"We know that this will provide much-needed peace of mind and reduce some of the financial pressure for families of our members at what is a really tough time."
- Andy Philo, Director of Strategic Partnerships at Vitality
Of those surveyed (200 advisers), 86% said policyholders’ families would be in a better financial position if they received funds up-front to cover immediate costs of a funeral – 42% said they’d be in a 'much better' financial position.
Relieving the financial burden on family members who would otherwise be expected to cover the costs (70%) and reducing financial stress for grieving families (70%) were regarded as the biggest benefits of providing up-front funds for funeral costs.
Notably, almost all (99%) of advisers said it’s important for policyholders to have access to funds for the immediate costs associated with funerals, without waiting for probate or medical evidence.
Since 2019, Vitality has been a signatory of the Protection Distributors Group’s (PDG) Funeral Pledge, agreeing to make an advanced payment of up to £10k to bereaved families to help pay for the funeral of their loved one.
In response to these findings, Vitality has committed to an advanced PDG Funeral Pledge, allowing £2k to be advanced from a Life Insurance claim directly to a funeral director on evidence of death, such as a death certificate.
"The emotional and financial impact of a death can be monumental, and it’s something that our Life Intermediary Advisory Board has discussed at length.
"I’m therefore really pleased that we’ve been able to go a step further than the original Funeral Pledge and advance £2k immediately to a funeral director without needing to wait for medical evidence," said Andy Philo, Director of Strategic Partnerships at Vitality.
Emma Thomson, Vice Chair of the PDG, added: "The PDG created the Funeral Pledge to reduce financial pressures on families who would struggle to pay for a funeral due to probate delays. This new initiative is therefore a very welcome addition to the support Vitality already offers, as it will improve customer outcomes, which is the PDG’s core objective.
"We’re delighted that Vitality has built upon the pledge’s principles to further increase support given to claimants. It can take time to obtain the evidence needed to assess death claims, and this £2k advancement will help bereaved loved ones much sooner."
