Your Guide to Funeral Planning | 06.13.2023

Why Pre-Planning A Funeral Is More Cost-Effective Than Funeral Insurance

Why Pre-Planning A Funeral Is More Cost-Effective Than Funeral Insurance

Reviewed By: Wiliam Prout

Cross Checked By: Scott Ginsberg

The Economics Of Mourning - The Financial Challenges Of Modern Funerals

Funerals used to be just about mourning the loss of a loved one. But in modern times, there is an additional factor that makes funerals even more complicated than they already are. And that is the increasing cost of funerals. Over the last few years, the cost of arranging a funeral has gone steadily up. The primary reason for this is the rising inflation rate that is affecting the cost of production and transportation of goods required for funerals. This includes flowers, caskets, urns, and even embalming chemicals. Other than this, there are other factors like limited land availability and required certifications contributing to the ever-rising cost of arranging a funeral. This financial burden of saying goodbye is causing even more distress among the already emotional family of the deceased. 


Pre-planned Funeral vs. Funeral Insurance

There are two primary approaches to mitigating sky-high funeral costs. One is by pre-planning funerals, where you make your funeral arrangements beforehand. The other is by buying funeral insurance, where your family will be paid a lump sum amount to cover the cost of a funeral. So, which one is better? Let us compare the two.

  1. Price protection: With a pre-planned funeral, you get to make the payment for your funeral arrangements beforehand. This includes everything from the casket of your choice to the burial home. You get to lock in the current prices, thus avoiding any increase in costs due to inflation. But with funeral insurance, there is no price protection. Your family will still have to pay an increased price for all the goods and services because of the almost inevitable inflation. 
  2. Explore choices: Funeral pre-planning, unlike funeral planning after death, gives you the time and opportunity to explore several different options. This way, you can go through all the possible options and choose the one that suits your choice as well as your budget. But with funeral planning after death, as with funeral insurance, you are bound to make hurried decisions. Such decisions during an already emotionally tumultuous time can lead to bad financial decisions. 
  3. Cost of premiums: Funeral insurance plans typically require you to pay a specific amount as a premium on a monthly or annual basis. This amount might seem insignificant at first, but over the years, they have added up to quite a significant amount. However, if you pre-plan your funeral, you can spend however much you desire without the obligation of paying an amount after a set amount of time. This can help you save a lot of money.
  4. Fees and other charges: As with most insurance policies, funeral policies might require you or your beneficiaries to pay specific costs and expenses related to the procedure. But there is no such thing as pre-planning, where all the payment is made directly to the service providers. 


The Verdict

Pre-planned funerals and funeral insurances approach funeral expenses in different ways. However, as you can see, funeral pre-planning is a more effective path to take if your goal is to save money during the funeral.

You can now order a customized casket from Titan Casket. We allow you to pre-order a casket of your choice and pay for it beforehand. You can either make the payment upfront or pay for it in installments. Once you e-sign a pre-need agreement, your wishes will be kept safe with us, and your family will be shipped the casket whenever the time comes.