Reduce Family Stress with Final Expense Insurance
Few people want to think about or plan their own death, burial or funeral. However, planning for your end of life now may reduce a very large emotional and financial burden from your loved ones at their greatest moment of grief.
Planning includes items like simplifying finances and banking, organizing important papers like titles to property, and leaving instructions that indicate how you would like to be remembered or memorialized.
Burial insurance typically pays benefits directly to the funeral home to offset your burial costs. Final expense insurance, in contrast, is a whole life insurance policy that pays directly to your beneficiary. Final expense insurance may eliminate any remaining debt, pay for the funeral, and possibly leave something extra for your family.
Important steps to take today to prepare for your final expenses
We want to help you leave the world on your own terms and not burden your loved ones with distracting details. To do so, it means that you take steps today that can help you get more out of your life in whatever remaining time you have. We suggest you follow our five-step end of life planning process. Keep reading to learn more about each step.
- Make every day count
- Simplify your life
- Organize your finances
- Plan for your funeral or memorial
- Consider how to pay for all final expenses
Make every day count
Simplify your life
Organize your finances
Organize your finances1 so you could hand the responsibility to a trusted friend or family member tomorrow. Give yourself ample time for this task. Don't try to do it all in one day.
However, do not wait too long to complete this. Unfortunately, given the rise in dementia and Alzheimer’s, you realistically may need to pass this responsibility to someone well in advance of your death.
We suggest that you start by keeping all financial materials in one place in your house. They should be arranged in a way that someone who is trusted can easily find the following:
Planning your burial, funeral or memorial service
What is the difference between final expense and pre-need life insurance?
Final expense life insurance
Pre-need burial insurance
Consider how to pay all final expenses
Think about all of your final expenses that your survivors may incur.1 This will, of course, include the actual funeral services. People sometimes think only about the cost of the funeral itself.
However, they may also include paying off your debts. If you owe money, the debts will transfer upon death to your estate. Someone may have to pay these bills depending on your individual circumstance.
In addition, settling an estate can take time. Many bills, such as taxes, condo fees, and utilities may need to be paid for several months while this materializes.
You may also want to make travel and hotel arrangements for family members. This could allow your executor or family to clean up your home and make any estate sales without causing them financial strain.
Actual Funeral Costs
$170 to $400
$195 to $1,000
Burial Vaults Costs
$2,200 to $14,000
$50 to $12,000
$50 to $500
$11 to $13
$225 to $1,212
$100 to $600
$200 to $1,425
$480 to $3,000
Grave Markers & Monuments
$500 to $7,000
Grave Opening and Closing
$300 to $1,000
$400 to $10,000
Grave Site Set Up
$100 - ask
$200 to $1,700
Guest Register Book
$25 to $80
Hearse or Funeral Coach
$150 to $530
Limousine or Lead Vehicle
$75 to $520
$0 to $600
$50 to $363
$40 to $80
Service Car or Flower Car
$75 to $510
Storage and Refrigeration
$35 to $100 per day
Temporary Burial Marker
Traditional Burial Package
$2,620 to 6,000
Transportation of the Body
$125 to $500
$80 to $2,000
$150 to $1,175
Source: The Funeral Site
Paying for mortgage or rent until they are able to sell and clean out your home. In addition, they might not want to put the house on market in winter or holiday times
Utilities must be paid until property is cleaned out, rented or sold
The executor or beneficiary must keep the existing insurance on the property or transfer it to another policy
Cleaning cost of house/apartment
Your property will likely need be cleaned
Dumpster or junk removal
Your family will need to remove contents of your home and pay for disposal of all trash
Painting or fixing of property
A fresh coat of paint and needed repairs of your home will help your property quickly sell
Staging your house
Staging of home can help with resale of home to get the full potential value
Moving or storage costs
Your family may need to move your items to their home to another state and possibly rent a truck for the task
Beneficiaries will potentially have to pay property tax and income taxes for the year
You might incur most of your expenses in the final days of your life
Credit cards balances
Legally, the estate will be responsible for paying any outstanding balances
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1The information above is intended for use by the general public and is not individualized to address any specific investment objective. It is not intended as investment or financial advice. We encourage you to consult with an advisor who can tailor a financial plan to meet your needs.