Author Box
Articles Categories
All Categories
Articles Resources

A Few FAQs About Funeral Insurance

February 28, 2012 | Comments: 0 | Views: 158

The main reason behind subscribing for funeral insurance among the minds of various people is not to give financial trouble to their loved ones in case of their death. Funeral plans give peace of mind and allows you to relax. Your family will have sufficient funds to cover your funeral expenses in case of your death. Read on to know a few FAQs about Funeral Insurance.

What is included in the funeral coverage?

Only accidental deaths are covered in the first one or two years. People need to read the terms and conditions of the insurance policy before subscribing to any plan. It offers protection after the two years for any type of death including death due to illness, provided you are paying the premiums regularly.

What is the period for accidental death?

Accidental deaths can occur due to external violence, caused by vehicles during travel, drowning in water and other means. Deaths due to illness are not included in accidental deaths. Funeral insurance offers protection either 12 months or 24 months depending on the choice chosen by the policyholder. After the preliminary period, it covers all types of deaths as long as the insurer receives the regular premiums.

What is the difference between level and stepped premiums?

Policyholders are obligated to remit premiums up to the age of 90 in both cases. Stepped premiums are computed annually. Policyholders need to pay lower premiums during the initial period. The stepped premiums will go up as the year's progress. On the other hand, the level premiums are more than the stepped premiums, but will not go with passing years. They are bit higher than the stepped premiums in the initial period and are computed based on the age.

Will the premiums go up forever?

Premiums will be increased for all of the policies including group polices, if there is an increase in the premium rate. The insurers will inform you thirty days in advance. You will not be singled out. The increase is to facilitate for rising costs over the years. We should understand that cost of all articles will go up with rising inflation. Therefore, the insurers have to provide sufficient cushion to include all such rising costs.

Will I be eligible for a refund if I cancel my funeral insurance policy?

Some of the insurers will allow refund within 30 days of receipt of the funeral insurance policy. They will not allow any refunds after 30 days of activation of the policy.

Funeral insurance

Source: EzineArticles
Was this Helpful ?

Rate this Article

Article Tags:

Compare Life Insurance Quotes Australia

Auto insurance is probably one of the most expensive insurance types in Canada. An average car insurance policy in Canada costs approximately $1,200 per year and in Ontario, the largest Canadian

By: Alex Saltykov l Insurance > Car Auto l July 09, 2013 lViews: 553

Your house is often your largest investment that you need to protect via insurance. We created a list of multiple savings tips related to Home insurance and hope that these will help you to save a

By: Alex Saltykov l Insurance > Home Owners Renters l December 27, 2012 lViews: 380

Most auto insurance companies design specific car insurance policies for classic and antique cars. If you think you have a classic car and want classic car insurance, you will need to be sure that

By: Richard l Insurance > Car Auto l October 17, 2012 lViews: 570

Business Overhead Expense Insurance Plans can provide cash flow to the business in the event of a disability to a key employee or owner. For a small, growing company it might make the difference

By: T. Spencer White l Insurance > Disability l July 17, 2012 lViews: 243

Workers compensation costs are rising. According to a recent report by the Workers Compensation Research Institute (WCRI), indemnity costs per claim (the loss of earning capacity, payments for lost

By: Kelly C. Williams l Insurance > Workers Compensation l July 08, 2012 lViews: 221

One of the most helpful government programs out there is the SSI Disability program. A person that is legitimately disabled, and cannot work to provide an income for themselves for their family

By: Oleg Winter-Burnett l Insurance > Disability l July 04, 2012 lViews: 282

People insure their lives in order to protect their loved ones and their estates. They want to purchases policies which offer the most protection at the least possible costs. They also want coverage

By: Anissa Williamsl Insurance > Life Annuitiesl June 13, 2012 lViews: 179

A lot of people like to avail of educational insurance packages and medical insurance packages for themselves and for members of their family. However, a lot of people are still somewhat allergic to

By: Joanna Stevensl Insurance > Life Annuitiesl June 13, 2012 lViews: 162

Life insurance helps you feel comfortable in facing the future. It helps you worry less about the problems that are yet to come. It is simply a pact between the company and the client. The latter

By: Russell Whistlerl Insurance > Life Annuitiesl June 12, 2012 lViews: 198

Life insurance is usually meant to provide a financial cushion for the bereaved when their breadwinner dies. It comes in two main types; term and permanent. The former is widely preferred by most

By: Anissa Williamsl Insurance > Life Annuitiesl June 12, 2012 lViews: 216

Of course there are several ways to pay for final expenses. The decision on which method to use is based on a few factors, two main ones being your finances and your health.

By: Philippe Derayl Insurance > Life Annuitiesl June 11, 2012 lViews: 268

The typical size of income that retirees can expect from their pension fund has plummeted in recent years and some figures suggest that women are worse off than men. One recent study showed that

By: John T Hughesl Insurance > Life Annuitiesl June 11, 2012 lViews: 184