Prepaid Funeral Plans Explained

1. Prepaid Funeral Plans Explained Speaking to a lot of people about prepaid funeral plans every day give us an insight on the most common questions people ask about the topic.  Here’s our way of breaking down prepaid funeral plans for everyone whilst answering the 5 Ws and H of questions.

2. WHAT ARE PREPAID FUNERAL PLANS? • A prepaid funeral plan is a way for people to pay for funeral costs in advance so their families don’t have to pay for the costs themselves.  A prepaid funeral plan can either be paid for in full or by affordable monthly installments over a period of time. • It will be good to know, when you look into prepaid funeral plans and covers, that plans may not always cover all the costs that comes with funerals.   So always make sure to check the level of cover of prepaid funeral plans you are comparing

3. WHY DO PEOPLE WANT PREPAID FUNERAL PLANS? • There are a lot of reasons why people take prepaid funeral plans out.  The top 3 reasons, if we base it on the calls we take and home visit appointments we attend, are as follows: •  LOOKING OUT FOR THEIR FAMILY – It’s not a surprise that people look into prepaid funeral plans with their families in mind.  The top reason people take plans out is to have the peace of mind that their loved ones will not have to deal with additional stress of thinking about what they would have wanted for their funeral, how they would have wanted their life to be celebrated, and where to get the extra money to pay for funeral costs.  Many people also want to avoid arguments within the family of who is right as to what the deceased may have wanted for their funeral. • RECENT FINANCIAL STRUGGLE BECAUSE OF A DEATH IN THE FAMILY – It is never a good experience to have a loved one die and also carry a feeling of despair as you deal with the additional financial stress of paying for a funeral.  More than 50% of the people we talk to on a monthly basis are looking to get prepaid funeral plans in place because they are put in a bad financial situation by an unexpected death in the family.  Most people feel horrible for feeling stressed out by someone’s passing and thinking of the costs rather than good memories. • RISING COSTS OF FUNERALS – Every year the costs of funerals rise.  There’s an annual publication by Sun Life which explains the costs of funerals and the projection of how much it is to go up by until a certain year.  Based on 2017 Cost of Dying Report by Sunlife the costs of funerals have risen by 50% in 10 years time, with a 1.2% increase from 2016.  The projections for funeral costs have not slowed down but is expected to rise along with inflation and government budgets every year

4. WHO CAN TAKE OUT PREPAID FUNERAL PLANS? • There is no specific profile of a person who can take a prepaid plan out or who you can take one out for.  We have spoken to families who are thinking of setting up plans for parents, older family members, or their whole family including their children. • If a person is interested in providing a resource for their family for the funeral costs later on, or want to make the payments for affordable, or want to decide how they want their life to celebrated after death then a prepaid funeral plan may work for them. • You could have a lot of savings or no savings, over 50, over 80, under 50s, or in your 20s, you could want a cremation or a burial, married, unmarried, widowed.  You could have a whole list of ideas for your funeral or you could just want something simple. • In summary, Prepaid Funeral Plans are for everyone

5. WHEN CAN I START LOOKING INTO PREPAID FUNERAL PLANS? • There is a common misconception that only the elderly can take prepaid funeral plans out.  The youngest person we have helped with advice and set up a plan for was 21 years old. • We have also helped families take funeral plans our for other family members who are children at the time they decide to start a prepaid funeral plan out. • Some people start looking into Prepaid Funeral Plans after experiencing some financial difficulties after a death and some start planning after realizing the benefits of having a plan in place.