Burial Insurance for Seniors – What You Need to Know
Burial insurance for seniors is one of the most important types of senior insurance you should consider as you near the end of your life. Death is obviously a very sensitive topic and not a thing that we relish talking about, particularly if it’s to plan our own. But the truth of the matter is that death is the only thing that’s certain in this life. If you don’t get a chance to plan about your entry to this world, you should really take the time to plan and prepare how you’ll leave it.
Burial Insurance – A Final Act of Love
Ironically, planning your death is not something you do for yourself. You are dead, after all, and it won’t matter either way to you how or where you are buried. However, getting burial insurance for seniors is something you do as a final act of love to the people you will leave behind. Your passing may not matter to you physically, if you really want to put it that harshly, but it will mean a lot to your loved ones particularly if you were the breadwinner in the family.
You need to get your death covered if you want to ease the pain and grief that your family and friends will feel at your passing. The emotional pain of dealing with with the death of someone close to you is traumatic enough. How much more if your loved ones will have to contend with financial difficulties during and after the funeral? You certainly would not want the people who care for you to suffer because of your passing.
If you want the people you love to enjoy all that life has to offer to them, it is incumbent upon you to get the burial insurance that will cover all your funeral arrangements and give them a little something extra to tide them over afterwards. This is particularly crucial if they were dependent on you for support, if the retirement income you put in took care of part of the expenses or if some of your minor dependents are still in school at the time of your death.
There are a lot of things to consider when choosing a funeral insurance policy that fits your needs. These include the kind of policy you want, how much cover you need for the kind of funeral you want, the insurance company where you will be getting the policy and how much you want to leave your loved ones. All these things will have to be thought out carefully if you want to get the best policy.
Two Types of Burial Insurance for Seniors
There are basically two ways to prepare for your funeral: You can get a burial life insurance or a final expense insurance. Both are similar in that they are usually offered to seniors aged 50 to 80 years old and have the ultimate objective of taking the financial burden of spending for your funeral off the shoulders (and pockets) of the loved ones you leave behind. They also offer similar low face values that can range anywhere from $2,500 to a maximum of $35,000. They are, however, also a bit different.
A burial life insurance policy will pay for all burial services and funeral-related expenses. These are usually low-cost policies. A final expense insurance is also designed to pay for all your burial expenses as well as cover outstanding debts like mortgages, car payments and medical expenses. Usually, the final expense insurance is paid directly to the funeral home with the remaining amount given to the beneficiaries.
How to Get the Burial Insurance You Need
Consider how much cover you actually need for the kind of funeral you want. A traditional funeral these days can cost anywhere from $8,000 to $10,000. However, if you already have savings set aside for the day of your final departure, then there really is no reason for you to get a very costly burial plan. You will also want to take into account the donations that friends and family will contribute for your funeral, although it’s a good idea not to rely on these. The minor death benefit that you can get from Social Security if you have been making your contributions might also matter in your decision-making as to how much coverage you actually want from your burial insurance for seniors policy.
When it comes to burial insurance for seniors, you will also have to consider closely the insurance carrier or funeral home that you buy your insurance from. It should be stable and well-established. You can check with Moody’s or A.M. Best to determine the strength rating of a particular insurance company. Alternatively, you can also check with the Better Business Bureau, your state’s insurance commission or the state attorney general’s office to determine if a particular insurance company or funeral home is reputable enough. Be wary of burial insurance policies sold through door-to-door salespeople.
Companies Offering Burial Insurance for Seniors
Some of the companies that you can try checking out that offer burial insurance for seniors include AARP, Globe Life, Colonial Penn and Garden State Life. Whatever company or funeral home you choose, make sure that you read the fine print closely before signing the documents and paying for the policy. Review the insurance policy to ensure that the medical underwriting needed is easy, that benefits can be paid to your beneficiary tax-free and the premium and benefits remain level all throughout. Opt for an insurance policy where you can take out loans against the policy should you need it for emergencies.
Why Burial Insurance for Seniors?
You can and should prepare for your death. It is your responsibility to ensure that your loved ones will not be burdened not only with grief but with the financial strain that your passing can bring. If you have your debts and funeral expenses taken care of because of your burial insurance, then your loved ones will not have to worry about where to get the funds to bury you.
Planning and spending for your funeral beforehand can even prevent fights among your survivors as to how and where you should be buried. Since you will have decided for everything – from the caskets to the cemetery plot to the kind of service you want – burial insurance for seniors is integral to peace and tranquility in the family on the day of your passing.
