Burial insurance may be a term that you’ve heard before. Understanding the value of burial insurance can help you to determine if it is the right choice for your particular situation. Burial insurance can be used to help protect your family and prevent substantial unexpected costs from impacting their bottom line. Ultimately, funerals can be expensive. When you implement the appropriate insurance, you can prevent these expenses from impacting your loved ones.
May be an Interchangeable Term
Understanding the term “burial insurance” often comes down to individual business’s interpretation of the term. Some insurance companies use the term “burial insurance” interchangeably with “funeral insurance.” In these cases, funeral insurance is ultimately insurance that is used to cover funeral expenses. However, other companies will consider burial insurance to be a specific type of funeral insurance. It is important to consult with the company when you are searching for the right insurance to meet your specific needs.
Covers Funeral Expenses
In general, funeral or burial insurance is intended to help cover funeral expenses. This is especially important if you feel like your family won’t have the resources to come up with the money for your funeral costs. Though this can be a great method for protecting your family, it is also important to note that you may be able to pre-pay for your funeral arrangements. This will reduce the burden from falling on your family, as well as ensure that your wishes are followed out.
You Pay a Monthly Premium
This kind of insurance requires a monthly premium. The exact premium will fluctuate depending on the insurance policy. Burial insurance, since it is a generally low payout as far as various insurance plans go, tends to be one of the most inexpensive types of insurance. In many cases, it only costs a few dollars each week to provide this additional peace of mind.
What is the Payout?
As with any insurance policy, the exact payout will depend on the plan. In most situations, the burial insurance payout will be between $5,000 and $25,000. One of the major benefits of burial insurance, when it is differentiated from funeral insurance, is that it tends to enable the beneficiary to use the payout in whatever manner they desire. For example, it can allow them to afford to take time off of work for grieving following the funeral.
May be Part of a Package
Some life insurance policies will include burial or funeral insurance as a component of their overall package. This may mean that you are covered by funeral insurance without even knowing it. Consult with your life insurance company to determine if burial insurance is a part of the plan that you are already paying for. They may also be able to advise you regarding how to best bundle your insurance policies to save the most money on your premium.
Burial insurance often serves at a safeguard that will enable you to provide financial protection for your family. This can help to alleviate your stress and provide you with a great deal of peace of mind. For more information about understanding funeral costs, pre-paying for your funeral arrangements, or the benefits of burial insurance, contact us at Russon Brothers Mortuary & Crematory today!