Time to think about things you don’t want to think about
It’s hard to think that you will be at the age or time in your life where you will need to start thinking seriously about funeral cover or your last will and testament.
But the reality is, the best time to think about these things is before you reach that point where you absolutely have to.
Rather get a head start on understanding what you’ll be needing to do one day, today, and find a sense of security going forward in life.
Funeral Cover
Funeral cover is a risk insurance policy that only works in favour of your passing away – a terrible sentiment but that’s the reality. The reason why you would need funeral cover, in the event of your death, is to ensure that your family or dependents left behind aren’t faced with the issue of scratching around for money to pay for the funeral, burial fees and other associated costs. The average cost for a decent funeral today can be anything up to R80 000. If you or your family don’t have that kind of money lying around, then you seriously should consider finding an affordable funeral cover policy.
Some questions you need to ask potential insurers and yourself when looking for a suitable funeral cover insurance policy include:
-
What is the waiting period (if any) to claim the payout from this policy?
-
What is the extent of coverage within your family? Is it limited to yourself and your spouse alone, or are your children covered as well?
-
Are there downgrade options if you can no longer afford the current/initial premium?
-
If you cancel your policy, will you receive any cash back?
-
Will your premium increase also lead to increased coverage?
Now, every insurance company has their own specifics when it comes to their policies but, generally, the waiting period before being able to claim back your money depends on the manner of death and whether all the necessary documents have been submitted. But if all is in order, you can usually rely on a 48-hour wait. The extent of your coverage depends on what the insurance company can offer you, but don’t be shy to shop around for extensive coverage.
All in all, you need to be asking these questions yourself and looking around for different options that will, at the end of the day, provide sufficient coverage that you can afford.
Your last will and testament
While we’re in the doom and gloom of leaving this world behind, it’s time to start thinking about writing your last will and testament. Legally, you only have to be 18 to be able to write up a valid will, although, some may think that’s a little too young. So, let’s not think about it as a “coming of age” event but rather as “that time in your life” event.
Milestones in your life where you should start looking for a lawyer to write your will – or researching how to write it on your own in a way that still binds it legally – include:
-
You’re an adult now
-
You’ve bought property
-
You’re getting married
-
You’re having children
-
You start a business venture
-
You experience health scares
-
It’s been 5 years since you wrote the last one
It all comes down to stages in your life where you acquire large assets or have dependents that need to be cared and catered for after you’re gone in the form of settling these assets. You don’t want to leave it too late when you’ve already had a series of health scares and aren’t sure when the last scare will be or you’re no longer in a sound state of mind to put a legitimate will together.
All it takes is a bit of time to write a will and you and your family can start resting assured of an accommodated future in the event of your passing. Be sure to update it at least every five years, if not more regularly, as a lot can happen in five years and you don’t want to leave anything out of your will or be unclear on your intentions. Whatever you fail to record will be dealt with by the court, and you don’t want that.
No one really wants to start thinking about their death but with regards to getting funeral cover and writing up a will, it won’t take you too long to sort out before you can start going back to the naiveties of life.