Burial insurance is specifically designed to cover funeral and burial costs and expenses. More seniors today are taking care of costs associated with their future burial, funeral services,
or special wishes rather than leaving such details to grieving family members and loved ones. In cases where a senior has no living relatives, or those who are unable to provide for such care, county authorities may often have final say in what is done with a person's remains.
This insurance covers the costs of all anticipated expenses involved in burial, cremation, choosing of plots, services, flowers, music, right down to the last detail for some and may also help cover costs of bills, estate taxes, and medical costs as well as end-of-life care.
Many seniors put aside a portion of funds in a savings account to take care of such costs, but these are often inadequate to meet rising costs of inflation. Insurance helps avoid such situations, but consumers should nevertheless be aware of the pros and cons of burial insurance.
Not everyone will need insurance, as many seniors have already pre-paid funeral and cemetery providers in their area. Some of the most common considerations when it comes to planning a funeral as well as determining expenses may include but are not limited to:
Insurance policies are offered and marketed by major life insurance companies and involve an application process that doesn't involve or adhere to strict health requirements such as a life insurance policy does such as offering a no exam life insurance policy. Such policies may have higher premiums for older individuals than younger ones because the individual may already have been diagnosed with serious health issues.
Some of the most common and well-known companies that offer this type of insurance include:
Seniors interested in insurance should discuss options with their current insurance provider or talk to trusted family members, friends or insurance agents in their community regarding the benefits of insurance, costs, monthly premiums and guarantees before choosing a specific company.
Once the senior or other family members narrow down a list of choices, an application will need to be filled out with the chosen insurance company. The premiums for insurance or final expense policies should never change and remain the same until the policy is paid in full. Death benefits should remain the same over the entire lifetime of the policy.
Insurance companies are not able to cancel the policy unless premiums haven't been paid or proof of fraud has been determined. Some insurance policies offer cash value that builds over the lifetime of the policy.
Insurance applications may request information such as name, gender, address and telephone or e-mail information. Seniors may also be asked their date of birth, whether or not they smoke, and other information such as height and weight. Seniors will be able to designate the amount of coverage they want, which often ranges between $1,000 and $50,000. Applying for insurance may be as easy as filling out a form for online life insurance or may entail an office visit.
In addition to the benefits listed above, funeral or burial insurance may help cover costs for:
Seniors will be unable to determine the amount of coverage that is sufficient for their needs until an estimation of the proposed cost of funeral and burial expenses are analyzed.
Contact local funeral homes and cemeteries to get a general idea of costs and don't forget to ask about such services as body preparation fees, limousine services, costs for funeral services or viewings and other miscellaneous expenses. Before actively seeking information regarding insurance, double check your current insurance policies to make sure that burial costs are not already covered.