Breadwinners’ Benefits from Avbob

Avbob is probably South Africa’s best-known funeral service provider. Here we will have a look at benefits from Avbob.

As a Mutual Assurance Society, with no external shareholders claiming a share of its profits, Avbob is able to plough back bonuses and benefits directly to its policyholders.

In fact, over the last nine years, Avbob has allocated a whopping R6.5 million in bonuses and benefits to its 4.6 million policyholders.

Apart from increasing the value of policies held by its members. Avbob regularly allocated enhanced FREE funeral benefits to its policyholders.


Benefits From Avbob

Let’s take a look at the Breadwinners’ benefits from Avbob.

When the principal policyholder dies – typically the breadwinner of the family – Avbob stamps the policy as “paid-up”, alleviating a huge financial burden from the beneficiaries named on the funeral insurance policy.

The surviving spouse, children and extended family members named as beneficiaries on the funeral insurance policy no longer have to keep up the monthly premium payments, but continue to enjoy all the built-in benefits of the insurance cover.

These benefits depend on the time-span of the policy:

  • If the breadwinner, the person responsible for paying the policy premiums, dies within the first ten years of the policy’s existence, it will be paid-up for his spouse, children, parents and parents-in-law.*
  • If the breadwinner dies after the policy is more than 10 years old, its paid-up status will include extended family members.*


*These benefits are only applicable to policies paid for by the principal policyholder.

Other breadwinner benefits from Avbob

Cash-Back Funeral Plan

This is a whole life policy that allows applicants to include his/her entire family on one plan.


  • Avbob gives back the fifth year’s premiums in cash, provided that no claims have been lodged against the policy
  • Cash-back after every five claim-free years*
  • Beneficiaries are allocated a FREE basic funeral worth R9 600*
  • A FREE repatriation of the deceased’s remains anywhere within the South African borders*
  • A cash payment of R1 000 towards funeral expenses such as groceries and airtime*


Retrenchment Benefit – Benefits from Avbob

Undoubtedly Avbob’s recently-introduced Retrenchment Benefit* is a huge bonus for breadwinners.

If the breadwinner should lose his/her job as a result of a forced retrenchment, the benefit kicks in and will cover policy premiums for up to six months.

This ensures that the policy remains active and retains all of its benefits, including Free funeral benefits and special bonuses.

*This benefit applies to principal policy members and to policies that have been in operation for two years or more.

Spousal benefits from Avbob

Breadwinners can add one spouse as a beneficiary on the policy but can include a second spouse as an extended family member.

Parental benefits from Avbob

Breadwinners can add both his and his wife’s parents to the policy, with a ceiling of a maximum of four parents.

Extended family benefits from Avbob

Apart from immediate family members, breadwinners can add up to a maximum of six extended family members as beneficiaries of the funeral insurance policy.

With Avbob’s Extended Family Insurance, policyholders have the option to either take out a whole life policy or a term policy of between 10 and 25 years.

This product also includes the following FREE benefits:

  • A FREE basic funeral worth R9 600*
  • FREE transportation of the deceased within South Africa’s borders*
  • An R1 000 cash payout for immediate funeral expenses such as groceries and airtime*


The above benefits are based on policies that have been in operation for two years or longer and are subject to AVBOB’s appointment to conduct the funeral.

Children’s benefits

Apart from immediate children, breadwinners can also add stepchildren and legally adopted children as beneficiaries on the policy.

Accident benefits

Beneficiaries of breadwinners will be paid double the value of the sum insured if the principal member dies as a result of an accident.

This benefit excludes death by suicide.

Savings Plan Benefit

The Avbob Family Saver Plan can be added to the policy for as little as R200 a month.

This benefit includes annual and special bonuses, as well as a whopping R4 000 discount on the cost of a funeral.

Savings bonuses include:

  • A guaranteed income bonus is paid immediately into the savings account
  • A non-guaranteed capital bonus is also paid immediately into the savings account but may be removed at Avbob’s discretion
  • Non-vesting special bonuses are declared from time to time and become payable either on maturity of the policy or the prior death of the life insured


FREE funeral benefits* only apply if AVBOB is appointed to conduct the funeral.

Is there a waiting period?

To qualify for all of these benefits and bonuses, applicants are subject to a six-month waiting period.

However, there is no waiting period for deaths resulting from unnatural causes but excludes suicide.


Last year the Avbob Mutual Assurance Society announced that because of the group’s exceptional results during the previous financial year it had allocated R1 billion of surplus profits to policyholders.

This took the form of special bonuses as well as enhanced free funeral benefits.

Avbob has been operating in South Africa for almost 100 years. And during that time has cemented itself as a front-runner in the funeral service and funeral product industry.



As a mutual insurance society, Avbob wants to be a pacesetter in the South African funeral industry


To serve its customers as a one-stop funeral service provider


To always be there for its customers

These three core values stamp Avbob’s identity as a leader in the South African funeral service industry and underline its commitment to policyholders.

Complete the form on this page to get a FREE funeral cover quote

All info was correct at time of publishing