A Guide to Find the Best Burial Insurance Provider for Your Needs
A burial insurance policy gives you the independence to plan for your last rites, just the way you want. If you do not want to burden your children or next of kin with your funeral expenses, this policy is for you.
With the insurance payout, you will have a planned funeral without your kin having to bear any of the costs. It will cover all the expenses like paying for the burial spot, memorial service, casket, and flowers to the priest’s fees. Many insurance providers, like Mutual Of Omaha Final Expense, offer such policy. However, it would be best if you took help of an independent agent and chose a provider that is best suited to your requirements.
Here are some of the parameters you can check.
High Maturity Amount
Burial insurance policies pay your beneficiaries after you die. So, suppose you have chosen to buy the policy when you are seventy-five years old, assuming you will die within the next ten years. However, you may live past eighty-five years. In that case, you might choose to renew the policy.
Or, if you change your mind, you can receive the payout and keep it aside, making sure your beneficiary uses it when you eventually die. Do some research and choose a provider where the insurance company will pay you the maturity if you outlive your insured period. Or ask your agent for the recommendations.
Easy To Qualify
You should be able to qualify for burial insurance with ease. It would help if you did not have to answer questions about your death. While many providers will not ask any questions, some might do so about your medical history. It can make a senior citizen quite uncomfortable. Insurance providers like Mutual of Omaha final expense ask very few questions to the people in this regard.
Locked-In Premiums
Always opt for a burial insurance provider that has a locked-in premium. It will give you a clear idea about your monthly expenses. You might already have to incur extra costs due to the rising costs related to inflation and medical facilities. As you age, you might also need assisted living, and that, again, will cost you extra money.
With locked-in premiums, you can be at least sure that this monthly expense will not increase. You can keep paying the same premium till the policy lapses, or till you choose to increase the final death benefit amount.
No Waiting Period
The insurance service provider should not have a waiting period or not one more than three months long. Some providers are not willing to pay the full death benefit unless two years have elapsed. While this is understandable for some other kinds of policies, it should not be so in the case of burial insurances.
Death can come knocking at any time. If you have paid timely premiums, your beneficiaries should not have trouble getting access to the death benefit amount.
No Taxes to Deal with
Burial insurance policies are usually exempt from all taxes. However, you should still make sure if there are any special tax regulations based on your locations. Make sure that the insurance provider takes care of the taxes and other such expenses on your behalf.
You do not want your next of kin to deal with tax issues between arranging for your funeral. Nor should a sizable chunk of the payout go towards paying taxes instead of being spent on your funeral. Insurance providers like Mutual of Omaha final expense may have some viable options, so check with your agent beforehand.
Transparency in Fees
While researching, settle for a provider who you think is the most transparent about the fees. Yes, you might have to pay some administrative costs and other charges, but the right provider will be upfront about all of them.
Online reviews and word of mouth inquiries can help you with this. Ask around if the insurance provider has paid the promised amount in full at the insured person’s death or have they deducted amounts from the death benefit in the form of hidden charges. Many companies will also give you some discounts on timely payments. There are quarterly, half-yearly payments, and annual discounts which you can make use of.
In the end, your research will help you choose the best burial insurance provider based on the cover you want. Just make sure your beneficiary has all the details about your service provider. The insurance policy number and the right provider will take care of the rest.