Icebolethu Group stands firm on Zaca funeral claim denial linked to alleged criminal activity

The Icebolethu Group, a major player in the South African funeral industry, has come under scrutiny following its recent decision to deny a funeral claim for the late Sbonelo L. Zaca. The company asserts that this decision was based on official reports suggesting Zaca's involvement in criminal activity at the time of his death.

In a statement released earlier this week, Icebolethu confirmed that the claim was lodged under a policy held by Zaca's relative, Nozipho Phille Zaca. While the company extended its condolences to the grieving family, it maintained that its decision was made in accordance with standard assessment procedures.

According to Icebolethu, the claim was subjected to rigorous evaluation that included referral to the underwriter, aligning with the terms and conditions of the insurance policy. The company stated that crucial information was gathered from law enforcement entities, including the South African Police Service and the Independent Police Investigative Directorate.

“Based on official reports received, it was confirmed that at the time of the incident, the deceased was allegedly involved in criminal activity,” the statement reads, underscoring the company's commitment to uphold policy integrity. Icebolethu alleges that Zaca was driving a vehicle connected to a kidnapping case, where a victim was discovered in the boot of this vehicle.

Further, the statement claims that Zaca was purportedly among the individuals involved in the incident. Reports indicate that when law enforcement approached the vehicle in question, the occupants reacted by opening fire, leading to a police response that ultimately resulted in Zaca's death.

Icebolethu points out that participation in any illegal or criminal activity, whether substantiated or alleged, is explicitly excluded under its funeral insurance policies. This exclusion, the company insists, is consistent with the guidelines issued by underwriters and rulings from the ombud for the insurance sector.

“Claims arising from such circumstances cannot be approved,” the company emphasised, firmly standing by its decision amidst public scrutiny.

Nonhlanhla Nxele, founder and CEO of Esteemed Financial Solutions, has stepped in to shed light on the implications of insurance policy terms and exclusions for consumers, highlighting the need for clarity in understanding coverage. “Consumers must be aware of the particulars within their insurance agreements, especially concerning exclusions that may affect claims in unforeseen situations,” she stated.