Can you pay for your funeral before you die?

Yes, you can pay for your funeral before you pass away. One popular way to do this is with a prepaid funeral plan.

A funeral plan is a safe and easy way to set money aside for your funeral and ensure that your loved ones are protected from costly funeral fees when the time comes.

As the average cost of a basic funeral is now more than £4,100 it’s important to plan ahead and be prepared for the unexpected[1].

Contact Reassured’s specialist funeral plan team today for your free, no-obligation funeral plan quotes.

Prices start from as little as £19.11* a month.

Or, continue reading to learn more about prepaid funeral plans as well as other ways you can pay for your funeral in advance.

How does a funeral plan work?

A funeral plan allows you to plan and pay for your funeral in advance.

It includes elements such as funeral director services, a coffin, transport, cremation or burial fees and everything else needed for a final farewell.

You pay a fixed sum in advance for your chosen funeral plan and your essential services are locked-in at today’s prices.

When the time comes, your loved ones would just need to make a single phone call, and the appointed funeral director will take care of everything.

They’ll carry out your funeral as per your plan and your loved ones won’t have to cover the cost.

Is it worth paying for your funeral in advance?

Yes, for many people it can be worth paying for a funeral in advance with a funeral plan.

Whilst there are other ways you can cover the cost of a funeral, such as with a life insurance policy or savings, a funeral plan has additional benefits.

These include:

Lock-in today’s prices and avoid rising funeral costs

Funerals are getting more and more expensive every year, with prices rising faster than inflation. Since 2004, the average cost of a basic funeral has risen 128%. A funeral plan allows you to pay today’s prices for your key funeral services, ensuring your loved ones are protected from any future price hikes.

Plan the details of your funeral and reduce stress for loved ones

A funeral plan helps to protect your loved ones from the stressful and upsetting process of arranging your funeral. You can also fully personalise your chosen plan to ensure that your final send-off is carried out according to your wishes.

Key funeral services guaranteed

Unlike a life insurance policy or savings, a funeral plan will guarantee to cover the cost of your chosen funeral services when they’re needed. Once your plan has been paid in full, you can have peace of mind that no matter what happens, your loved ones will be protected.

Protect life insurance and/or savings

Having a funeral plan in place will ensure that your loved ones receive a larger inheritance from your estate when you pass away. This is because they wouldn’t need to use funds from a life insurance policy, savings or other means to cover funeral expenses (which may have risen by the time your funeral takes place).

Flexible payment options

You can choose to pay for your plan in full, for immediate cover, or you can spread the cost in monthly instalments over a short or long term period, whichever option suits your budget.

Cost of funerals infographic

How much is a prepaid funeral plan?

Funeral plans arranged through Reassured cost between £3,020 - £4,170 depending on what’s included in each plan.

You can choose to pay upfront in full (one single payment) or you can spread the cost from just £19.11 a month**.

Funeral plans arranged through us cover all the key services for either a traditional cremation or burial funeral.

Contact Reassured to learn more about the different options we have.

We can discuss your needs and budget, before getting you personalised quotes for the most suitable plans.

Is it safe to pay for your funeral in advance?

Yes, it’s safe to pay for your funeral in advance, as long as the funeral plan you buy is approved by the Funeral Planning Authority (FPA).

FPA registered providers must keep their funeral plan customer’s money secure in an FCA regulated life insurance policy or independent trust fund.

This means that your funeral plan payments will be managed carefully until the funds are needed to cover your funeral.

In the unlikely circumstance that the provider went out of business, the FPA will ensure that you receive the funeral services you paid for.

All funeral plans arranged through Reassured are fully FPA approved, so you can be rest assured your investment is protected.

How else can you pay for your own funeral?

Alternative ways you could make financial provisions for your funeral include:

  1. Life insurance
  2. Your estate
  3. Savings account

1. Life insurance

Life insurance is a type of policy that pays out a cash lump sum to your loved ones when you pass away, in exchange for a monthly premium.

People who are looking to specifically cover their funeral expenses are likely to opt for an over 50s plan or whole of life insurance policy.

Both forms of cover would provide a guaranteed pay out in the event of your death, unlike term-based policies.

However, depending on your personal circumstances and the type of policy you choose, you may not be able to secure enough cover to pay all your funeral related costs.

And, unlike a funeral plan, a life insurance pay out isn’t safeguarded against inflation or rising funeral costs.

Over 50s plan Whole of life insurance
A fixed guaranteed pay out up to £25,000 A fixed guaranteed pay out up to £1,000,000
Guaranteed acceptance UK residents aged 50-85 Medical information required on application
Ideal for applicants with pre-existing conditions who are unable to secure other types of cover Ideal for applicants in later life and in good health
Waiting period of 12 or 24 months before you can make a claim on the policy No waiting period, cover is immediate
Can be written in trust to avoid probate Can be written in trust to avoid probate
Premiums from 20p-a-day through Reassured Premiums from 27p-a-day through Reassured


If your policy isn’t written in trust, then the pay out may be used for other things, rather than what you intended.

Writing your life insurance in trust means signing your policy over to a trustee who’ll manage the policy pay out on your behalf when you pass away.

Benefits of writing in trust:

  • Avoid probate for a faster pay out
  • Reduce inheritance tax, (40% on everything over £325,000)
  • More control over the distribution of pay out

Reassured can help you write your policy into trust, free of charge.


2. Your estate

Without a funeral plan or life insurance policy in place, your funeral expenses could be covered by your estate (any money, property and possessions you have).

In most cases, your loved ones would need to wait for probate to be granted (when your estate and assets are legally distributed) before they can recover the funds for the funeral.

Probate can take between 6-9 months, sometimes longer, following your passing.

This means the person who’s arranging your funeral would need to pay the upfront cost to the funeral director until probate has passed.

However, if your estate is small and/or you have outstanding debts to pay (which would take priority over funeral costs) then there may not be sufficient funds remaining for them to claim.

With a funeral plan, you can have peace of mind that your key funeral services are paid for in advance and your loves ones won’t be left out of pocket.


3. Savings account

A common way to make financial provisions for your own funeral is to set money aside in a savings account.

The sensible thing to do is to make sure there are sufficient savings in a joint bank account that you share with a close relative.

They can access the funds to help cover your funeral expenses when the time comes if there’re no other finances available.

If you’re the sole account holder, then the person who needs to find the money for your funeral may run into a few roadblocks when trying to access your savings.

For example, some banks won’t release any funds until probate has been granted (as your bank accounts are considered as part of your estate).

Other banks may release the funds sooner, but they’ll ask to see a death certificate and possibly an itemised funeral bill.

When a funeral needs to be arranged within several weeks, your loved ones may have to stump up the money in the meantime, adding more stress to an already difficult time.

Whether you have personal savings or not, it’s sensible to consider a funeral plan which can:

  • Lock-in your funeral costs
  • Give you control over how much is spent on your funeral
  • Give you peace of mind that your funeral is already arranged

Prevent your savings from being used to pay for the funeral.

Compare quotes for funeral plans or life insurance

You can pay for your own funeral with a prepaid funeral plan or take out a life insurance policy so that your loved ones receive a cash lump sum to cover the costs.

The option that’s best for you will be determined by your individual circumstances, and your budget.

It’s possible to take out both a funeral plan and a life policy to serve different purposes - a funeral plan to beat rising funeral costs and life insurance to leave behind an inheritance.

Funeral plans arranged through Reassured come with flexible payment options so that you can spread the cost from just £19.11 per month.

All our plans are FPA approved so that your money is kept safe until your funeral services are needed.

Compare quotes for both life insurance and funeral plans using our award-winning service today.

We look forward to helping you save money!

Sources:

[1] SunLife (2021), Cost of Dying Report, sunlife.co.uk/costofdying2021

*£19.11 per month pricing includes a £75 discount only available to Co-operative members and is based on a 50-year-old purchasing a Co-operative Simple Funeral Plan at £3,020 over the maximum term available of 25 years (total amount repayable £5,733.40) as of 1st March 2021

**If choosing to pay by monthly instalments, your age will determine how long your payment period will be, as a maximum age limit applies. If you choose to spread the cost for a period of more than 12 months, then additional fees will apply

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Our Providers

At Reassured, we will provide you with quotes from Co-op Funeral Care.

All of the funeral plans we provide are fully regulated by the Funeral Planning Authority (FPA) ensuring you and your money are protected.

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