Death insurance


A funeral insurance is a policy intended to cover the expenses and develop the procedures for the insured's burial, for the respective burial or incineration of their mortal remains.

That is, when contracting this type of insurance, the insurer is responsible for paying the expenses of the burial or cremation of the deceased, and also carries out the management of procedures such as obtaining the death certificate.

It should be noted that if the insured capital is greater than the total funeral expenses, the insurer must return the surplus to the corresponding beneficiaries or heirs of the deceased.

On the other hand, if the insured capital is less than the expenses incurred, the shortfall must be covered by the relatives of the deceased.

At this point, we must remember that the insured capital, in the insurance world, is the maximum amount of compensation in the event of a claim (which in the case of this article would be death). This amount is the product of the agreement between the insurer and its client.

Funeral insurance features

The characteristics of funeral insurance, which make it different from other types of insurance, are the following:

See Types of insurance
  • It is usually contracted in family groups (coverage is offered to all family members through a single policy), although it can also be contracted individually.
  • The cost of the premium may vary depending on the city or region where the burial will take place, because costs vary from place to place.
  • After a certain age of the insured, the cost rises. Well, the older the insured, the greater the risk of death.
  • An additional sum can be added to the insured capital, which, by decision of the deceased's relatives, can be used for extraordinary expenses, for example, the catering service of the funeral service.
  • The policy can be canceled in several payments or in a single amount.

Additional coverage of funeral insurance

Some additional coverage of funeral insurance are:

  • Legal advice.
  • Forensic service.
  • Transfer of the insured's mortal remains to where the burial or cremation will take place. This, within the national territory or through an international trip (repatriation of the body). In other words, the transfer to a site previously agreed upon and which is different from the place where the insured usually resides can be contracted.
  • Continuing with the previous point, the transfer of the companions of the mortal remains can be contracted.

It should be noted that, depending on the additional coverages, the price of the policy will vary. For example, the greater the distance the body must travel in the transfer, the higher the cost of the service.

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