Losing a loved one is difficult, and the last thing you want to think about during that time is money. Burial insurance is here to help with that.
Key Takeaways:
- Burial insurance helps ease the financial burden during a hard time.
- It ensures a respectful goodbye for you, giving peace of mind to your family.
- The money from burial insurance covers funeral expenses, taking the strain off your loved ones.
What is Burial Insurance?
Burial insurance is a type of coverage that helps ensure your family doesn’t struggle with money when you pass away.
It’s like a safety net for funeral expenses, so your family can focus on saying goodbye instead of worrying about costs.
Unlike regular life insurance, burial insurance usually gives less coverage, like $5,000 or $10,000. You pay regular premiums that stay the same over time.
How Does Burial Insurance Work?
You simply choose the amount of coverage you need and decide who gets the money upon your death.
If you keep paying your premiums, the life insurance covers you for life. You can pay monthly or yearly, depending on what works for you and depends on the insurer.
The person you chose to receive the money should contact the insurance company. It is to start getting things sorted as soon as possible following the death of the insured.
They might need to provide documents like an ID and a death certificate to make the claim.
Coverage and Premiums
Burial insurance covers different things depending on the burial insurance policy and the company.
Normally, it pays for things like:
- funeral
- casket or urn
- burial spot
- moving the body
- other related expenses.
- Some plans might also help with medical bills or debts.
How much you pay for burial insurance depends on things like how old and healthy you are. And how much money do you want to leave behind?
Usually, younger and healthier people pay less than older adults or those with health problems. Also, the cost usually stays the same over time, so you don’t have to worry about it going up.
So, if you’re young and in good health, applying for insurance as soon as possible is good.
Determining the Death Benefit
When you buy burial insurance, you decide how much money will be given to your loved ones when you pass away.
This amount is called the death benefit. You pick the number based on what you think your funeral might cost and what you want to leave behind.
You can use the money to pay for the funeral, medical bills, or other debts.
Why is burial insurance important?
Burial insurance is important because it ensures that your loved ones won’t be burdened with the high costs of your funeral when you pass away.
It provides financial protection and peace of mind for your family and beneficiaries.
Having burial insurance relieves your family from unexpected financial strain during a difficult time.
It allows them to focus on grieving and honoring their memory without worrying about money.
“Burial insurance offers a sense of security, allowing families to focus on grieving rather than worrying about the financial aspects of a funeral.”
Average Funeral Costs in the United States
If you want to learn more about final expense insurance (interlink post “Final Expense Insurance: A Comprehensive Guide”) and how it can benefit you, check out our other articles.
Don’t hesitate to contact our licensed insurance agent (interlink contact form) for personalized information and a quote tailored to your needs.
