Burial insurance, also called end-of-life insurance, is an important investment and financial decision. Burial insurance typically refers to a life insurance policy that comes with a fixed death benefit of up to $25,500. As the name suggests, individuals purchase this kind of policy in order to provide funds for burial and funeral expenses for family and themselves. Some individuals do so for their children and some for their spouses. Others may even want to pay off debts or make other major expenditures, which means the benefits and cash value of a burial insurance policy will be available to them in the case of emergency or other financial need. Go to https://paradigmlife.net/blog/joint-life-insurance-guide-checklist/ for more.
The typical burial insurance policies come with two main kinds of payment options. They can come in single lump sum premiums or they can come in a form of variable coverage plans. In the case of single lump-sum premiums, the premium amounts are paid in one big payment. The advantage to this kind of payment option is that individuals can pay only for the agreed upon amount, which means that they won't have to worry about reworking their budgets to pay for two separate payments.
Variable burial insurance policies come with more flexibility. These policies can either come with fixed sums of money or they can offer flexible payment options. With a flexible policy, an individual is free to decide how much they want to pay for their funeral expenses. However, they have to take into account things like potential increases in their family's needs, changes in their financial circumstances (like job loss or others), the possibility of living longer and the likelihood of leaving behind legacy items, which can be irreplaceable. For these kinds of individuals, it's best to consider getting both a burial insurance policy and a permanent life insurance policy.
Last but not least, people should also consider taking out burial insurance policies along with final life insurance policies. With burial insurance policies, the buyer is protected in case of any unforeseen illnesses or medical emergencies that could befall their loved ones before they end up at the cemetery. Some funeral policies also provide a lump sum payment if the person was certified as a dependent by Medicare.
One last thing to consider with burial insurance policies is whether it makes sense to purchase a separate "pod" account from the insurance company. Basically, pods are little different than separate accounts in the sense that both can be used for paying for the cost of funeral expenses. The surviving spouse can use the pod account to cover costs like the burial and legal fees, while the remaining family can use the remaining money for their daily living expenses. Both of these are just as affective as having two separate accounts, except that they will both pay out to the beneficiary of the deceased.
Overall, there are many ways to protect your family from financial hardship when you pass away. If you decide that burial insurance is right for you and your loved ones, then it's time to start shopping around. Shop around online to find the best prices and the most comprehensive policies. You can talk to your agent about any questions or concerns that you have about your insurance. Once you have chosen a coverage that you're comfortable with, you can start applying to get your quote, and hopefully be covered with funeral plans, medical exam policies, and other types of plans that help you to cover costs when you are gone. Go to https://paradigmlife.net/blog/burial-insurance-best-policies-for-final-expenses/ for more.
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