A survivor’s to-do list includes everything from searching for insurance documents in old papers and making long phone calls to access bank accounts, to deciding which funeral home to use and how to accommodate out of town guests. Here are some parts of the process that can be discussed and budgeted for many years in advance—in order to protect your own emotional and mental health, as well as your family’s. These kinds of policies are useful because there’s no waiting for an estate to be settled or for a final death certificate to be issued. However, it is worth considering whether or not you actually need burial insurance at all. At the going rate of $7,000+, many healthy people find that, at a certain point, they’ve paid more in insurance premiums than the actual payout. So it is worthwhile to review these expenses periodically, and to decide if there’s still a need. It is possible that saving that amount and establishing a joint bank account with trusted beneficiaries would actually be a smarter financial move. Otherwise, a payable on Death (POD) account is a wise alternative. Unlike a joint account, the beneficiary won’t be able to withdraw money before the death of the account holder. The account holder can also withdraw money any time before their death, treating it truly as an emergency fund. Brown also says that some states have specific agencies that assist people in entering into “pre-need contracts,” which allows an individual to lock in a rate for their funeral service and pay in advance. Pre-paid funeral plans can extend to everything from land plots to burial arrangements, from florals to car services. But it is important that heirs are aware that these plans have been made and it is worthwhile to shop around for the best prices before locking in such an agreement. Josh Slocum, executive director of the Funeral Consumers Alliance, told AARP that “some prepaid plans can actually cost you more in payments over time than the amount they’ll pay out on your funeral.” He also says that most people don’t bother to shop around for low costs but go with the “funeral home closest to them, or the one their family has always used.” With the benefit of time, families can jointly plan in ways that keep everyone informed and save everyone money over the long haul. RELATED: Should You Pre-Pay for Your Own Funeral as Part of Estate Planning? There are a number of upsells that the FTC warns against, including embalming and expensive caskets labeled as “protective” or “sealed.” Both may imply that the body is preserved indefinitely. The fact is that embalming isn’t required in many states, and if the funeral is soon after the viewing, then it isn’t really necessary. Caskets are true money makers for most funeral homes, which sell mahogany and other adorned versions that might tug at a person’s heart strings. The FTC states plainly, “No casket, regardless of its qualities or cost, will preserve a body forever…The Funeral Rule forbids claims that these features help preserve the remains indefinitely because they don’t. They just add to the cost of the casket.” These days, funeral homes are obliged to work with families that choose to purchase a casket from an outside vendor. Most people don’t realize that Costco and Trusted Caskets, for example, offer top of the line designs at a fraction of retail costs. Today, there are other options that aren’t necessarily cheaper, but might be your preferred way to honor the person who has passed on. Aquamation became popular after Bishop Desmond Tutu decided to do it; it’s a relatively new technique in which the body is placed in a tight water chamber with around 100 gallons of water and alkaline chemicals. The chamber is heated, which turns the soft tissues into water and the bone into sand-like material. This process is thought to be more environmentally friendly than other methods. According to Republic World, the average cost of Aquamation is $2,000 to $3,000, much less than the cost of a conventional funeral. Also, human body composting is growing in popularity in places like Colorado, Oregon, and Washington state—where the process is legal. Some families might not have to pay for funerals of any kind, because they’ve decided to donate the body to science. This can happen through an agreement with local medical schools and research institutions, but arrangements should be made in advance and cremated remains typically take months, not years, to be returned to families. According to its website, Science Care offers no-cost cremation for those who donate their bodies to science through their program. And Biogift’s website also explains its practice. Although these options are free, they can be hard to agree to at the height of grief. So, it is best to discuss these choices well before the time comes to need them.
