What is Burial Insurance?

Burial insurance is a basic form of life insurance that is rapidly growing in popularity. Unlike term or whole life insurance policies which can cost thousands of dollars and have stringent qualifications, burial, or funeral insurance is a form of financial insurance that is both easy to qualify for and affordable.

Burial insurance covers the cost of your funeral or cremation once you pass. Many people do not realize that funerals can cost several thousand dollars when all the expenses are added up, and they therefore do not plan to save and leave funds for their family or loved ones to help cover the costs. This situation often leads to families not being able to afford the costs of a funeral service and can lead to stress and hardship on top of the grieving and feelings of loss already being experienced.

Unlike life insurance, which will also cover the cost of a funeral, funeral insurance has very few qualifying limitations, making it a great option for those who cannot afford life insurance or who simply cannot qualify due to health issues.

Finding a Policy

Before you are able to know what kind of policy is best for you, you should consider what you want in a funeral and determine your needs. Do some research and determine how much the services you prefer would cost. Any costs involved with your service will be covered by your burial insurance policy. Some of these include:

• Casket and case
• Burial plot or vault
• Headstone or marker
• Service accommodations and decorations
• Funeral flowers
• Procession costs
• Cremation (if you choose this option instead of a funeral)

Many of these services will be handled by professionals that work closely with the funeral home that produces your funeral. They generally offer packages at fixed cost, so ask your funeral home about prices and decide how much you need to cover all aspects of your funeral service.

Green Funeral Services

Ecofriendly, or “Green,” funeral services are becoming more and more popular. These services are designed to forego the preservation of the body, such as what a casket and concrete grave liner offer. Green services allow the deceased body to decompose and return to the earth. Because these services are new, they may not be available in all areas, and the cost may vary greatly depending on where you live and what the laws and regulations say about this kind of funeral. Each burial insurance provider is able to determine which kinds of services are covered by their policies, so if you want a green burial, be sure to specify this desire with your burial insurance provider.

Ways to Pay for Burial Insurance

There are several different options to pay for your funeral insurance policy. You may be able to choose the payment option that is best for you, or your provider may simply have a required method.

• Lump Sum Payment: Some providers may offer the option to make a lump sum payment. This option allows the person taking out the insurance policy to make a one-time cash payment of the total value of the policy. This provides the insured with 100% of the policy coverage immediately and goes into effect as soon as the payment is made. In some instances, those who might not qualify for a burial insurance policy because of age can still receive a policy if they pay with this option.
• Graded Payment: A graded payment option allows the policy holder to choose the length of payment and the policy will provide an amount of coverage equal to the amount of the policy which has been paid. For example, if you buy a $5,000 policy and choose to pay for it over five years, you will get $1,000 of burial insurance coverage each year. If you die before your policy is completely paid for, you will receive the amount which you have paid.
• Traditional Payment: With a traditional payment policy, you will have a set monthly payment and will receive full coverage immediately as long as you make your payments. If you stop paying, your policy is void immediately.

Savings Tips

Sometimes you will be able to prepay for certain aspects of your funeral through your burial insurance provider. If you use your provider and prepay for your casket, burial plot, and any other necessary accommodations, it guarantees you against price increase. So, if you prepay for your casket and burial plot through your provider for $1,000, the price cannot go up no matter how much these items cost at the time of your death. This guards against inflation and helps you save money.

As you search for the best burial insurance policy for your needs, allow BurialInsurance.org to help you compare rates and find the most affordable policies. Fill out our form to compare burial insurance policies instantly and find the one that fits your needs.