Nobody likes to think about it, but we will all die eventually. It's a fact of life, no matter how difficult it is to fathom and accept. Aside from that, dying can also be an expensive affair. There are funeral costs that need to be taken care of, as well as the needs of the people that the deceased leaves behind. What's important then is to be prepared for all these.
Funeral insurance is what will help cover the needs of your loved ones during your funeral when you die. In some cases, the benefit could go well beyond that. In this article, we will share with you some of the basic things you need to know about funeral insurance. We hope that the information we provide will help you choose the right policy for you. If you're ready, then read on.
How It Works
This type of insurance is generally open to individuals who are between 17 and 80 years old. Some insurers may also take your health condition into consideration before granting you with coverage. As with other types of insurance, you may take this out as a separate policy, or combine it with other policies for an added level of protection.
At the event of the insured's death, the insurer will provide a lump sum payment that is generally adequate to cover the funeral expenses. But how much is enough?
The Cost of the Insurance
How much coverage you can take out depends on your needs and individual preferences. Insurers can provide coverage starting at $5,000, which can go up to about $30,000. Of course, the bigger the coverage, the more your loved ones can spend for the funeral, such as a better casket or urn, or a premium plot, but remember that this would also translate to higher premiums.
Aside from the premiums, also look into the features offered by the insurer. Some companies might offer more affordable policies, but would leave you hanging in the cover. It's important, therefore, to find a balance between an affordable premium and an adequate coverage for your needs.
Here at Rate Detective, our professional advisors are ready to help you find the right funeral insurance for you or your person of choice. We will look into your personal circumstances to provide you with personalised recommendations of the offerings of Australia's top insurance companies. Contact us today for more details!