In many instances where claims are refuted, the decision is based on a specific exclusion noted in the policy, which is sent to the consumer.

Over and above this, it’s vital that you understand both your rights and obligations prior to accepting cover to avoid a potential rejection of a claim.

Choosing the right funeral policy

A funeral cover comes in handy in the event of the unfortunate loss of a loved one.  People often struggle to choose the ideal funeral cover amount for all the funeral expenses that may be incurred.

It is important to have a clear guide on the most basic elements of funeral cover in order to ensure that beneficiaries have the financial means give their loved ones a dignified send off.

Every family is unique with different needs and dynamics. A dignified funeral often differs from family to family; each family have individual preferences and standards they adhere to.

Therefore, the stipulated funeral cover amount should meet the expectations of the family without additional funds having to be raised.

Here are 12 important questions that one should ask before choosing a funeral policy:

• Does the funeral plan allow you to choose the funeral director or parlour?
• What if your chosen funeral parlour goes out of business?
• What is the waiting period on my funeral policy?
• What happens if the insured person dies in another country or far away from home? Will the policy cover the cost of transporting the body home for the funeral?
• Would I be able to downgrade if my premiums become unaffordable?
• Can you cancel the policy if your circumstances change? For example, if you have taken a funeral cover for your spouse but you divorce before they pass away.
• Are there cancellation fees and/or penalties?
• Can I take out more than one funeral policy, and what is the limit?
• Can two policy holders cover one person under the same financial institution?
• If there are outstanding premiums at the time of death, can you arrange to pay the outstanding amount in return for the agreed payout or will the policy simply be cancelled?
• Can you change the details of the funeral plan? For example, if you choose to have a cremation rather than a burial or vice versa.

Article credit Always read the fine print on funeral and insurance policies (kaya959.co.za)