Who can buy a funeral plan?
Anyone over the age of 18 can buy a prepaid funeral plan through Reassured, whether that be for themselves or on behalf of someone else.
However, to be eligible for the full range of plans we offer you’d need to be over the age of 50.
Unlike life insurance, funeral plans guarantee acceptance. This means your health or medical history doesn’t come into question.
Are funeral plans safe?
Yes, funeral plans are safe when the plan provider is registered with the Funeral Planning Authority (FPA).
The FPA are a self-regulated body with the purpose to protect funeral plan customers and their money.
One of their requirements is that customers’ money must be paid into an independent trust fund or whole of life insurance policy to be kept secure until the plans are redeemed.
There’ll always be enough funds to cover the cost of your funeral, even in the unlikely event that the plan provider goes out of business.
At Reassured, we only compare quotes for FPA approved funeral plans and we’re an FCA regulated service, giving you peace of mind that you’re in safe hands all the way.
What does a funeral plan not cover?
Whilst you can have peace of mind that your key funeral costs are covered when the time comes, there are some elements that a prepaid funeral plan won’t cover as standard.
- Alternative hearses
- Funeral notices
- Extra limousines or executive cars
- Burial plot
- Memorial (headstone)
- Live music
Also, some plans won’t cover the full cost of third-party fees. For example, Dignity funeral plans will guarantee cremation fees and minister fees but not doctors’ fees.
What happens if I die before my funeral plan is fully paid?
If you purchase a Co-op or Dignity funeral plan through Reassured and choose to pay by instalments up to 25 years, but you pass away after 12 months and before your plan has been paid in full, then your funeral will still be covered.
This ensures that your loved ones are still protected from the expense of your funeral in the case you were to pass away before finishing all your payments.
Providing all payments are up to date and your plan has been in place for at least 12 months, you’ll be eligible for this additional level of cover.
Accidental death is covered from day one of taking out a plan, as long as all payments are up to date.
Is a funeral plan better than life insurance?
Funeral plans and life insurance serve different purposes, but both can be taken out individually to cover your funeral expenses. The option that’s better for you will depend on your individual circumstances and your budget.
On the one hand, life insurance could work out more affordable each month if you’re still fairly young and healthy.
Also, the sum assured (pay out amount) could be enough to cover more than just the cost of your funeral.
On the other hand, a funeral plan could be ideal if you’re specific about the funeral you want to have and how much it should cost.
There’s also no uncertainty about how much you’ll pay because funeral plan prices are fixed.
If your budget allows, you could have both forms of protection in place simultaneously; a funeral plan to ensure your funeral is organised and paid for in advance, and a life insurance policy with a cash sum pay out.
For a more detailed comparison, head to our life insurance vs funeral plans article.