Premium Management

Last updated: January 9, 2026 · Burial Societies · 8 min read

Premiums are regular payments that keep your burial society running. This guide explains how premiums work, how they're calculated, and how to stay up to date.

How Premiums Work

Unlike stokvels where contributions build your personal balance, burial society premiums pool into a collective fund used to pay claims when members or their dependants pass away.

Premium Calculation

Your premium depends on your scheme's payout model:

Flat Rate Model

Everyone pays the same base amount, plus extra for dependants:

Premium = Base Amount × (1 + Number of Dependants)

Example:

• Base premium: R150/month
• You have 3 dependants
• Your premium: R150 × (1 + 3) = R600/month

Age-Banded Model

Premium based on age of covered lives:

Premium = Sum of age band rates for member + each dependant

Example:

• You (age 35): R120/month
• Spouse (age 32): R120/month
• Child 1 (age 8): R50/month
• Child 2 (age 5): R50/month
• Total premium: R340/month

Paying Your Premium

Payment Methods

• EFT – Bank transfer using your Member ID as reference
• PayShap – Instant payment with Member ID reference
• Cash Deposit – At bank with Member ID reference

Payment Reference

Always use your full Member ID as the payment reference (e.g., ZET123456-007). This ensures your payment is automatically recorded and allocated to your account.

1. Find Your Member ID
   Displayed on your dashboard and in the "How to Pay" card
2. Make Payment
   Transfer to scheme bank account with Member ID as reference
3. Automatic Recording
   System matches reference and records your premium
4. Confirmation
   You'll see the payment in your transaction history

Premium Status

Up to Date

You've paid all expected premiums for the current period.

• Green status indicator
• Full coverage active
• Eligible to submit claims

In Arrears

You're behind on premium payments.

• Red status indicator
• Shows months behind
• Amount owed displayed
• Claims may be affected

Checking Your Premium Status

On Your Dashboard

The Premium Status card shows:

• Months paid vs expected
• Current status (Up to date / In arrears)
• Amount due (if behind)
• Next payment date

Detailed Breakdown

1. Navigate to Premiums
   Click the "Premiums" tab on your dashboard
2. View Payment History
   See all premiums paid with dates and amounts
3. Check Expected vs Actual
   Compare what you should have paid vs what you've paid

Premium Frequency

Your scheme sets the payment frequency:

• Monthly – Most common, paid every month
• Quarterly – Paid every 3 months
• Annually – Paid once per year

Adding or Removing Dependants

Adding Dependants

When you add a dependant, your premium increases:

1. Navigate to Family/Dependants
   Click "Family" or "Dependants" tab
2. Add Dependant
   Enter their details (name, DOB, ID, relationship)
3. Premium Recalculated
   System updates your premium amount
4. Pay New Amount
   Start paying the updated premium from next payment

Removing Dependants

When you remove a dependant, your premium decreases:

• Navigate to Family/Dependants
• Select dependant to remove
• Click "Remove" and confirm
• Premium reduces from next payment

Catching Up on Arrears

If You Fall Behind

1. Check Amount Owed
   View your dashboard to see total arrears
2. Make Catch-Up Payment
   Pay the full arrears amount plus current premium
3. Use Member ID Reference
   System will allocate to oldest unpaid premiums first
4. Status Updates
   Once caught up, status changes to "Up to date"

Payment Plans

If you can't pay arrears in full, contact your scheme admin to arrange a payment plan. Some schemes allow gradual catch-up over several months.

Premium Reminders

Email Reminders

Admins can send premium reminders to members in arrears:

• Shows amount owed
• Lists months behind
• Includes payment instructions
• Sent via email

Notification Settings

Enable notifications to get alerts:

• When premium is due
• When payment is recorded
• If you fall into arrears
• Premium amount changes

Best Practices

• Set up recurring payments – Never miss a premium
• Use correct Member ID – Ensures automatic allocation
• Pay on time – Avoid arrears and claim complications
• Update dependants promptly – Keep coverage and premiums accurate
• Check status monthly – Catch any missed payments early
• Keep payment proof – Save bank statements for records

Common Issues

Payment Not Showing

Cause: Wrong reference or bank delay

Fix: Check you used correct Member ID. Wait 24 hours for bank processing. Contact treasurer if still missing.

Premium Amount Changed

Cause: Dependant added/removed or scheme rates changed

Fix: Check Family page for dependant changes. Contact admin if unexpected.

Showing Arrears But Paid

Cause: Payment not yet recorded or wrong reference

Fix: Contact treasurer with payment proof. They can manually record it.