BIG speaks out about poverty...

1 day - 26 September 2021 | Social Issues

The Basic Income Grant (BIG) Coalition of Namibia said that it has taken note that the Ministry of Gender Equality, Poverty Eradication and Social Welfare...

NSS chooses new board

1 day - 26 September 2021 | Events

The Namibia Scientific Society’s (NSS) Annual General Meeting took place last Thursday (23 September).According to Waltraut Fritzsche of the NSS, the hall was filled with...

Michelle McLean seen in Times...

1 day - 26 September 2021 | Events

The International Association of Top Professionals over the weekend revealed a billboard in new York's Time Square of former Miss Universe, Michelle McLean after awarding...

New Agribank branch for Gobabis

1 day - 26 September 2021 | Banking

Omaheke region governor Pijoo Nganate asked Agribank to extend its visibility in other constituencies of the Omaheke Region via its outreach programmes in Gobabis on...

Load More