Where can i buy life insurance. Paying Funeral Costs With A Life Insurance Policy

It is not often that one sits down and imagines their own funeral, death is something that we generally try and push to the back of our mind. However many people don't consider how expensive funerals can be for the people who we leave behind. Funeral insurance.

Funerals now cost £3,456 on average - a figure that has risen by 80% in the last ten years. This has led to many people started to consider how they can pay their own funeral costs, instead of leaving to their family or friends to foot the bill.

Funeral Insurance

These types of insurance plan are generally available from funeral directors of specialist companies. Typically they will ensure that the costs of your funeral are covered adequately, up to an agreed upon amount. Some of these plans will offer to pay for different levels of service. Many of them will pay for the cost of grave-digging or cremation services and others will pay for the funeral on a tier-based basis.

Some of these funeral insurance policies offer you the choice between paying for your cover upfront or paying in monthly instalments. It is worth remembering that if you choose to pay monthly, you will often end up paying more than you would otherwise.

Level term life

Over-50s Plans

Over 50s life insurance plans generally pay out a lump sum upon the time of your death. These funds can then be put towards your funeral costs if you so wish. However there are some things to be aware of if you are considering signing up to this type of plan.

One thing to be aware of is the fact that when you sign up to these kind of plans you are agreeing to keep up with monthly payments until the end of your life. What this means is that if you end up living for a very long time, you will actually end up paying more into your scheme than your family will receive in a payout.

Another thing to bear in mind is the fact that these schemes only payout in the event of your death. This means that if you cancel your plans, you will receive none of the money back that you have paid in. This is also the case if you miss any of your payments. This means that you should think very carefully before you sign up to one of these plans and you should make sure that you have the financial capacity to keep up with the payments.

Short term car insurance

Term Life Insurance

The phrase "term life insurance" applies to insurance schemes that only run for a set period of time. These plans will payout if you die within the specified amount of time but not after. The length of time that the term covers will be agreed upon before the plan begins, the longer the term the higher the premiums.

Level term insurance is a form of policy that pays out the same amount no matter when you die - as long as it is within the agreed term. Another form of term insurance is decreasing term insurance. This type of insurance is usually used as a means to make sure that any outstanding debts are able to be paid off in the event of your death. The size of the payout decreases as time goes on - as will the level of your debt. Increasing term insurance is another option, this type of plan will increase the level of the payout either in line with inflation or an agreed yearly amount.

State Support

If you are part of a low income household or on state benefits, you may be able to claim some support on funeral costs from the government.

Reasonable life insurance rates

These payments can be worth up to £700 and can be used for things such as the cost of grave digging or cremation. It is worth remembering that these costs are repayable so the money will have to be returned to the government at some point - normally from the estate left by the deceased.