Burial Insurance AARP: 5 Things You Need to Know

What is Burial Insurance?

Burial insurance, also known as funeral insurance, is a type of life insurance that is specifically designed to cover the costs of your funeral and burial expenses. This can include things like:

• Casket
• Burial plot
• Headstone
• Funeral service
• Transportation costs

Who Needs Burial Insurance?

Anyone who wants to make sure that their family doesn't have to pay for their funeral expenses should consider getting burial insurance. This is especially important for people who do not have other assets or savings that could be used to cover these costs.

How Much Burial Insurance Do I Need?

The amount of burial insurance you need will depend on the cost of your funeral and burial expenses. You can get a general idea of how much this will cost by talking to a funeral director.

Once you know how much your funeral will cost, you can start shopping for burial insurance. There are a number of different providers that offer this type of insurance, so it's important to compare rates and coverage before you buy a policy.

How to Get Burial Insurance

You can get burial insurance from a variety of sources, including:

• Insurance companies
• Funeral homes
• Credit unions
• Banks

The best way to find the right burial insurance policy for you is to shop around and compare rates from different providers. Be sure to read the policy carefully before you buy it, so that you understand what is covered and what is not.

Benefits of Burial Insurance

There are a number of benefits to getting burial insurance, including:

• Peace of mind. Knowing that your family won't have to pay for your funeral expenses can give you peace of mind.
• Financial security. Burial insurance can help to protect your family from financial hardship in the event of your death.
• Tax benefits. The death benefit from a burial insurance policy is generally tax-free. This means that your family will not have to pay taxes on the money they receive to cover your funeral expenses.

FAQs About Burial Insurance

Q: How much does burial insurance cost?

A: The cost of burial insurance will vary depending on your age, health, and the amount of coverage you need. However, you can expect to pay anywhere from $10 to $50 per month for a burial insurance policy.

Q: What is the difference between burial insurance and life insurance?

A: Burial insurance is a type of life insurance that is specifically designed to cover the costs of your funeral and burial expenses. Life insurance, on the other hand, is a more general type of insurance that can be used to cover a variety of expenses, including funeral expenses, income replacement, and debt repayment.

Q: Do I need burial insurance if I have life insurance?

A: It depends. If your life insurance policy has a death benefit that is large enough to cover your funeral and burial expenses, then you may not need burial insurance. However, if your life insurance policy does not have a death benefit that is large enough to cover these costs, then you may want to consider getting burial insurance.

Q: Can I get burial insurance if I have a pre-existing medical condition?

A: Yes, you can get burial insurance if you have a pre-existing medical condition. However, you may have to pay a higher premium than someone who is healthy.