Daughter 'in tears' as insurance company sells woman with dementia $15,000 funeral policy

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Robyn O'Neill has dementia, so when her daughter discovered she'd signed up for a $15,000 funeral insurance policy, she was stunned.

"For me, there were many red flags during that 20-minute conversation that the insurer should have gone 'This person doesn't have the capacity to make these choices — I shouldn't be continuing with this sale'.""I immediately rang the insurer and I said to them Mum wasn't capable of making those choices when it came to taking out insurance policies and doing any of that sort of personal care for herself," she said.

"If you did want to cancel the policy, I was required to get a JP-signed copy of the original document [enduring power of attorney] and send it to them.""A couple of weeks went by and Mum received a phone call asking whether she wanted to add someone on as a beneficiary," she said. "Then I received a phone call saying I couldn't be added because we hadn't sent proof that Mum was no longer capable of making those decisions from her GP.""They said they had to do an internal review, so they went about listening back to what happened in that initial phone call and then I got a phone call back a few days later saying that they were going to cancel our policy and that our money would be refunded immediately," she said.

"We agree that in this case the wrong judgement was made by a member of our staff when selling this policy, and we are disappointed that the conduct has fallen short of the standards we have set for ourselves. Our rectification practices worked to resolve the matter once identified. We will be incorporating this case into our future training."

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Yeah my grandfather with dementia was allowed to change his will worth a few million that he wanted to go to his grandchildren to an apparent 'niece' who was not even his niece.

This is disgusting! Advertising funeral policies on TV should be banned. They prey on the old and lonely and the words they use is disgraceful.

What is wrong with that?

Caught out ?

It's just a numbers game for the insurance companies. They only cancel the dodgy contracts that get found and called out on, and keep on keeping on defrauding the elderly and mentally ill.

How very cruel is that?

Disgraceful behaviour from the insurance company, but then again what else would you expect from the insurance industry! These funeral plans are a giant con! Read the fine print...!!!

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