Funeral Insurance

Most people don’t think about funeral expenses until they have to organise a funeral. It’s a painful and emotional time, and the last thing you want to worry about is money. This is why you should make the decision now to get affordable funeral cover.

Choose from AVBOB Funeral Insurance or Auto and General.

AVBOB is Africa’s largest Mutual Assurance Society and has provided a one-stop funeral insurance and burial service solution since 1918.

AVBOB respects policyholders who may prefer to pay for funeral cover over a specified term. With AVBOB’s Extended Family Insurance product you have the option to take out a whole-life policy or, if you prefer, you can opt to only pay premiums for a term of ten (10), fifteen (15), twenty (20) or twenty-five (25) years.

The Extended Family Funeral Insurance product allows you to insure the whole family, parents, parents-in-law and extended family members.

What’s more is that all lives insured under the AVBOB policy qualify for the following FREE benefits* which are over and above the value of the policy:

  • A FREE basic funeral to the value of R9 600*
  • FREE transportation of the deceased within the borders of South Africa*
  • R1 000 cash up-front for immediate funeral expenses such as airtime, grocery vouchers, electricity, etc*

The above benefits are based on policies that have been in-force for 24-months or longer and are subject to AVBOB being appointed to conduct the funeral.

With Auto & General’s Funeral Cover you get:

  • HIV/Aids cover
  • Repatriation benefit within the borders of SA
  • No medical examination
  • Claims settled in two working days if all relevant documents are received
  • Additional members

Click here to find out more about the offering from Auto & General.

Funeral or Burial Insurance is a basic type of life insurance that is used to pay for funeral services and merchandise costs. This policy usually covers people until they reach the age of 100. Applicants do not have to go through a health exam in order to obtain it, they are usually asked to swear that they are not currently ill or in a nursing home.

Funeral or Burial insurance is a cash policy, which means it builds a cash value over time. Premiums to this type of insurance do not change, and this policy provides permanent coverage. Some of the costs covered by this insurance include funeral service, cemetery plot and headstone, casket, funeral procession and other miscellaneous costs.

The Auto and General Funeral Insurance plan is underwritten by 1Life Insurance limited an authorised financial services provider, FSP:24769.

The Funeral Plan policy gives the life assured monthly cover for death as a result of accidental and natural causes. Repatriation services are also included in this cover.

Natural and Accidental Death benefit:

Individual Cover – this covers the main member only.
Family Cover – this covers the main member and spouse plus one to five dependants up to the age of 21 (or up to 25 if they are registered full-time students).
Extension of cover for individual family members is also available at an additional premium payable.
Death as a result of HIV/Aids-related illness is covered.
Claims will be settled in less than two working days if all documentation is received.

Repatriation Services benefit:

In the event of the insured’s death, the next of kin may decide on the place of burial and the funeral home.
The mortal remains will then be sent to a branch of the chosen funeral home, closest to the cemetery.
This service is only offered if both the death and burial occur within the borders of South Africa.

Qualifying for cover:

This cover will only be available where the assured member’s entry age is between the ages of 18 and 65.

How do my payments work?

The Funeral Plan gives the insured member monthly cover and the premiums are deducted in advance on the date stated on your schedule. If in the month following the activation of the policy (and onwards) we do not receive the premium on the due deduction date, you will be allowed a 15-day grace period in which to pay the premium. If we still do not receive the premium after these 15 days, the insured member/s will not have cover for that month.

Premium obligations

For your premium obligations, refer to the paragraph entitled “Policy details” on your schedule. This will give you details regarding the manner of payment and the due date for payment of the premiums. The policy will only commence upon receipt of the first premium. Please take note that we agreed to collect the monthly payment for your policy by debit order, and your initial debit will include your commencement premium and an administration fee. A deduction will be made on the same date every month. Should this date fall on a Sunday or public holiday, the deduction will be made either on the last working day prior to or the first working day after the weekend or public holiday. If we do not receive your premium on your preferred deduction date, we may attempt to collect your premium on a more suitable date in an effort to keep you covered. If payment is not received for three consecutive months, the policy will be cancelled immediately.


Insurance cover will not be granted and benefits will not be payable in the event of death of the assured life resulting directly or indirectly from or which is attributable to, suicide or attempted suicide during the first 24 months from the commencement date, notwithstanding such suicide or attempted suicide being the result of insanity (temporary or permanent), mental illness, the influence of drugs or intoxication of the assured life.

Your obligations

Give us true and complete information.
Tell us about anything you have not yet disclosed but that may be important for us to know in order to accept the policy or about anything that changes that may be important for us to continue accepting the policy.
Keep in mind that incorrect information, non-disclosure or misrepresentation of information may influence us on claims arising from your contract of insurance and may influence our decision to provide the benefits in terms of your policy or to accept or terminate your policy.
Inform us if any of the policy details or declarations is incorrect or if any of these details or declarations change.

Disputed claims

After we inform you/the assured life of our decision on a claim, we will allow you 90 days to make the appropriate representations to us about our decision. If you do not comply with this time limit, we will not reconsider the disputed claim. If we do receive representations, the decision will then be reviewed and the outcome communicated to you.

If you wish to dispute the outcome of your claim you can do so within 90 days by contacting the Internal Dispute Resolution Department (details on your schedule). If the dispute is not resolved to your satisfaction you will have an additional 180 days to either institute legal proceedings or to contact the Ombudsman for Short-Term Insurance at PO Box 32334, Braamfontein, 2017 or the Ombudsman for Long-Term Insurance at Private Bag X45, Claremont, Cape Town, 7735.

Note that the Ombudsman only considers a complaint made to him if he is satisfied that the Complainant has tried unsuccessfully to resolve the dispute through approaches to the insurer’s management or its internal complaints handling department.

If, after review, we do not indemnify you for a claim or any part of it and you wish to challenge our decision, you must serve legal
process within six months, calculated from the expiry of the 90-day period referred to above. If you do not comply with this time limit, you will be prevented from proceeding with legal process.

Waiting period

The ‘waiting period’ is a period during which no insurance cover is provided and monthly premiums are payable. The following waiting periods apply:

From the commencement date of the assured life on the policy, there is a six-month waiting period for that member for death as a result of natural causes. For death as a result of an accident there is no waiting period.
If we do not receive the monthly premium, the above waiting periods will recommence.

Risk assessment

The age of the assured life is considered to be material to the acceptance of this policy. Please note that any incorrect or incomplete information relating to the above may result in the non-payment of a claim.

How to claim in the event of death

In the event of a claim, call the Claims number provided below.

The following documents must be submitted to the Claims department:

The official claim form as required by the Claims Administrator.
A certified copy of the abridged death certificate of the assured life.
Proof of identity of the assured life and the nominated beneficiary.
The policy schedule.
A fully completed BI1663 form (notification of death form).
An official police report if the death of the assured life was due to unnatural causes.
Proof of banking details of beneficiary and one month’s bank statement.
If no beneficiaries exist, then a letter of executorship from the high court is required.
Any other documentary proof that may be required by the insurer.
More information will be provided when you contact us.

All claims must be submitted in writing within six months of the death of the assured life.

Please note – in order to make use of the offering, information will need to be transferred between ourselves and the service provider.

Declaration by the insurer

The conditions of this scheme are consistent with the provisions of the Long-term Insurance Act (Act No.52 of 1998) or with the terms of the master policy, which is available on request.

Your Funeral Plan is underwritten by 1Life, an authorised financial services provider (FSP Licence No: 24769). Auto & General Insurance Company Ltd is an authorised financial services provider (FSP licence number: 16354).

Version interim: 20151102

PLEASE NOTE: Refer to the Auto and General Web site for the latest version of the above document.

APPLY HERE for Funeral Insurance Cover.