Can I Buy Cremation Insurance for My Parents? Yes - Here's How!

You might be wondering, "Can I buy cremation insurance for my parents?"

This is a common concern, especially for those wanting to ensure that their parents' end-of-life expenses don't become a financial burden.

The good news is, yes, you can buy cremation insurance for your parents by opting for what is often marketed as final expense insurance.

Guide to Buying Cremation Insurance on Your Parents

Quick Review

Yes, you can buy cremation insurance for your parents, which is a type of final expense insurance designed to cover the costs associated with cremation and related services.

This insurance can help alleviate the financial burden on surviving family members by covering expenses such as the cremation process, memorial services, and other end-of-life costs.

When purchasing this insurance, it's important to consider factors such as the coverage amount, premiums, and any specific terms or conditions that may apply.

Cremation Insurance Explained

Final expense insurance is a type of whole-life insurance policy specifically designed to cover funeral and other end-of-life costs, including cremation.

This offers a straightforward solution, especially if traditional life insurance is unaffordable or difficult to obtain due to age or health status.

Eligibility Requirements to Insure Your Parents

Before buying cremation insurance for your parents, certain prerequisites must be met, such as insurable interest – proving that you’d experience financial loss (for example: having to pay for their cremation or other final expenses) upon their passing.

Moreover, if your parents are mentally competent, their consent and signatures might be needed.

Average Cost of Cremation

Understanding financial planning is crucial here. Cremation costs in the U.S. can range from $2,000 to over $7,000, depending on services provided.

With cremation insurance, you can cover these costs, ensuring they won't surprise you or become a burden when the time comes.

Cremation Life Insurance Companies

Mutual of Omaha and Gerber Life are among the providers offering guaranteed acceptance life insurance, a valuable option if your parents are in poor health and need coverage without a medical exam.

Let's look at the features of these two.

• Mutual of Omaha offers whole life insurance for those aged 45-85, with coverage from $2,000 to $25,000, with premiums that won't change over time. It also includes a 30-day free look period, ensuring peace of mind. There are no medical exams required and no health questions asked. Get a FREE Quote.
• Gerber Life, similarly, provides whole life insurance coverage without requiring a medical exam. Policies are available for adults aged 50-80 with coverage ranging from $5,000 to $25,000, ensuring any medical condition is covered albeit with higher average premiums.

Cost of Cremation Life Insurance

For a 70-year-old male or female in excellent health and non-tobacco user seeking $5,000 coverages from each provider, expect to find Mutual of Omaha slightly more affordable.

Monthly premiums might range around $32-$48, slightly varying by gender and coverage amount.

Sample Rates for Cremation Insurance

$5,000 coverage, age 70, excellent health, no-tobacco use:

Mutual of Omaha

• Male:  $43.85
• Female:  $32.45
• Get a FREE Quote

Gerber Life

• Male:  $50.05
• Female:  $38.23

Cremation Life Insurance Providers

There are several highly-rated insurance carriers that offer burial insurance plans to cover the cost of cremation and related end of life expenses, including: 

Mutual of Omaha, Gerber Life, AIG, MetLife, Colonial Penn, AARP/NewYork Life, AAA Life, AIG, and Gerber Life, among others. 

They offer guaranteed issue plans with insurance coverage amounts starting at $2,000 of insurance.

These guaranteed-issue final expense plans provide guaranteed approval for anyone who meets the age requirement for acceptance.

How Much Does a Cremation Cost?

Sample Rates for Cremation:

Direct Cremation – $2,202.00

Includes transportation from place of death (within 45 miles) to crematory, filing documents, cremation permit, cremation with container, and a temporary container for the cremated remains. 

In addition, many people choose to have a memorial service, wake or funeral when choosing cremation, rather than a burial. These additional services may cost up to $2,000 or more.

Cremation and Related Expenses

Cremation costs an average of $2,000-$4,500 as compared with a traditional burial, which averaged $8,394 in 2024, according to the National Funeral Directors Association.  

Cremation services can be provided either by a funeral home or directly through a crematory, which is usually the less expensive option. 

In addition to the cost of the actual cremation, there are some compulsory costs associated with the cremation process. 

Full Service Cremation: $6,250

Full Service Cremation includes a visitation or wake prior to the funeral, a service at either church or funeral home chapel and basic cremation services, which include removal of deceased from the place of death, transfer to the crematory, and cremation services. The average cost of a cremation casket is included. Unless an urn has been purchased separately, the ashes are generally returned to the family in a cardboard box.

Direct Cremation: $2,202

Direct Cremation includes removal of the deceased from the place of death, transfer to the crematory, and cremation services. The average cost of an alternative cremation container is included. Unless an urn has been purchased separately, the ashes are generally returned to the family in a cardboard box.

Cremation and Related Final Expenses

Here are some Sample Costs for Cremation and Related Expenses:

• Basic Services - $2,000
• Transfer to Funeral Home - $310
• Other Preparations of the Body: $250
• Ceremony - $465
• Viewing - $420
• Service Car/Van - $143
• Cremation Fee - $350
• Cremation Casket - $1,000
• Urn - $280
• Pamphlets / Prayer Cards - $155

Benefits of Cremation Insurance

Now, let's break down the benefits of cremation insurance:

• It guarantees coverage, irrespective of health
• Builds cash value over time
• Remains affordable with relatively low premiums
• Provides peace of mind knowing your parents' final expenses are managed.

Limitations of Cremation Insurance

However, it's also essential to consider the limitations. These policies may include:

• A waiting period before full benefits are available
• Higher premiums for guaranteed issue options
• Offer smaller coverage amounts compared to traditional life insurance.

NOTE: Comparing policies is crucial. Weighing the features and benefits like premium stability, acceptance without a medical exam, and guaranteed payout will guide you in choosing the right policy tailored to your parents' needs.

How to Buy Cremation Life Insurance

Should you decide to proceed, purchasing cremation insurance involves several steps:

• Determine the coverage needed.
• Research and compare providers.
• Request a premium quote.
• Confirm eligibility and insurable interest.
• Obtain parental consent if required.
• Select a beneficiary.
• Complete the application process.
• Pay the premiums and ensure the policy is active.

Choosing a Beneficiary

Selecting a beneficiary is also an important decision.

Typically, this person would be your parents' spouse, partner, or family member, who will use the death benefit to cover cremation costs.

Any leftover funds can be utilized at the beneficiary's discretion.

Peace of Mind

These decisions are not only about finances but about providing care and responsibility. Acknowledge the emotional component – the assurance that financial burdens during sensitive times won’t fall on family shoulders.

Options to Consider

If you're budget-conscious, it's also worthwhile to explore alternative solutions, like direct cremation services, which cost less than traditional options, or researching federal or veterans' benefits.

Considering these alternatives helps prevent common pitfalls such as misunderstanding policy terms or spending more than necessary.

These days, people often turn to GoFundMe campaigns but see insurance as a much-preferred, reliable alternative.

Summary

With all this information, you are well-prepared to make informed, confident decisions about cremation insurance for your parents. This foresight saves unnecessary stress and financial strain in the future.

Now is the time to act. With clear guidance through this process, you can request a free quote from providers, ensuring you secure the right plan for your parents. This planning showcases love and responsibility, lifting the burden and honoring their final wishes.

Guaranteed Issue Cremation Life Insurance Quotes

Top Pick – Mutual of Omaha

Mutual of Omaha offers guaranteed acceptance whole life insurance for people age 45 to 85. Choose $2,000 up to $25,000 of coverage. Rates start as low as $8.84 per month. There’s no medical exam and no health questions. You cannot be turned down. You can get a quote and apply online now. START HERE to get a FREE Quote.

• Your life insurance policy comes with a 30 day Risk-Free, Money-Back Guarantee