OUTsurance Life has announced that it will add funeral cover to its current offerings.
The new product, which will become available next month, will meet customer demand in South Africa for a dignified funeral, while offering much greater flexibility for policy holders, said Danie Matthee, CEO of OUTsurance,
“Our research on funeral policies revealed that South Africans take out on average between three and four funeral policies in their lifetime, which is not ideal,” he said.
“There is a high cancellation rate. OUTsurance addresses the various pain points for consumers which cause these cancellations and will meet our current client demand for funeral insurance by providing affordable, flexible funeral cover.”
According to Matthee to ensure that cover remains relevant, clients can increase or decrease cover and premiums as circumstances change with no penalties.
The business will also use technology to make it convenient and simple to buy – funeral cover will be available online.
It also plans to offer a ‘pause and play’ feature which will allow a client to contact OUTsurance and request to pause cover for up to three months, without the policy being cancelled.
Using this feature, A policy premium would only become due in the fourth month and the client would not have to pay back the unpaid months. Also the client would not have to serve a new waiting period if the policy is reinstated before the end of the pause and play window
Cover and additional benefits can be increased or decreased at any time due to changing family circumstances or alternatively to manage costs if affordability becomes an issue, Outsurance said.
Outsurance said that the cover will be priced competitively from R30,000 to R100,000 for the insured, a spouse, children, parents and in-laws.
Clients can also select R5,000 worth of additional cover for each of the following: transport, tombstone, catering, after tears event and marquee. Therefore cover can be increased up to R125,000 depending on the client’s specific needs, it said.
The funeral product will be available from 1 June.