This product entails the dedication of a specific premium towards a Fund that is meant to give immediate assistance to the family in making burial arrangements. The benefit is paid by the insurer within 24 hours of receiving a burial order.
Who Is Covered
Employers are given two options of taking up the Group Funeral Benefit Scheme:
(i) as a stand alone
If the Employer opts for the above, the benefit will apply to the member and extended to cover the spouse and children (up to a maximum of three children)
(ii) as a rider
This means that the benefit will be offered complimentary to the Group Life Assurance Scheme. In this instance, the benefit is payable only upon death of the employee, cover does not extend to the family.
The selected option will determine the cost of the benefit.
The employer will pay a premium for the provision of this benefit. The premium will be calculated as a percentage of the monthly salary bill.
A lump sum payment is made out on death which is a multiple of member’s salary as at date death (eg 3 times monthly salary). Employers are free to choose the multiple that best suits their needs, and this shall determine the cost of the benefit.