Worrying about money is the last thing a family wants to do in the event of a death but it is one of the realities that everyone must inevitably face. It is because of this need that more and more people avail of funeral insurance policies to secure their families from financial woes in the event of their death. With funeral expenses costing thousands of dollars, choosing an insurance company becomes a one of the most important decisions one has to make after deciding on purchasing a policy. Here are some things to keep in mind before choosing which company to sign up with.
Research state laws regarding insurance policies. Regulation of insurance policies are done at the state level so it is best to be aware of the minimum standards provided by the state that insurance companies must follow. Being knowledgeable of how much protection the law guarantees the insured and the guidelines that insurers must follow is a must because insurance policies are considered contracts. Availing of the "free look" services of the state to review a plan before signing it is also a good idea. Consulting with a lawyer to settle one's will and estate plan and making sure that a policy is consistent with both is another step towards making an informed decision. Do some research on the insurance company and make sure that they and the funeral home both have licenses issued by the state. Thoroughly researching companies and avoiding small ones that provide suspiciously low premiums is the best way to avoid being a victim of fraud.
Read through all the details of the listed funeral arrangements. Some funeral policies have locked in prices for certain products such as coffins and the funeral vault but do not guarantee the same for other items such as flowers. By law, these funeral cover companies are required to provide a full list of their products and their prices. Companies that guarantee locked in prices are more favorable since funeral costs are only bound to go higher with time. Choose a company that agrees to write down every detail included to make sure that everything is accounted for.
Pick a company that gives the option of changing funeral homes. This is to make sure that even after moving, the benefits can be used at any time. Don't be afraid to ask questions. Knowing what will happen in case a payment is missed or stopped is better than signing up and being surprised at their regulations. Finally, it is also better to ask about options regarding cancelling a plan.
Thinking about your own funeral and planning ahead may be an uncomfortable topic for most people but it is something very commonplace especially for people over 50. Planning for one's death is the responsible thing to do especially with dependents that may encounter different kinds of expenses aside from funeral costs. Before purchasing a policy, is better to review all options available rather than signing with a company that tempt you with low premiums but end up providing lower coverage in the long run.
The author provides information when it comes to getting funeral cover in South Africa. To read more visit funeralcoversa.co.za
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