How do pre-paid funeral plans work?

Suffering the death of a loved one is a highly-emotional experience, and the loss is difficult enough to process without also having the responsibility of organising and paying for their funeral. Pre-paid funeral plans are designed to lighten the load on your loved ones, both financially and emotionally, by giving you the chance to plan and pay for your funeral in preparation for the future.

While pre-paid funeral plans are a great way to give both yourself and your family peace of mind for when that time comes, planning your own send-off may seem daunting. Despite the overwhelming nature of the task, however, it can also be a worthwhile process for your own peace of mind to ensure you get the service you want, whilst taking the pressure off your loved ones. 

Whether your time is approaching or you’re simply looking to be prepared for the future, keep reading as we take you through how the pre-paid funeral plan works and the benefits it can have for you and your family.

What is a pre-paid funeral plan?

A pre-paid funeral plan is a way for you to pay in advance for the things you want to take place when the time comes, and this could be for either yourself or for someone else. Pre-paid plans typically cover most of the costs associated with a funeral, such as a coffin, a hearse, cremation,etc. However, most pre-paid plans do not include the cost of a headstone or the purchase cost of a burial plot. 

With the average cost of funerals continuously rising, choosing to set up a pre-paid funeral plan means that, when the time comes, those close to you will have less to organise and hopefully less to pay for. 

Pre-paid plans are a great option for those who want to take the financial burden off of loved ones and instead pay for their own funeral over time. Payment options may vary across different providers, but most commonly you’ll be able to pay for your funeral in monthly instalments to help spread the cost. However, there may be an upper age limit, often around 80 years, after which you would need to pay upfront.

How does a funeral payment plan work?

One of the biggest worries when it comes to planning a funeral is how to manage the cost. Pre-paid funerals allow you to pay for your funeral upfront or set up a payment plan that can spread out the cost of your future funeral over time. One of the major benefits of a Heart of England Co-op pre-paid funeral plan is that you pay the cost of what your funeral would be today, even if it is more expensive when it comes to the time of your death.

The money you put into a funeral payment plan is held in a trust or ‘whole of life’ policy, separate from your chosen funeral plan provider. This policy ensures that your money is protected and can only be accessed upon your death in order to provide funds for the funeral.

If you choose to go with our Heart of England Co-op Funeral Directors, we guarantee that your chosen plan will be delivered regardless of future cost increases. Once your funeral has been planned, we will explain the total costs, which will cover all of the options you have selected and there will be no hidden costs in your funeral payment plan.

To find out more about our Heart of England Co-op pre-paid services, head on over to our pre-paid funeral plans page and download our funeral plans brochure for more detailed information on the services we offer. 

Is it worth getting a pre-paid funeral plan?

While personal circumstances will always determine what is best for you, many people find comfort in knowing that when the time comes, all of their funeral decisions have been made and their family will be protected from unexpected costs. There are many benefits to a pre-paid funeral plan, both regarding cost and ease for your loved ones. The main positives to purchasing this type of plan include:

• Locking in the cost of your future funeral at today’s price, meaning that you are protected against any future price increases. 
• Taking the burden of paying for a funeral from your loved ones, so that when the time comes, your family can focus on grieving without the stress of affording and planning a funeral.
• Allows you to plan your funeral to be exactly how you want it. This not only means you can ensure the perfect send-off when you’re no longer around, but it also takes the pressure off your family to plan the perfect day.

If you choose to go with our pre-paid funeral plans here at Heart of England, your loved ones will have the option to pay for additional services or requests if that is something they wish to do.

What happens if the pre-paid funeral company goes bust?

If the company you have chosen to go with for your pre-paid plan goes bust, you will be appointed a new funeral director. Although this is very unusual and highly unlikely to happen, especially as all plan providers now are regulated by the Financial Conduct Authority, you can find reassurance in the fact that funeral directors do not get the money you have paid until the funeral has been provided. The money you put into your pre-paid funeral plan is protected by a ‘whole of life’ policy, meaning that if this were to happen, your money and funeral plan would be protected.

Get support from our team at Heart of England Co-op Funerals

If you’re interested in setting up a pre-paid funeral plan, or simply want to know more about which plan may be best for you, book an appointment to discuss your options with our funeral directors today. We take the trust you place in us seriously, so you can rely on us to provide a quality service. Dedicated to helping you to easily plan for tomorrow, today, get in touch with us for further information and advice on funeral planning.