A prepaid funeral plan is a type of insurance that covers the cost of your funeral when you die. The cost of a funeral these days is getting so expensive, that an affordable plan can allow you to keep the price fixed at today’s prices, rather than paying 2x, 3x or 4x when the day finally comes.
How Funeral Prices Are Getting Out Of Control
The average cost of a funeral in the UK is currently and this is already a very large cost to place on a grieving family.
But the cost of funerals continues to rise as we start to value our loved ones and want to give them dignity and respect as we say goodbye. According to research from funeral insurer Golden Charter, the cost of funerals has increased by 103% over the last 12 years and if it continues, the cost of funerals will rise from around 拢4,000 in 2017 to over 拢12,000 by 2036.
How Does a Funeral Plan Help?
As mentioned, a funeral plan or funeral insurance, keeps things locked at today’s prices. So if a funeral costs 拢4,000 today, it will cost your family聽the same when you pass away in 20, 30 or 40 years time. It involves paying for a plan, which can be around 拢2,500 to 拢3,000 in one lump sum or聽an average of 拢25 per month for a period of 12 to 60 months. ()
What Does a Funeral Plan Include?
A plan will include the following:
- Funeral Director鈥檚 costs
- Cremation fees (depends on plan)
- Minister鈥檚 fees (depends on plan)
- Religious service at chapel or church
- Hertz/limousine vehicle
- Coffin
