Things you need to know
*The Royal London National Funeral Cost Index Report 2019
**Explained in Post Office Over 50s Life Cover Terms and Conditions
^ Dignity Funeral Services website
Post Office Over 50s Life Cover is provided by The Royal London Mutual Insurance Society Limited.
Depending on how long you live, you could pay more in monthly payments than the cash sum we pay out when you die. The cash sum you choose is fixed and inflation (the rising cost of goods and services) will reduce its value over time.
We only pay out on death. There is no cash-in value at any time.
Non-accidental death in the first year of the policy
If you die from natural causes (i.e. not as a result of accident or suicide) in the first 12 months of your policy, your estate will receive an amount equal to one and a half times the payments made.
An accidental death (as explained in the Post Office Over 50s Life Cover Terms and Conditions) does not include any of the following causes:
- suicide, attempted suicide or intentional self-inflicted injury; or
- death linked to being under the influence of, or being affected (temporarily or otherwise) by alcohol or drugs.
If you die as a result of suicide, attempted suicide or intentional self-inflicted injury in the first 12 months of your policy, your estate will receive an amount equal to the total payments made.
Non-accidental death in the second year of the policy
If you die other than as a result of an accident (as explained in the Post Office Over 50s Life Cover Terms and Conditions) during the second year of your policy - i.e. from the first policy anniversary to the day before the second policy anniversary - your estate will receive the lower of:
- £5,000; or
- the full cash sum.
If you die from an accident in the first 12 months (please refer to the Post Office Over 50s Life Cover Terms and Conditions for an explanation of accidental death), we will pay the full cash sum. If you die as a result of an accident after the first 12 months, we will pay two times the cash sum.
We will stop collecting payments on the policy anniversary date after you reach age 90 or when you die, whichever is sooner. If you stop making your payments your cover will end and you’ll get nothing back. We can tell you about our cover but cannot advise if it is right for you. If you are not sure if it is right for you, please ask your financial advisor, or visit unbiased.co.uk to find one who could help.
Click here if you would like to read the Terms and Conditions. If you apply for cover, you will also receive them with your policy documents.
The Funeral Benefit Option is not regulated by the Prudential Regulation Authority or the Financial Conduct Authority.
RedArc Ltd is an independent care advisory service and is not regulated by the Financial Conduct Authority.