Funeral plan

lor6126

Hello I am currently thinking of taking out a bankruptcy motion and stepchange has asked for details of insurance policy’s etc. I have a prepaid funeral plan I am paying up. Can they make me cash this in? I’m terrified of dying and leaving my family with no way of burying me. It is a simple cremation plan which will have no money left over ? 

TripleH

Does the plan have an 'early redemption clause' (yes, I know that sounds a strange question). Ie can it actually be cashed in an used for anything but a funeral?

I assume it has not other purpose but to pay for a funeral and has no other value?

sourcrates

I don`t think they can be cashed in, its not their intended purpose is it.

My understanding is they can be exempted from your bankruptcy, you would need to talk to the OR.

Push comes to shove, your local council will do the honours for free, so I really wouldn`t worry about it.

lor6126

Unfortunately the council as far as I am aware wouldn’t fork out for the funeral unless the person arranging it was unable/unwilling to pay. I only have one daughter and would hate to leave her with that responsibility.
I have checked my policy and the terms say that it can be cancelled subject to a cancellation fee. I cannot however find any documentation to say whether the OR would insist on this.