Burial insurance can help your loved ones pay for your funeral.
With the rise in inflation, the cost of living has increased.
This reality is unavoidable.
It has caused the price of gas, groceries, and rent to rise.
While these living expenses occur on a regular basis, the cost of dying is easily overlooked.
According to a recent Bankrate article titled “Burial insurance,” funerals are not cheap.
Although the costs of a burial can be expensive, it is also inevitable.
You can save your loved ones in money and stress by making plans in advance.
One part of advanced planning for the financial aspects includes purchasing burial insurance.
What is burial insurance?
It is also known as funeral insurance, end-of-life insurance, and final expense insurance.
Burial insurance is a whole life insurance policy specifically set up to pay for the funeral and related costs.
What costs are included in a funeral?
To bury a body, one will need to pay for the memorial services, flowers, funeral plot, headstone, casket, embalming, and transportation of the body.
Although cremation is often less expensive, it still costs money to pay for memorial services, an urn, and the costs of cremation.
Does burial insurance cost a lot of money?
The answer is generally “no”.
Unlike a general life insurance policy, the payouts available are relatively low.
For this reason, premiums are often reasonable.
Additionally, no medical exam is required to qualify.
It will be better to plan in advance as payouts are often more limited should a person die within the first two years of coverage.
If you are seriously ill and unable to get a life insurance policy another way, you may be able to utilize a guaranteed issue life insurance policy to cover your funeral expenses.
By making the arrangement in advance, you will be leaving your loved ones in a situation where they can file a burial insurance claim hassle-free.
Once you have your funeral arrangements prepared, discuss your wishes with your loved ones so they can execute your wishes … and have ready funds to pay for them.
Reference: Bankrate (March 5, 2021) “Burial insurance”