Pre-Paid Funerals – Do They Give Value for Money?
Afternoon television in particular is laden with adverts for Insurances (usually aimed at the over 50’s) which, for a relatively small monthly premium, will pay the insured’s Estate a lump sum designed to fund his/her funeral costs. Such adverts are usually fronted by well-known personalities whose appearances impart a degree of respectability and trust to that product.
As always, care must be exercised when considering such offers. First, consider whether the monthly premium, when accumulated over a lengthy period of time of say 30 years, which is quite possible if the insured takes the policy out when aged 50 and lives til beyond 80, will actually exceed the guaranteed sum payable. Then consider that there is NO cash-in value to the plan, so if for example the insured were to fall on hard times financially, no longer being able to afford the premiums, there is no cash-in facility to recoup those monies which have been paid in. Finally, with the cost of funerals (like everything else) rising at a staggering rate, will the sum assured actually cover the whole cost or simply a portion of it?
Pre-Paid Funeral plans however are different from this. They do “exactly what they say on the tin”. You purchase a funeral “package” now, at today’s price and that funeral “package” is delivered for you, when you pass away – no matter how many years after you bought it.
There are several reputable Companies in the market place and again, due diligence is required, however we have considered many such plans and can recommend Safe Hands whose prices are amongst the most competitive in the market place currently (2016).
An average funeral costs £3,500 today. In ten years time, it is predicted that this figure will be close on £8,000. So, by buying today you have “saved” about £3,500 – £4,000. But, not only this, and perhaps more importantly, you have been able to tailor your own funeral “package” to include all the elements which are really important to you and exclude all the elements which you really loathe. You choose your preferred funeral director, the number of limousines, the type of hearse, the place of burial or cremation, the mode of dispersal of ashes and so on and so on. Most importantly, you take the onus of all the decision-making away from the ones you’ve left behind at a time which they are grieving and finding it difficult to cope.
Finally, by choosing a reliable and trustworthy Company such as Safe Hands, you can be sure hat the money you have paid for the funeral will be held in a safe high interest bond so that when the time does eventually come to fulfil the policy, there are no hidden extras for your surviving loved ones to have to fund and thereby worry about.
Please ask for further details and make an appointment to discuss this in greater detail.