Cost of funeral is one of the largest costs in United States today. It is also one of the major financial crises that a person or a family faces in addition to the unfortunate experience of losing a loved one or some senior in the family. Meeting the cost of funeral could become easier with adequate life insurance plan on the life of the deceased. If he or she was prudent enough to enroll under the plan, it can be great help for the survivors after his or her death; at least financially.

Funeral costs

Funeral costs will vary widely depending on whether it is full service burial, cremation, or direct burial. Typical costs are –

• Type of funeral is a major determinant of the funeral costs. A life insurance company will have different plans, coverage, and deductibles for full service funerals, direct burials, or direct cremations.
• Basic services fees, transportation as well as care of the body, and obtaining a final resting place for the dead are some of the major expenses related to funerals.
• Such costs will vary depending on whether the deceased would be rested in urn or in a casket in cemetery plot.
• Other related expenses include obituary notices, religious official’s service charges for memorials, hearses, embalming, burial vaults, grave liners, fancy caskets, organists, and a few others.
• When all these add up; the final bill could be as staggering as a wedding expense.

Conversance with Rules

For getting the best advantages of the insurance benefits one should be conversant with the funeral rules. In Untied States these rules are basically meant for the protection of the survivor.

• Financial rules relating the funeral and related expenses are enforced by the FTC.
• Survivor has the right to choose funeral goods and services subject to a few exceptions.
• Funeral provider has to state in writing the right of consumer for such selection in their general price lists.
• Sometimes local laws may require the survivor to buy some particular item. But funeral provider must disclose it on his or her price list.
• Funeral provider cannot refuse top handle casket bought elsewhere. They cannot charge any fee for such services either.
• Funeral providers offering cremations should also provide alternative container to the buyer.
• All these rules are extremely relevant for the reliable insurance provider that will look for the laws prevalent in the state at the time of the claim settlement.

Smart Funeral and Insurance Planning

Smart planning for funeral and insurance planning can help one get out of the financial distress that can result from the untimely death of someone. Such smart funeral and insurance planning may involve -

• Setting up a “pay on death account”. Such accounts are portable, earn interest during the life time of the insured, and are easy setting up.
• Known as Totten trusts, these pay on death accounts can be used by the designated beneficiaries so that they can meet the funeral expenses conveniently.

Preparing for the Worst

Everyone is concerned about their families and kith and kin. Naturally they will never like to see such people in any sort of distress due to their untimely death or such exigencies. Life insurance covers the exigencies pretty well. It is not only the funeral costs but also the livelihood and sustenance of the family that might have been largely dependent on the sole money earner in the family that died an untimely death. Further, it could be the educational and other related expenses of the children or it could be health and welfare related expenses that the survivor may find difficult addressing. Having an adequate life insurance plan covering all aspects could be one of the best preparations for the worst exigencies.

A person should therefore think about enrolling under some efficient and viable life insurance plan during his or her life time. This will enable such person to make a dramatic yet proud exit when the ultimate occurs.