What is a funeral plan

Many people worry about how their family will pay for a funeral when they have gone, and quite rightly it seems, as funerals aren’t cheap. Recent research* found that the average cost of a funeral with burial is just over £4000, whilst cremation is around £3000.
Prices also vary massively across the UK, with your postcode making a major difference in the amount you pay for both the funeral ceremony itself, the burial plot and the cremation. This is why many people are now considering taking out a funeral plan.
Funeral plans are a way of paying for and arranging your funeral before you die, giving you and your family peace of mind that costs are taken care of and that your final wishes are being carried out.
You can either pay a lump sum or in instalments to a funeral plan company over a certain time period, who will invest that money either into an investment trust fund or an insurance policy. Then, when the time comes, your loved ones can claim on the policy to pay for the funeral and fulfil your final wishes.
What plans include can vary greatly. Some will cover burial plots and include cremation charges, others will not. Some funeral plans will have a limit on the amount of money it will pay out for funeral costs while others will pay for all of the costs, again depending on how much you paid into the plan.
What is really important when taking out a funeral plan is that you know exactly what it is you’re paying for. Check the details of a plan and let your loved ones know what kind you have in place, and what it will cover when the time comes.
When comparing funeral plans with Protect Your Family we give you a range of choices, such as the type of coffin you would like and whether you would like limousines in the plan to travel with the hearse, as well as many others. That way, you can compare plans to ensure that the one you are taking out will pay for the send-off you want to celebrate your life.
Looking to compare? Click here to start saving.