Life insurance and the subject of funeral costs can be a difficult subject for many people to discuss. Even if you are in the best possible health, the idea of final expenses and making plans for your funeral is something that many people want to put off for as long as possible. But discussing your final wishes with your spouse or family members is a good way to ensure they the information needed to ask funeral directors the right questions while making plans. Do not be afraid to inquire about prices. By law, all funeral homes are required to provide the public with a general price list for the services they offer.
Planning for Your Financial Future with Life Insurance
When you are planning for your financial future, your final expenses may not be at the very top of your list of things you need to take care of. But understanding how much your planned funeral will cost can be a great advantage when it comes to choosing the right life insurance plan and setting aside enough money to ensure your loved ones aren’t faced with debt.
Life insurance is a necessary part of a strong financial plan. But if you are unsure about where to start, here are a few simple steps you can follow to help protect your family’s finances after you are gone.
Obtain a Needs Assessment
The first step is to get a needs assessment from a reliable broker. They will help you determine the financial impact your family will endure in the event of your death. This impact will fluctuate as the years go by, so it’s essential to review these details often. Your age, your children’s age, your job, and other factors will change over the years, and that will cause your needs assessment to change as well. Needs assessments are crucial because they help guarantee you are not paying too much for your life insurance coverage. This process can help you get the right policy you need with all riders in place.
Learn More About Your Options
Talk about your financial options with your broker. Whether you are looking at a fully underwritten policy that delves into your personal and medical history, or a simple non-medical issue that anyone is eligible for, you must learn what all your options are. That will help you better understand what will work best for your family’s financial future.
Term life insurance, for instance, is a temporary solution to a very permanent problem. It would not be a viable solution for anyone who is considering funeral expense planning.
Permanent insurance, however, is the ideal option that will ensure your family receives the right financial assistance after you pass away. Your loved ones will be guaranteed to receive your life insurance benefits with the option.
Decide on the Type of Funeral You Want
Look into all your options and decide on the type of funeral and services you want and its cost. Talk about your decision with your family, and be sure to update your will with your choices. When you pass away, your loved ones will have all the details they need to carry out your final wishes, whether you want to be cremated or buried in a full cemetery. They will also know the will follow through with your requests. Planning and researching funeral costs can also help you prepare for your financial future because you will know precisely how much life insurance to take out to cover the expenses.
Those looking for the most affordable options in terms of funeral costs should consider cremation. This option is often less expensive than a traditional funeral service depending on the type of cremation and service options you choose.
What is the Average Cost of Cremation?
The average cost of cremation in Canada will cost a quarter of the burial price in general terms. A basic cremation without a service included can cost as little as $600. When you add a service and extras such as an obituary, viewing, and flowers, the average amount rises to $4,500. Keep in mind that the average cost of a cremation and service will vary based on the province and area you are in. For example, the price for basic cremation in Quebec is around $587, but in Vancouver, it can be as much as $995 and even $1,400 in Toronto. As basic cremation services are becoming higher in demand, more funeral providers in Canada are competing, and many are lowering their prices. Therefore, researching the cost of cremation in your specific area is essential when deciding on the right life insurance policy.
How to Arrange an Affordable Cremation in Canada
These days more people are learning about the process of cremation and how much more affordable it can be compared to other burial options. Direct cremation has become one of the most popular choices for those interested in final expense planning. The deceased is collected and transferred to the funeral home or crematory for immediate cremation or after a brief family viewing with direct cremation. The remains are later returned to the family in a standard urn a few days later. It is the most affordable option for a funeral, and it is easy to arrange. If the family wishes to arrange their memorial service for the deceased, they are free to do so later. This option allows the family members to have more control over the memorial service instead of paying a funeral home to make the arrangements for them.
How Important is the Cost of Cremation Regarding Funeral Planning?
The cost of cremation is an incredibly important factor in funeral planning and determining final expenses. It is highly recommended to consider all the options available to you while you are planning a funeral. Speak with local funeral providers and compare costs for the various services they offer. This way, you will have more control over the total cost of your final expenses and will not leave your family with a debt to pay. Taking the time to research this subject gives you the amount of life insurance benefits you have set aside for your burial and the amount of your benefits set aside for debt or ongoing expenses.
Now that you have a better understanding of the costs of cremation and other final expenses, it is important to consider how you can ensure your family isn’t left with the financial burden after you pass away. Our team of licensed professionals at Hometown Life Insurance have the knowledge and experience to help you find the right insurance for your specific needs. It is easy to get in contact with us and we can’t wait to be working with you to ensure peace of mind for you and your family.
