It's not cheap to die. Funeral homes, headstones, cremation and all of the things associated with death are often considered morbid cost money-and can cost more than you think. The following is helpful information about burial insurance and how it can help you afford your final expenses:
What is "burial insurance"?
Burial insurance usually refers to a "Whole Life" insurance policy with a death benefit that typically ranges from $5,000 to $25,000.
Why buy burial insurance?
People buy burial insurance to cover burial and funeral costs for themselves. A burial policy can cover the burial costs of one person or an entire family.
Funeral and burial costs can be very expensive. Acquiring a burial insurance policy can help determine how much you will need to pay for a funeral. In addition, certain types of burial insurance may help "lock in" costs at today's prices.
What kind of expenses does it cover?
Some funeral expenses that burial insurance may cover include:
- Casket or urn
- Cost of cremation
- Cost of embalming
- Hearse or other vehicles needed for your service
- Digging and filling the grave
- Cost of the plot
If I have life insurance do I need burial insurance?
Many people do not factor funeral and burial costs when calculating their family's need for life insurance. Similarly, many people do not intend for their beneficiaries to use life insurance to cover burial expenses.
Burial insurance is a great option for someone who does not want their beneficiaries to dip into funds from a life insurance policy to cover costly funeral and burial expenses.
When should I purchase burial insurance?
Similar to life insurance, burial insurance is cheaper when purchased at a younger age. Although it may not be fun to think about, the time for you to buy burial insurance is today.