The term “Next of kin” refers to your nearest relation according to law, someone to be called upon in case of any eventuality. A next of kin can be a spouse, child, or relation. It should however be noted that a next of kin is not necessarily the person intended as a direct beneficiary of a deceased’s estate or entitlement. A next of kin is the first contact point if anything happens to you, this person is empowered to make decisions for you in times of emergency, where you are not readily available or able to make the decisions yourself.
A beneficiary is a person or entity entitled to receive the claim amount and other benefits upon the death of the benefactor or on the maturity of the policy. You can name one person, two or more people. You should decide what percentage of the lump sum each person should receive. You shall be required to update your beneficiary details on an annual basis via BambooHR.