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Dying is the only thing in life that’s guaranteed and all seniors have to begin preparing themselves and their loved ones for this difficult event. The death of a loved one is a highly stressful experience, not only because of the grief of losing this person but because of all the associated costs of a funeral and burial.
There is a way for seniors to ease this process and that is by purchasing a burial insurance policy. This type of plan (also called final expense life insurance, or funeral insurance) is specifically intended to cover the costs associated with the death of the insured– funerals, burials, and even cremations. Final expense life insurance is especially popular among seniors over 85, details here.
Like with any insurance, in this policy you pay a small amount monthly, which makes a sensible and affordable way to achieve peace of mind. Here are our 7 reasons to buy burial insurance for seniors:
1. Grieving Families Don’t Have to Worry About Funeral Costs
The biggest benefit of having burial insurance is you can protect your loved ones from the burden of adding a financial liability during what is already a difficult time. Families will want to part with their loved one in a dignified manner, but they may be under stress at the reality of paying for a funeral and related costs.
Funerals can cost as much as tens of thousands of dollars when you include the cost of the casket, burial plot, flowers, service, headstone, embalming and many other expenses. Even a cremation, which is a more affordable option, can cost thousands of dollars because there is usually a viewing or memorial service that may have costs like flowers or transportation.
Burial insurance policies will pay beneficiaries for these costs, removing this source of stress from the grieving process and allowing the final arrangements to be made smoothly.
2. Seniors with Life Insurance Can have it go to Other Expenses
If a senior has a life insurance policy (which everyone should definitely have), it may seem like burial insurance is unnecessary. But most life insurance policies are not intended for funerals and they are often needed by families to cover other costs, like outstanding hospital bills or daily living expenses.
Having to dip into the life insurance benefits to cover the exorbitant costs of a funeral may mean that families are burdened elsewhere, and this can also create unnecessary stress. Burial insurance eliminates this conflict so that the life insurance policy can be used where it’s needed most.
3. Getting Approved is Much Easier than with Other Policies
Can you get approved for burial insurance? The answer is almost certainly yes. The process of being approved for a burial insurance policy is incredibly easy and generally does not include the hassle of a physical exam.
You just have to fill out a form to answer some basic questions–and this can easily be done online. Because these policies are for smaller quantities, almost everyone can be approved, with most policies covering seniors that are up to 80 years old, and some of them going all the way up to 90.
4. It’s Affordable and Never Expires
Because the burial insurance benefits are smaller than policies like life insurance, the costs are lower as well, making this a very inexpensive option that most people will have access to. Also, unlike many life insurance policies, burial insurance will never expire (as long as you continue making payments).
This is a “whole life” policy, which means the benefit and the premiums will stay the same over time and are not limited by any time period or by any situation, such as a change in your health or employment status.
5. You Can Get as Much or as Little as You Need
If you’re not planning an elaborate funeral, you may think burial insurance is unnecessary. On the other side of the spectrum, if your family tradition does include large funerals, you may think the costs will have to be covered a different way.
But burial insurance is very flexible and you can find policies that will be appropriate to any situation. Standard policies begin at around $1,000 and can go all the way up to $35,000. This means anyone can benefit from the added security of a burial insurance policy.
6. In a Pinch, Can Cover Other Financial Emergencies
If a senior’s death leaves their family with a catastrophic amount of expenses that a life insurance policy could not completely cover, such as healthcare bills or an impending mortgage payment, a portion of the burial insurance benefit can be applied.
In this way, the burial insurance can provide added security that passing away will not shackle loved ones with difficult expenses that will contribute to the stress they are already experiencing.
7. Peace of Mind and Better Planning
Having a burial insurance policy in place will provide peace of mind, simple as that. It’s one less thing to worry about and it can also be an act of love. Seniors can get together with their families to plan how they want their funeral and other arrangements to be handled.
Making these kinds of decisions can be difficult but knowing exactly how much money will be available is a way to make things much easier. Being able to participate in the planning process can be empowering for seniors and families alike, helping everyone to be better prepared.
Buying burial insurance for seniors makes sense because it’s a way of preparing for the future. When a loved one has passed, a family can count on the burial insurance benefit to cover every aspect of the burial or cremation, eliminating the unnecessary burden of figuring out how to pay for it all. This allows them to focus entirely on celebrating the life of their loved one and giving them a dignified goodbye.