Which trade union pays a death benefit? A comprehensive guide for members
23.05.25
7
Minutes
Katrin Straub
Managing Director at nextsure
The loss of a loved one is emotionally and financially burdensome. Find out which trade union pays a death grant and how you can receive support as a member or surviving relative, after the statutory death grant was abolished in 2004.
The topic in brief and concise terms
Many trade unions continue to pay a death benefit after the statutory funeral grant was abolished in 2004, the amount of which depends on the length of membership and contributions.
The benefits (e.g. with IG Metall, ver.di, GdS) vary widely, from a few hundred to several thousand euros, often depending on the bylaws.
Union death benefit is often only a contribution; a private funeral expenses or term life insurance policy is usually needed as a supplement to cover all costs.
Trade union death benefits: An overview following the abolition of the statutory benefit
Statutory health insurance funds removed funeral benefit from their range of benefits on 1 January 2004. For many citizens, this decision created an additional financial burden in the event of bereavement, as funeral costs can quickly reach several thousand euros. Fortunately, some trade unions have stepped into this gap and continue to offer their members a form of support. These union benefits are often enshrined in the statutes and vary depending on the organisation. It is therefore important for members to know which trade union pays funeral benefit and under what conditions. A private funeral insurance policy can be an alternative or a supplement. The amount of union funeral benefit often depends on the length of membership and the contributions paid. In this way, many years of loyalty to the trade union can, in an emergency, mean tangible financial assistance for the bereaved, who are often faced with average funeral costs of between 7,000 and 8,000 euros.
Services of selected trade unions in detail
Different trade unions have different rules on death benefits. It is essential to know the specific conditions of your trade union. Here are some examples of how trade unions support their members:
IG Metall: IG Metall pays its members or their dependants a benefit in the event of death. The amount depends on the length of membership and the level of contributions. For a monthly contribution of 20 euros and more than 20 years of membership, the benefit can be 630 euros, for example.
ver.di (United Services Trade Union): Ver.di offers group funeral benefit insurance through cooperation partners such as DBV. This often enables more favourable terms than individual policies. The insured sum can be between 500 and 12,500 euros, and membership is possible up to the age of 80 without a health check. In the event of accidental death, the benefit can be doubled.
GDL (German Locomotive Drivers' Union): The GDL grants an allowance of up to 370 euros for illness, care and funeral costs. In the event of a recognised service or work accident, this amount increases to up to 680 euros. Here too, the amount is staggered according to years of membership.
GdS (Trade Union of Social Insurance): Dependants of GdS members receive a death benefit that can amount to up to 60 times the average monthly contribution of the previous twelve months. This is provided without any additional contributions for this benefit.
IG BCE (Mining, Chemical and Energy Industrial Union): In the event of death, IG BCE pays a death benefit to the dependants. Applications must be submitted within six months of the member's death. The benefit can be based on 200 times the monthly contribution.
These examples show the range of support available, which can extend from a few hundred to several thousand euros. Also find out about the death benefit insurance options.
Understand eligibility requirements and application process
To receive funeral benefit from a trade union, certain requirements must be met and an application process completed. As a rule, the deceased member must have a minimum membership period, often twelve months, have. The dependants, usually the spouse or the children, must provide evidence that they have covered the funeral costs. To apply, the death certificate and the deceased's membership card must usually be submitted to the union's relevant office. Many trade unions set a deadline for submitting applications, for example twelve months after the date of death. At IG BCE, this deadline is six months. It is advisable to enquire early with the union about the exact procedures so that no deadlines are missed. Some funeral directors offer help with the application. Knowledge of the application for funeral benefit with the pension insurance scheme is not relevant here, as it does not pay funeral benefit.
Practical examples: This is what support can look like
The amount of death benefit provided by trade unions is not fixed across the board, but depends on individual factors. Suppose an IG Metall member paid a monthly contribution of 30 euros for 25 years. Based on the guidelines, the support for the bereaved could be around 945 euros (based on a factor of 31.5 for more than 20 years of membership). A ver.di member, aged 53, who takes out funeral benefit insurance through the union with a sum assured of 5,000 euros, pays around 19 euros per month for it. In the event of death, 5,000 euros would then be available, or even 10,000 euros in the event of accidental death. A GdS member with an average contribution of 15 euros over the past twelve months could secure funeral benefit of up to 900 euros (60 times the contribution) for their dependants. These examples show that the benefits can provide welcome support, but often do not cover the full cost of an average funeral of 7,500 euros. A term life insurance with a payout on death can be an important addition here.
Expert Depth: Legal Foundations and Key Aspects
The death benefit provided by trade unions is a voluntary benefit governed by the respective constitutions or specific guidelines of the organisations. There is no overarching legal obligation for trade unions to pay a death benefit, since the statutory death benefit was abolished in 2004. The exact conditions, such as the amount of the benefit, the basis for calculation (e.g. length of membership, contribution amount) and the eligible beneficiaries (e.g. spouses, children), can therefore be found solely in the internal rules of the respective trade union. Our expert tip: Check the constitution of your trade union regularly or ask your local branch directly about the current conditions for the death benefit. Changes to the constitutions can affect the benefits. It is also important to clarify whether the trade union death benefit is taxable. As a rule, such support payments are taxed as other income if they exceed certain allowances. A tax adviser or the responsible tax office can provide precise information on this. Also think about the arrangements for the event of death to relieve your relatives.
Important points members should note:
Changes to the constitution: Trade unions can amend their constitutions, which can affect death benefit payments. Regular updates are therefore particularly important for members aged 50 and over.
Contribution continuity: Continuous payment of contributions is usually a prerequisite for full entitlement to benefits. Gaps in contributions can lead to reductions.
Eligible beneficiaries: Clarify who is entitled to claim in the event of death. This is often spouses and children, sometimes also other persons if they bear the costs.
Deadlines: Application deadlines (often six to twelve months) must be strictly observed in order not to lose entitlement.
Combination with private provision: Since trade union death benefits often cover only part of the costs, additional private life insurance or funeral expense insurance is worthwhile for many people aged 45 and over.
Knowing these details helps you make the best possible use of the benefits you're entitled to in an emergency.
Alternatives and additions to the trade union death benefit
Because the death benefit paid by trade unions often does not cover all funeral costs – these can easily amount to between €5,000 and well over €10,000 – additional private provision is essential for many people. A private funeral insurance policy is one way to make targeted provision for funeral costs. These policies pay out an agreed sum in the event of death, often between €3,000 and €15,000, to the beneficiaries. Taking out cover is often possible even at an older age and without a health check, but this is usually linked to waiting periods. Another option is term life insurance. Its primary purpose is to provide for dependants, for example to repay loans or secure their standard of living, but it can also be used for funeral costs. The sums insured are generally much higher, and cover is usually taken out at a younger age with a health check. Our expert tip: Compare the terms and conditions of different providers and check which type of provision best suits your individual situation and age. Planning ahead from the age of 40 can secure lower premiums.
The question of which trade union pays death benefits is relevant for members, as this benefit can provide basic financial support in the event of death. Numerous trade unions such as IG Metall, ver.di or GdS have corresponding provisions, which differ in amount and conditions. It is a welcome form of assistance, but in view of average funeral costs of around 7,500 euros it is often not enough. Trade union members should therefore see their organisation’s death benefit as one building block of overall provision for survivors. In many cases, supplementing it with private insurance, such as a funeral expense insurance policy or term life insurance, makes sense in order to protect relatives comprehensively against high costs. Find out more actively from your trade union and consider professional advice for your individual provision planning. nextsure will be happy to help you find the right solution for your needs.
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More useful links
Wikipedia offers a comprehensive article on funeral benefits in Germany.
The GDL (German Train Drivers' Union) provides information on grants in the event of death for its members.
The IG Metall provides information on funeral benefits and support in the event of death.
The ver.di member service offers details on funeral benefit insurance for members.
The DBB (German Civil Servants' Association and Collective Bargaining Union) explains the term funeral benefit in its glossary.
The German Pension Insurance provides information on the death quarter, during which the pension continues to be paid to survivors.
The DGUV (German Statutory Accident Insurance) provides information on rehabilitation benefits for survivors.
On Gesetze im Internet you will find section 64 of SGB VII, which regulates benefits in the event of death in the context of occupational accidents and occupational diseases.
Statista presents statistics on the average funeral costs in Germany.
Aeternitas reports on the significant rise in funeral costs.
FAQ
What documents do I need for the funeral benefit application with the union?
Usually, you will need the member’s death certificate, the membership card and proof that you have covered the funeral costs. Your trade union will tell you the exact requirements.
Are there deadlines for applying for union death benefit?
Yes, most unions have deadlines for submitting an application, often six or twelve months after the member's death. Please check with your union in good time.
Is the union death benefit earmarked for the funeral?
The death benefit is primarily intended to cover funeral costs. However, its exact use is usually not checked in detail, as long as the costs can be proven.
Do trade unions also pay funeral benefits in the event of accidental death?
Many trade unions or their group insurance schemes provide for an increased benefit or a benefit with no waiting period in the event of accidental death. This is regulated in the respective statutes or insurance terms and conditions.
Can relatives of trade union members also receive death benefit?
Yes, the funeral benefit is usually paid to the eligible surviving dependants (e.g. spouse, children) who have covered the funeral costs.
What is the difference compared with the previous statutory death benefit?
The former statutory death benefit was a benefit provided by health insurance funds for all insured persons, but it was abolished in 2004. The death benefit provided by trade unions is a voluntary benefit for their members only.
