Funeral Insurance

Sandra_Edwards

Hi, I am 53 and I want to take out a funeral plan. I have been on the web but am at a total loss at which is the best one! Can anyone guide me please?
Thanks
Sandra

Mojisola

You're very young to be thinking about a funeral.

Sandra_Edwards

Really? I thought if I started now the payments will be lower?

agrinnall

Why not just put the payments into a regular saver and build up a nest egg that can be used for funeral expenses, and might well have enough in it for you to spend money on other things while you are still alive?

McKneff

Sounds pretty sensible to me . We do exactly that

We could live to a ripe old age....

[Deleted User]

Sandra_Edwards wrote: »

Really? I thought if I started now the payments will be lower?

Funeral plans are fixed price - albeit, increasing in cost over the years. So you pay £x today, and then when the time comes, whether tomorrow or 50 years, you get the funeral you paid for.

There's not a huge amount of difference between the scheme these days - I don't think any of them cover disbursements for example. The main thing to look for is stability - ie is the money held in trust, so that even if the company goes under, the funds are still there.

Perhaps start with your local FD and see what scheme they belong to.

forgotmyname

I agree we are starting funeral plans this year. FIL took one out and paid something like £1800. After he paid that he took one our for the MIL only a year or two later and it was £2200. My step dad passed away last year and it was over £3000.

If you take a plan out today there is nothing more to pay so the sooner you start it the better.

forgotmyname

Best one? The cheapest as long as the money is protected?

Or a local company that have been there for years.

Mojisola

Some advice here -
http://www.moneysavingexpert.com/family/prepaid-funeral-plans

Which? magazine used to have a review online for free but I can't find it now.

Weighty1

Deleted_User wrote: »

Funeral plans are fixed price - albeit, increasing in cost over the years. So you pay £x today, and then when the time comes, whether tomorrow or 50 years, you get the funeral you paid for.

There's not a huge amount of difference between the scheme these days - I don't think any of them cover disbursements for example. The main thing to look for is stability - ie is the money held in trust, so that even if the company goes under, the funds are still there.

Perhaps start with your local FD and see what scheme they belong to.

The majority of them DO cover disbursements, at least on all but the most basic of plans. Some also increase the disbursement fund by 3.25% annually, others just in respect of investment returns, without any guarantee.