Prepaid funeral expenses

[mommyof4]

Do any of you have a prepaid funeral insurance policy? I've never thought about purchasing one (I haven't seen them leave anyone above ground yet), but after having made funeral arrangements for my MIL over the past day or so, I'm wondering if I should check into it. My MIL did purchase a funeral policy, and it looks like the 8K will cover all of the expenses associated with the funeral and burial, clergy stipend, etc.

What are your feelings about these policies? Any suggestions on where to find a reputable company?

Thank you.

[mrpaseo]

Set up a fund, save 50 dollars per month, forget about it... By the time you need it (Hopefully) there will be more than enough in the fund. I feel these are a rip off.

Ray

[Joan.of.the.Arch]

Don't know anything about such insurance except what I know about my grandmother's situation. She bought insurance to cover various services and materials up to a given dollar value. At the time she arranged it, the benefit covered the needs. But then she proceeded to live 50 more years and the dollar value hardly covered anything. The cemetery at which she had her plot had added expensive requirements over those years. When needed, her insurance was still there but nearly a joke, it was so paltry.

[mom-from-missouri]

My ex has prepaid his funeral. Even if prices go up, he is still paid for. He bought it through his local funeral home (and the funeral home owns the cemetery).
Every notice funeral starts with the word fun?

[snafu]

I'd be very careful if choosing a pre-paid plan. Will they still be in business in the distant future? Will you remain in your current location? Will the family will know who to contact and how to make arrangements?

DH and I have a note[codicil] added to our will which gives specific funeral & burial details as we don't want our siblings or children to make decisions based on emotion. BTW, its important to have a will no matter your financial state. We bought stationary store forms, completed the details and took that to a lawyer for review and notarize. Lawyer suggested the codicil and charged little... only the notary cost. We made copies and distributed to those who need them.

We haven't set aside specific funding as suggested by mrpaseo but that's an idea worth exploring after the holidays.

[mom-from-missouri]

Originally Posted by snafu

I'd be very careful if choosing a pre-paid plan. Will they still be in business in the distant future? Will you remain in your current location? Will the family will know who to contact and how to make arrangements?

Good points. However, I think he is safe in what he picked. It is a family owed one, in business since 1879 with the same family. The only funeral home in the town of 27,000+. And, since he is terminally ill, needless to say his time is ....short.

One thing to look for in a contract, is should the funeral home change hands, will the contract transfer? In my ex's case, it will (he gave me, the mother of 3 of his children a copy).

Also, in some states, I have been told that monies paid in a prepaid funeral are to be held in a trust by the funeral home until needed, although I don't know what states that is used in.

[segmond]

cremate and call it a day.

[cptacek]

Originally Posted by segmond

cremate and call it a day.

My grandma has already picked out her urn and pre-paid for the cremation. It is on the top shelf of her closet. Kind of macabre, huh?

[Johansen8]

I feel that it's essential to pay for final costs so my family left behind is not burdened with these expenses. I need to know if I have to report this as an asset to the SSA?

[snickols]

Having worked at a funeral home before and dealing with these pre paid funerals, I think that it is a great idea. You pay for the funeral at today's prices. Your money is safe, as the government has regulations that the funeral homes have to follow or they are fined . Each person's prepaid funeral has to be put in a trust so that if something happens to the funeral home, your money is still there. My grandfather died the day before Thanksgiving and I was telling my grandmother that they should have done the prepaid funeral plan.

[jIM_Ohio]

My grandmother died 2 weeks ago and her funeral was paid for long before she died. I don't know specifics... but I know her and my grandfather (he died in 1993) bought the policy and planning both funerals was easier on the family left behind.

Even if some of you think these things are a financial money pit, there are other more important things (like keeping things simple for the family).

BTW- Conrad Dobler slept in a casket one night to make sure it was comfortable. If anyone here has done something similar, I'd like to know which style you preferred.