Capitec vs Legacy Insurers: Affordable Funeral Cover Changing the Market

Published on February 28, 2026 | FuneralConnect

Capitec Bank has disrupted the funeral insurance market by offering cover up to R100,000 from as little as R25 per month. This affordability and digital accessibility are challenging traditional insurers who often charge higher premiums.

Key Insights

• Capitec allows up to 21 family members to be added under one policy, making it ideal for extended families.
• Premiums start at R25 per month, significantly lower than many legacy insurers.
• Digital onboarding via the Capitec app simplifies sign‑up and claims, reducing paperwork and waiting times.
• Legacy insurers are responding with competitive pricing and added benefits, but Capitec’s transparency and affordability remain strong advantages.

Why This Matters

Capitec’s entry into funeral insurance is reshaping the market, giving South Africans more affordable options. Families benefit from lower premiums, faster claims, and flexible coverage, ensuring financial protection without unnecessary costs.