Funeral insurance
Funeral insurance works in a similar way to other insurance policies you’re likely to already have.
You choose how much money you would like your policy to cover, and pay a series of regular premiums to cover that amount.
The person you choose as your nominated beneficiary will receive the sum insured (or, in our case, the amount you have paid in premiums if that is greater than the sum insured) in the event of your death.
The money paid out can then be used to pay for anything including your funeral and any other related expenses.
Pre-paid funeral plans
Pre-paid funeral plans work slightly differently. With a pre-paid plan, you’re effectively paying for your funeral in advance. You can choose what your funeral will involve too.
The costs of these plans are generally fixed and it can be difficult to change your plan after commencement. Terms and conditions vary and you should carefully consider the terms of your plan.