What is Burial Insurance?

Many people consider what is known as burial or pre-need insurance. It can be used to pay for burial expenses in the event that your loved one dies. This life insurance is usually required to be purchased in a lump sum. If this is the case payment plans are sometimes available depending on what options you choose with the policy.

Many times small life insurance policies are available for lower amounts of money and those can be used to pay for burial and funeral expenses. You need to discuss your burial wishes and requirements with your spouse or some other family member.

Several states, concerned about potential abuse in burial insurance, have passed requirements on these burial insurance policies. It’s wise to check what the requirements are in your state. I would consider all of your other life insurance options before purchasing a specific burial policy however.

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