Burial Insurance and Suicide
Does life insurance pay for Burial Insurance? As the cost of a funeral continues to rise, so you may feel that it becomes more and more important to make sure that your funeral is paid for; you don’t want to leave your dependents with this additional concern at what will be a hard enough time for them anyway.
If you opt to take out burial insurance then this should provide enough money to pay for your funeral when you die. But what happens if you commit suicide, are the costs still covered?
First, what is burial insurance?
If you want to make sure that your funeral costs are covered then you may want to consider burial insurance as an option. It’s basically a simple form of life insurance that is intended to provide for the expense of a funeral rather than for all ongoing costs when you die. Generally, burial insurance is available to people over the age of 40-45, depending on the provider.
The good thing about burial insurance is that you don’t have to undergo a medical to be approved and that it’s available, at graded levels, as you get older. Funerals are becoming more expensive as the year’s pass; burial insurance is a way of you ensuring that this cost is met.
What does burial insurance cover?
Burial insurance is insurance that provides for a smaller death benefit to be paid out than normal life insurance, the payment can be used by the beneficiary in any way they please. There are other forms of insurance that can be used to pay for your funeral, such as preneed funeral insurance which can be linked to a funeral provider, either directly or indirectly, and which is paid in installments. There is also final expense insurance which is not linked to any funeral provider and which tends to be cheaper than preneed funeral insurance.
Are you covered under these policies if you commit suicide?
There are exclusions to most insurance policies and these types of policies can include exclusions which refer to suicide. You need to check these exclusions before you apply for the policy.
The problem is that when you apply for the policy in the first place you probably won’t be doing so with the intention of committing suicide so it’s unlikely that you will be looking for that specific exclusion. You may want to consider all eventualities when you apply for any type of funeral cover just in case, however unlikely the eventuality may seem at the time.
In doing so you may be saving your family from an awful lot of heartache at what will be a difficult time anyway. It’s always hard for those left behind when someone commits suicide and it’s likely that they will need all the help they can get.
In addition to getting this help and support, it’s a lot easier if you have made sure that they will be able to access financial help towards the cost of your funeral.