How Much Does A Funeral Cost?

According to the National Funeral Directors Association (NFDA), the average cost of a funeral with viewing and burial in 2019 was $7,640.¹This includes transfer to a funeral home, embalming, and hair and makeup styling. It also includes a viewing ceremony and the accompanying memorial materials, such as programs and cards, as well as use of a hearse, plus burial.

Additional Funerary Costs

However, this national average price does not include many other aspects of a funeral service and related final costs. These include cemetery costs, such as a vault, a marker or memorial.

The median average also does not include the costs of flowers, publishing an obituary, or providing a reception. Nor does the average cost include the cost of a casket (including a rental casket in the case of a cremation) or urn, or the interment costs associated with cremation.

When these costs are included, the average price of a funeral climbs to $10,000 or more.

How funeral expense insurance helps

Funeral expense insurance provides assurance that your family will not need to struggle to come up with the money for these expenses. That’s because you have provided for these costs to be covered through your policy.

With funeral expense insurance, your family and loved ones can focus on supporting each other, instead of worrying about finances. An added benefit is that you can ensure your wishes will be carried out, because you have safely provided for them.

To take out a final expense policy, you’ll first fill out an application. Once you’ve been approved, your policy will lay out the terms of the premiums you will pay, as well as the death benefit to be paid out to your named beneficiary.

The beneficiary of the final expense life insurance policy receives the death benefit when the policyholder passes away. This death benefit can then be used to pay the funeral home for mortuary services, a casket or urn, or any other costs. It may also be applied to outstanding bills from a doctor, hospital, or other medical provider, legal fees, income taxes, or any other expenses as needed.

The premiums you’ll pay for your policy will likely depend on several factors, including:

• Age
• Health
• Amount of benefit

They may even vary depending on gender and tobacco use, if any.

Your insurance broker will be able to help you tailor a funeral insurance policy to your needs and budget.

What does final expense insurance cover?

So what exactly does final expense insurance cover? The death benefit paid out by this policy can be used for a wide variety of end-of-life costs, such as:

• Mortuary services, including embalming and cosmetology
• Use of a funeral home for viewing or visitation
• Funeral
• Use of a hearse for transport
• Casket or urn
• Burial, cremation, interment
• Cemetery vault
• Memorial
• Grave marker
• Flowers and wreaths
• Funeral reception and catering services
• Obituary

Final expense insurance can also be used to pay taxes, including income taxes, real estate taxes, or other taxes. Beneficiaries also use the death benefit to pay final bills to doctors, hospitals, care providers and medical centers, or to lawyers in the case of legal fees.

Essentially, any costs not otherwise provided for can be paid with the benefit from a final expense payout. It’s truly flexible.