Determine the insurance contract that best meets your needs
Once you start your research, you will find that there are two funeral insurance contract options available: the service contract and capital contract.
Funeral insurance service contracts allow individuals to completely organize their funeral and its financing. The individual therefore receives a detailed estimate with the desired funeral services.
Once finalized with the funeral home, the contract is handled by an insurer and the payment will need to be made.
This type of contract is ideal for anyone who wants to ensure that their family and loved ones won’t need to finance their funeral. It will also ensure that the last wishes of the deceased are respected.
Capital contracts provide funeral arrangement financing by paying a capital sum to a beneficiary of your choice.
This type of contract is ideal for individuals who are not particularly concerned about the funeral arrangements but want to ensure that it is financed. This limits complications related to frozen bank accounts after death.
Some wishes can also be included in the contract, such as choosing between cremation or burial and the type of ceremony (religious or not).
Choose the best insurance plan for you
There are usually three types of payment plans available when purchasing funeral insurance.
- The one-time contribution is made in a single payment.
- The temporary contribution consists of several regular payments (monthly, annual, etc.) over a set period of time.
- The lifetime contribution is paid in installments until the death of the individual.
One-time or temporary contributions are ideal because the lifetime contribution can end up being very expensive in comparison to the actual funeral cost.
Carefully review the details of your funeral insurance policy quote
Review all the details of your insurance policy quote from the funeral home to make sure that the contract clearly lists the benefits and that these correspond to your expectations.
You should also pay attention to the contract’s potential exclusion clauses or those mentioning a potential waiting period (period during which you cannot claim the service).
Choosing the funeral insurance that will best prepare you
To properly compare funeral insurance plans, you first need to determine the type of contract and payment method that best meet your needs. After you receive a quote, read it closely to be sure that it meets your needs.
Do you need support in your search for funeral insurance? Morning Blue can help you adequately prepare for this stage of your life to ensure peace of mind and security.
Contact us for any questions or information.