The Costly Reality of Funerals in South Africa - for individuals and business owners

Funerals hold significant cultural and social importance in South Africa, serving as a final farewell and a way to honour and celebrate the life of the deceased. However, amidst the grief and emotional turmoil of losing a loved one, families are often confronted with the harsh reality of the financial burden associated with arranging a dignified sendoff.

Losing a family member is undoubtedly one of life’s most challenging experiences, and the added strain of funeral expenses can exacerbate an already difficult situation. In South Africa, where many individuals are responsible for supporting multiple family members financially, the cost of funerals can be overwhelming. From burial plots and caskets to catering and transportation, the expenses can quickly accumulate, placing a heavy financial burden on grieving families.

South Africa is one of the most expensive places to die – with, on average, funerals costing 13% of an “average salary” (1). Funerals in SA can cost anywhere from a few thousand rand, to R150,000 – depending on various factors (2). Much of that relies on what kind of funeral cover the individual had before passing. Rural or lower-income households generally pay between R3,000 and R10,000; the middle class can afford a little more pay between R10,000 and R50,000, and for some extravagant and celebrity-type funerals, people pay up to R150,000 (3).

With these kinds of costs, the value of funeral cover (or funeral insurance) becomes very evident. By paying a monthly premium, funeral costs are covered up to a predetermined amount. This relieves the immediate financial pressure and provides peace of mind, knowing that costs are covered.

Business owners, especially those in small and medium-sized businesses, are likely to be approached by employees for assistance with funeral costs when there’s a death in the employee’s family. Very few business owners have enough stashed away to help employees and their families with costly funerals. Group funeral cover really is the answer in this kind of situation, providing each employee with a basic amount of funeral cover for a minimal cost.

In addition to the benefits perceived by staff, it makes them feel valued to know that their employer cares enough to consider affordable employee benefits for them.

With Simply, you can purchase flexible and affordable cover, for you or your staff.

In conclusion, investing in funeral cover for staff is both a compassionate and pragmatic decision. Business owners who invest in their staff will see a return in loyalty, productivity, and customer care – priceless if you think about it.

Fill in the contact form below if you’re ready for peace of mind. One of our friendly agents will contact you and craft an affordable, tailor-made package. Your staff and family will thank you. Article provided by Simply Financial Services (www.simply.co.za), a licensed and trusted life insurance provider that’s on a mission to secure the financial future of millions of South Africans.

*Premiums are risk profile dependent and subject to review. Simply Financial Services (Pty) Ltd is a registered financial services provider (FSP 47146). T&Cs apply

Products underwritten by Old Mutual Alternative Risk Transfer Limited, a licensed life insurer