The idea of having your relatives prepare financially for your death while you are still alive might seem unpleasant, even though many people are not able to afford these services without some form of help or planning.
Many people do not know how expensive a funeral and associated expenses can be until faced with the experience. Funeral and burial costs can exceed $10,000.
As part of the life insurance financial planning process, many people choose to avoid passing on the costs associated with their death to survivors who might not have expected or budgeted to pay the burial expenses themselves.
Funeral or Burial insurance is a form of life insurance that provides family members with specific coverage for the costs associated with the insured’s death, and can include other related expenses as well, such as trauma counseling. Funeral coverage is intended to provide financial assistance quickly, before life insurance policy claims have been settled or while the estate of a deceased person is tied up.