Pay Now, Die Later Is Funeral Insurance Worth It

Marisa, a client, contacted me with
an urgent tone in her voice.

“Should I get funeral insurance? I
really want to sort my funeral out, but this is a big stumbling block for me. I
just can’t decide, and it’s keeping me awake at night.”

Aged 68, Marisa was aware she needed
to take care of a few things so her children would not have a great big muddle
to sort out after she had gone. This was the latest in a series of challenges
she had had around the whole topic, but it is in fact one of the most common questions I get asked.

The answer is simple – it depends.

That’s probably not what you want to
hear, but it’s true nevertheless! Think about it as if you were engaging a

You wouldn’t just take on any old
person to sort out your plumbing, would you? It’s much more likely you’d get three
quotes for the same job, compare them, and then choose who you feel would do
the best job.

You can do the same thing with
funeral insurance.

10 Things
to Pay Attention to When Shopping for Funeral Insurance

It’s not that difficult to get 3
quotes from different funeral insurers. More important is to pay attention to
what they actually say, so:

  • Check the small print to see exactly what you
    are paying for.
  • Make sure which terms apply to where you are
  • Ensure their offer is in line with what you
  • Make sure you know which funeral director
    they will be employing, and that you want that particular firm/person.
  • Check the costs and offerings of the
    different plans.
  • Ask whether the plans cover the transport of
    the body, and if this is limited in any way.
  • Make sure you are protected against any
    increase in funeral costs.
  • If you have life insurance already, check if
    it covers funeral costs and what it actually does include.
  • Check if there is an age limit to any
    insurance, and if not pre-paying, whether premiums go up as you age.
  • Ask what happens if you move state or county,
    and if you want to opt out at any point.

Insure or Save?

Decide whether you would rather save
into a separate account instead. Banks will usually release money early from an
estate to pay for funeral costs if you provide a copy of the death certificate
and an itemised account from a funeral director. 


Be aware that what you want may
change as you age. If the insurance plan is fixed in its terms, then you may
not be able to change the specifics.

This happened to my Mum. Looking into
the matter, we discovered that what her pre-paid plan dictated was no longer
what she wanted.

When she considered what she was now
keen to have, it became obvious that the best way out would be to get
reimbursed from the organisation, even with paying their cancellation fee.

It had become of particular
importance to have a funeral director she had already met and with whom she
felt she had a connection, rather than the impersonal nature of the funeral
director stated in her plan.

Plus, she wanted flowers from her own
garden, and various other things that had been included in the original plan
were now superfluous.

What would be important to you in a
funeral insurance? Have you purchased one? Do you have any tips for our
community? Please share them!