People who want to go for funeral expense life insurance policy can go for burial insurance and preneed insurance. These policies will help the insured for planning the cost of his burial or final expenses. Burial and preneed insurance are different from each other and we will talk about it here.
It is a funeral expense life insurance policy in which a person can cover his funeral expenses before he dies. Funeral costs can go too high so people should plan about it so that all the costs related to funeral are covered. The final expense insurance or burial insurance varies according to different companies. Some of them offer the insurance in the form of term policy while others offer life policy. The range of death benefit is between $5000 and $25,000. At the time of burial or final proceedings, the beneficiary is benefitted by the policy and he can use it in any manner. You are curious to know more about burial insurance, go here.
Preneed Funeral Insurance
This is a life insurance in which the insured can set an amount of funds for his funeral. It will protect the beneficiary from the cost of all the burial proceedings. Many services are covered in this policy, whichinclude funeral merchandise, burial services, and, many others. This policy will also help in protection against inflation and rise in the cost of the burial. This policy can be offer red in the form of term life policy or permanent policy. In this case, the money does not go to the beneficiary to but to the funeral service provider. After the policy becomes effective, it will be there for the entire life of the insured.
These are a few differences between burial and preneed funeral insurance. People can opt for anyone of them and get their funeral insured. These will protect the beneficiaries from extra burden.