5 Reasons Why You Should Buy Life Insurance to Cover Funeral Costs
You may already have life insurance in place to cover any debts you may leave behind. What if you don’t? Or what if your current policy doesn’t include the amount of coverage that you need to pay off funeral costs and other expenses?
If this sounds like you, then it’s time to take action and buy life insurance to cover funeral costs so that your loved ones are taken care of if something should happen to you unexpectedly. Here are four reasons why you should buy life insurance to cover funeral costs today.
- Funerals are costly – avoid financial hardship
Like it or not, funerals are expensive. Even a modest funeral can cost up to $10,000 and that’s just for starters. From caskets and burial costs, to limousines and flowers, everything adds up. And with many families dealing with both unexpected expenses and overwhelming grief at once, it is easy for financial worries about funerals to become buried beneath more important issues of financial loss.
That’s why life insurance becomes one of your most valuable assets during these difficult times for your family – especially if you want to leave your family a reliable source of income even after you are gone.
- Give yourself and your family the peace of mind
You would obviously want to secure your family’s financial future even in your absence.
With life insurance, it’s possible for them to receive a lump sum amount of money cover funeral costs and allow them to move forward with their lives without financial stress.
Getting coverage can also provide you with the peace of mind knowing that your family will have what they need should something happen to you.
- Save for more important things
Think about how much it would cost to cover funeral costs in your state (you can look up average costs by city here). If you have a spouse or kids, you’ll probably want to make sure they’re taken care of financially, which means your funeral expenses could eat into their inheritances.
A life insurance policy covers your final expenses and helps ensure your family doesn’t go into debt paying for them. That way, they can use their money for other important things – like college tuitions and starting over.
- Live in accordance to your beliefs
There’s no better way to express love for a deceased loved one than by ensuring their funeral will be taken care of. Getting life insurance is as simple as getting an annual check-up, so make sure you look into it and don’t put it off.
Also, buying a policy now means that you won’t have to worry about your family struggling financially if you die prematurely—if your finances are already in order and you have enough savings or income from investments or a second job, there’s no reason not to get a policy today. It takes just minutes to purchase online and may cost you less than $30.
Talk to our advisors to get a quote today.
- Tax Saving
When you buy life insurance, your beneficiary receives a tax-free death benefit. In addition, life insurance can also be used to pay any debts after your death. This is possible because death benefits are usually not taxable for those who purchased life insurance policies with cash value.
Keep in mind that if you borrowed from your life insurance policy and then later died, there may be taxable earnings on these benefits depending on how much you owed compared to how much was paid back before you died.