How Burial Life Insurance Policy Works?

Burial insurance is defined as a policy designed to cover or cater for your funeral expenses at the time of your death. Its benefits are smaller than that of life insurance policy, and this is explained by the fact that it covers just funeral costs.

So, how exactly does burial insurance policy work? How important is it in the first place? You can answer that through a simple question; are your loved ones capable of pulling off your burial costs on their own after you are gone?

How Burial Insurance Works?

Nowadays, cemetery headstones alone will take up a big chunk of the burial cost, burial insurance is intended to help loved ones of a person cater to their funeral expenditure without any financial challenges. The expenses include funeral home fees, memorial service preparations, casket or cremation expenses, and medical bills. Make sure to go to a trusted burial insurance agency to provide you with a great policy.

The same costs can also cater to the deceased’s mortgage or personal loans, credit card bills, etc., in any case, they had debts they left behind. Burial insurance is easy to get. Almost every insurance company has an active website, which offers convenient means of acquiring or buying policies. You can find affordable burial policies at

It gets more comfortable with burial policy because there are hardly any medical exams to be carried out, which is mostly the case with life insurance policies like term life or permanent.

There are no significant setbacks experienced when applying for a burial insurance policy since all that insurers are interested in are mostly your details on age, any underlying health conditions, and tobacco use.

What is the Cost of Burial Policy?

Generally, burial insurance is termed cheaper in comparison to life insurance. This is, in essence, that life insurance is funded for a more extended period than burial insurance, which is short-term. Burial insurance also mostly targets the seniors entering their old age.

In most cases, there is no need to get burial insurance if you already have whole life insurance to cater to your final expenses. For life insurance to provide for your final costs, you need to ensure that premiums are paid to date. However, if you need a burial policy, the amount you are likely to pay in premiums depends on the insurer’s assessment.

This is regarding your health status or condition, gender, age, lifestyle choices, etc. These assessments can vary between different insurers, so you should take time to weigh your options. With so many insurance companies offering burial policies, chances are higher that their rates on monthly premiums differ.

You can involve a professional independent insurance agent should you experience any challenges when shopping for burial insurance. Whichever insurer you decide to work with, you are looking to pay anything between $15 to $80 per month.

You Need Burial Insurance If

  • You don’t have a life insurance policy
  • You have debts
  • You don’t have enough savings that can cover your burial expenses
  • You have savings but want separate funds for final expenses
  • Your loved ones don’t have the financial capability of financing your burial costs

Benefits of Burial Life Insurance

Are you wondering how you stand to benefit from buying a burial policy? Here is how;

  • With time, a burial policy accumulates cash value, which can be accessed as long as the plan is still active. This cash can come in handy for emergencies.
  • Burial policies application qualifications are more natural to meet compared to other life insurance policies. No medical exams and only a few questions regarding your health are asked. This may vary with different underwriters.

Savings Account is an Option Too

Not every person buys the idea of purchasing a burial policy, considered that there are cases where beneficiaries have to wait longer for claims to be approved and released to them. If that is something you would not prefer your loved ones to go through, you can opt for a savings account.

A savings account that is solely aimed to raise or save funds for burial expenses ensures that the beneficiaries or trusted persons access that money immediately after you die. Without any inconveniences whatsoever, they can swiftly pay for the final costs, which would have been a challenge when dealing with a burial policy.

With savings account options, however, it is essential to involve persons you fully trust to utilize the funds for their intended purpose. You need to be sure that they have what it takes to oversee the proper use of the funds to avoid mismanagement or misappropriation at the expense of your loved ones.

Inform Your Family

There are cases where people die, and their loved ones are not sure if they had an insurance policy. There is nothing pleasant in subjecting your beneficiaries to a hard time as they track down (going through your bank statements for insurance payment hints) your policy after you are gone.

Such information should be shared the moment you decide to take a burial policy. Work on all the necessary paperwork and make copies where appropriate and then proceed to keep them in a place where your loved ones can easily access them.

If it gets to a point where you cannot trust anyone with such information, draw a will and get an attorney as a custodian for the papers. Every decision you make should be in the best interests of your loved ones, and that is what matters the most.

In addition to that, communicate your burial wishes (for instance, do you wish to be cremated or buried?) and make them clear by documenting them. This will provide the family with an easy time with burial preparations.

Bottom Line

The need to get a burial policy depends on your financial status. If you have invested well and are financially stable such that your loved ones will effortlessly pay for your burial costs, you don’t need a burial policy.

You can decide whether to go for a burial policy or not after exploring your financial situation. Feel free to involve an independent insurance agent for professional advice and guidance on making the right choice.


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