Life Insurance and Final Expenses
Funeral and Burial Costs are Rising
It is a challenging and emotional process to deal with end-of-life affairs. While it may be important to celebrate the life of your loved one, it can also be a financial burden. From 2020-2021, the cost of some funeral supplies, like caskets, grew almost 30 percent. Today, the national median cost of a funeral and burial is $7,848, an increase of almost eight percent over the last five years. The median cost of a funeral and cremation has increased almost 12 percent over the same period.
Many people try to plan ahead to cover the cost of their end-of-life affairs with a life insurance policy. But with rising funeral costs, the initial policy may no longer be enough to cover it. Policyholders need to make sure that their final expenses will cover this rising cost by doing an insurance review with their local agent.
Why Do Funerals Cost So Much?
Loved ones planning a funeral have many choices to make. If end-of-life services have not been detailed ahead of time, costs can escalate quickly. What type of casket will they be buried in? Will there be a viewing in addition to a ceremony? Will there be a headstone, a grave marker, or a vault? Grief can often hamper one’s ability to choose, and a desire to feel like the loved one is properly honored also can come into play.
Itemized Funeral Costs
According to the National Funeral Directors Association, here are the median prices of some common funeral expenses:
- basic funeral service fee: $2,300
- casket: $2,500 for metal; $3,000 for wood
- funeral home fees: $1,150
- embalming and body preparation: $1,050
- funeral ceremony: $925
- transportation: $825
Review Your Life Insurance With Your Farm Bureau Insurance Agent
Coping with loss is difficult, and a threat to financial security only amplifies their grief. To avoid leaving your loved ones with debt, call your Farm Bureau Insurance agent today to go over your current policies. They will help you confirm whether or not they are adequate to cover your final expenses. Start by contacting your local agent by using our Agent Finder.