The passing of a loved one can often result in significant expenses for those who are left behind. This can be the case if your parents pass away, as you want to ensure that they have the proper memorial and burial and that their other final wishes have been met.
Today, the cost of final expenses can be in the range of $10,000 – especially when you factor in the long list of items that they include, such as a burial plot and headstone, the memorial service itself, the flowers, transportation, and the printing of the funeral cards.
While some people may have the means to pay for all of this, for others it could mean dipping into savings, selling precious assets in order to come up with the funds, or putting these items on credit which, in turn, will often come with a very high amount of interest.
But, there is a better way to assure that funds will be available to you and that you can keep all of your other funds in place. This solution involves the purchase of burial insurance for your parents.
How Burial Insurance Works
Burial insurance is purchased for the purpose of covering an individual’s burial and other funeral-related costs. These policies are usually offered to those who are between the ages of 50 and 85, however, there are some insurance carriers that will provide coverage to people who are older.
Typically, burial insurance is whole life insurance protection. Whole life is a form of permanent life insurance – which means that it offers death benefit protection, as well as a cash value component.
The cash that is inside of the cash value portion of the policy is allowed to grow tax-deferred. This means that there are no taxes due on the gain of these funds unless the policyholder withdraws them.
Cash in a whole life insurance policy may be either withdrawn or borrowed for any reason that the policyholder sees fit – including the payment of debts, the supplementing of retirement income, or even to take a nice vacation.
It is important to note, however, that any amount of cash value that has not been repaid to the policy at the time of the insured’s passing will be deducted from the amount of death benefit coverage that is paid out to the named beneficiary.
Will Your Elderly Parents Qualify For Burial Insurance?
While many traditional life insurance policies will require that an applicant take a medical examination as a part of the underwriting process, most burial insurance policies will not entail this step.
In fact, depending on the policy and the insurance carrier, your parents may not even be required to answer any medical questions. Because of this, burial insurance can often be easier to qualify for – even if an applicant already has an adverse health condition.
Because there are typically no medical exam results to go over – and possibly even no health information to verify – burial insurance can often be approved and issued very quickly. In some instances, it may only take a few days. In others, it may even be approved and issued on the same day that the policy was applied for.
Can You Purchase Burial Insurance For An Elderly Parent?
Whether you are able to purchase burial insurance for your elderly parents will also depend on several criteria. First, if your parent is the applicant and the insured – and knowingly applies for the policy – then you can typically still be the premium payer.
Purchasing any life insurance coverage for another individual, though, especially if they are not aware you are doing so, can depend on various legal requirements that can differ from state to state.
If you want additional information on whether you may be able to purchase burial insurance for a parent or parents – as well as what the process would be if you can move forward – it is oftentimes best to work in conjunction with an independent insurance specialist who can assist you.
How Much Will Your Elderly Parents’ Burial Insurance Cost?
The cost of a burial insurance policy will usually be dependent on several factors. These will include the age and the gender of the policyholder, as well as the amount of insurance coverage that is being applied for.
If the burial insurance is a whole life policy, then the amount of the premium that is charged will typically be locked in for life and guaranteed never to increase – even as your parent’s age and / or if they contract an adverse health issue.
You may find that burial insurance is also available as a term insurance policy. These types of policies will offer death benefit only coverage, without any cash value build up. This can often keep the amount of the premium down. However, term life insurance policies will only last for a certain duration of time, such as ten years, 15 years, or 20 years. With that in mind, you may or may not still have coverage in force in the future – depending on how long your parents live.
Where To Find the Best Quotes On Burial Insurance For Elderly Parents
In looking for the best quotes on burial insurance for your elderly parents, it is usually suggested that you work with an independent life insurance brokerage or agency that can provide you with premium prices from numerous different life insurance companies. That way, you will be able to compare plans and premium prices all in just one convenient place.
When you are ready to obtain additional information – or, if you are in search of burial insurance coverage for your parents today – we can help. We work with many of the top burial insurance providers in the industry today, and we can assist you with obtaining all of the pertinent details that you will require for making an informed purchase decision.
We can do so for you and your elderly parents quickly and easily, and without the need to meet in person with a life insurance agent. If you are ready to move forward, then just simply fill out the form on this page.
If you happen to have any additional questions regarding burial insurance, then please feel free to contact us directly, toll-free, by dialing 888-501-0530. Our experts are here to work with you in finding the best burial insurance coverage for your parents, along with an affordable premium rate that can fit into your budget. So, contact us today – we’re here to help.