What Is the Purpose of Funeral Covers274461

De BISAWiki

There is a saying which goes, 'There are two things in life we can be certain of. Death and taxes' Well, if death is a surety then funeral covers would seem to be a very obvious reality. Funeral covers are designed to provide your family or beneficiary with money to pay for your funeral arrangements when you die.

The costs of funerals seem to go up every year. I am quite angered that even something as natural and as inevitable as death should have a price attached to it, but until the time comes when sacred moments such as birth and deaths are without financial implications it is best to make financial provision.

The way funeral insurance works

When you decide on taking out a funeral cover you are essentially taking out a contract which states that you will pay a company a fixed rate on a month to month basis, in exchange for them to provide your beneficiary a sum of money upon your death to pay for your funeral arrangements.

There are different terms and conditions with various funeral covers and you would need to carefully consider a few funeral covers from various insurance companies to see which company can offer you the funeral cover which best suits your needs and your budget.

One of the major deciding factors for many people is how much they can afford to spend every month on funeral insurance and whether they would still be able to afford the funeral cover should the premiums escalate. Luckily there are many insurance companies which promise that premiums will not increase over time. This can allow you to make better financial preparation knowing that you will be able to afford the funeral policy in the long run.

Some insurance companies insist that you undergo a medical examination. This is done to protect the insurance company, so that if you do have a fatal disease and die shortly after taking out the funeral cover, they lessen the probability that they will need to fork out more than what they got in.

However there are also insurance companies who do not require you to undergo a medical examination in order for your to purchase a funeral cover. This does minimize the hassle of taking out insurance. It also gives people deeper sense of faithfulness in the insurance company, proving that they are not just out to make money. Funeral Cover, Funeral Cover Quotes, Funeral Cover Providers In the event of your death, your family or beneficiary will need to provide the insurance company with the relevant documentation before they can pay out the assured some of money. The documentation needed is documentation such as the death certificate of the policy holder, the beneficiaries documentation such as identification document etc. Once the beneficiary has handed in all the necessary documentation the money will be paid and the funeral arrangements can be made. As you can imagine the burial preparation needs to happen within hours of the person dying and so it is very important that the money is paid out within the first 24 hours after death.