Prepaid funeral plans insurance

By paying for your funeral arrangements in advance, you secure for yourself an effective – i.e. a guarantee that when the time comes for those arrangements to be put into place, the cost has already been settled.

More than an insurance policy

In fact, prepaid funeral plans offer more than a simple insurance against future funeral costs.

Because you are paying for the services you need in the future, and paying for them at today’s prices, you may avoid the almost inevitable increases that are likely to be seen several years’ down the line.The cost of dying is accelerating at a far greater pace than the cost of living, finds insurers Sun Life, in their annual report on prices for the average funeral – especially when such extras as probate fees, memorial stones and flowers are added to the basic charge of the funeral director.

The cost of dying is accelerating at a far greater pace than the cost of living, finds insurers Sun Life, in their annual report on prices for the average funeral – especially when such extras as probate fees, memorial stones and flowers are added to the basic charge of the funeral director.The total cost of the average funeral has risen to more than £8,905 in 2017,  – an increase of 4.7% in just one year and a huge rise of 116% since 2004.

The total cost of the average funeral has risen to more than £8,905 in 2017,  – an increase of 4.7% in just one year and a huge rise of 116% since 2004.It is impossible to predict how fast funeral costs might rise in the future, of course, but if the present pattern continues, prepaid funeral plans clearly represent a protection against such inflation.

It is impossible to predict how fast funeral costs might rise in the future, of course, but if the present pattern continues, prepaid funeral plans clearly represent a protection against such inflation.Protecting your investment

Protecting your investment

You might have a natural concern about the protection of any money you have paid in advance for a funeral director’s services – what if the firm you have chosen goes out of business between now and when your time comes, for example, isn’t it going to be difficult to recover funds you have already paid over?

You might have a natural concern about the protection of any money you have paid in advance for a funeral director’s services – what if the firm you have chosen goes out of business between now and when your time comes, for example, isn’t it going to be difficult to recover funds you have already paid over?

That is why you should always check that your prepaid funeral plan provider is regulated by the Funeral Planning Authority, who ensure that your prepayment is protected by:

  • placing the money you have paid into an entirely independent trust fund; or
  • the purchase of a whole of life insurance policy in your name, which pays out the sum required to buy the funeral services you have selected when they are needed.

Over 50s life insurance

Of course, you might have considered buying a whole of life insurance policy yourself – especially if you are over 50 and are eligible for the specialist cover which requires no medical and for which acceptance is guaranteed, whatever your lifestyle choices.

Of course, you might have considered buying a whole of life insurance policy yourself – especially if you are over 50 and are eligible for the specialist cover which requires no medical and for which acceptance is guaranteed, whatever your lifestyle choices.

Although there is an assured cash sum paid out upon your death, this is made to your surviving beneficiaries. Your relatives and friends might still be left with difficult decisions – and some expense – therefore, in choosing the funeral arrangements that you wanted. Although they may be expected to follow your last wishes as closely as is reasonably possible, of course.

Perhaps the biggest consideration with such a life insurance policy – compared to the certainties of prepaid funeral plans – however, is that the effects of inflation may have significantly eroded the purchasing power of the eventual payout when it comes to settling accounts for the cost of your funeral.

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