Funeral Insurance

You could save thousands of dollars by getting multiple quotes to pick the best funeral insurance policy.

Get up to three funeral insurance quotes by answering a few questions

How to shop for your next funeral insurance policy on Hardbacon

Comparing the prices of several insurers before choosing a funeral insurance policy can help you save hundreds of dollars a year. Follow these 4 steps to get quotes.

Tell us where you live

The first step is to enter the name of your province in the box on the left, then click on “Compare”. Your location will enable us to redirect you to the appropriate partner.

Tell us more about your needs

The second step is to begin filling out our partner’s form. It will ask for your contact information and you’ll have to answer questions about your gender, your age and your smoking status. A text box will allow you to provide details about what matters to you in a funeral insurance policy.

Indicate the coverage you want

The third step is to indicate the coverage amount and policy length you would like. You will also be able to choose if you prefer a no-medical or a regular policy. Quotes will appear at this stage.

Assess your eligibility and book a call

The last step is to click on “apply”. If you choose a no-medical insurance, you will be asked to fill a more detailed form about your health to find out if you are eligible. Given a positive outcome, you’ll be put in contact with the insurer. If you prefer a regular policy, simply select a quote in order to book a call with the insurer of your choice.

Tips to save on your next funeral insurance policy in Canada

Shop around for your insurance

Insurers are very competitive with each other. It’s therefore advantageous to get quotes from several companies or to find an insurance broker who’ll do it for you. While shopping, do not hesitate to check which insurers offer discounts for graduates of your university, for members of your professional association or any other group to which you belong.

Submit to a medical exam

In general, funeral insurance policies that require you to undergo a medical exam are less expensive than their counterparts that are issued without any examination. The reason is simple: a medical exam reassures the company regarding your health, and they can offer you a better price. In general, the exam is conducted in your home by a healthcare professional paid by the insurer.

Reassess your needs

You should have coverage adapted to the actual costs of the funeral you’d like to have. Assessing your needs correctly will enable you to pay a reasonable amount. Funeral expenses range from $2,500 to $15,000. Cremation, embalming, a coffin or an urn, the ceremony and taxes on certain assets soon add up. Remember, the higher the amount of coverage, the higher your premium.

Choose an annual premium

When you opt for monthly payments, you pay more administrative fees compared to making a single annual payment. So paying your premium in a single annual installment is a good way to save a few extra dollars. To avoid forgetting to make your payment, set a reminder on your calendar.

Frequently asked questions about funeral insurance

Does life insurance cover funeral costs?

Yes, life insurance usually covers funeral expenses. The reason is simple: funeral insurance, also known as funeral expense insurance or burial insurance, is a form of life insurance! When you take out life insurance, you choose the amount you want to pay for your funeral. In reality, it’s part of the overall benefit that will be distributed to your beneficiaries after your death. It is these beneficiaries, your heirs, who will be responsible for paying the funeral bill using the amount received from the insurer.

Does car insurance cover funeral costs?

In some cases, car insurance can pay benefits to cover the cost of a funeral following a road accident. If you are a driver, it’s imperative that you take out automobile insurance to benefit from third-party liability coverage. This means you don’t have to pay for the funeral of someone whose death you are responsible for while driving. If you are involved in a road accident, your insurer will pay a compensation for the damage suffered by the victims. In some provinces, the government may also provide compensation in the form of a death benefit and an indemnity for funeral expenses.

How does funeral insurance work?

Funeral insurance, also known as funeral expense insurance or burial insurance, is a form of life insurance. Like any personal insurance policy, you can purchase one from an authorized broker. You’ll be asked to choose the amount of coverage, the duration of coverage and answer questions about your health in order to get it, in a process very similar to purchasing any other type of life insurance. You will then have to pay your funeral insurance premiums, probably until your death. However, there are options that allow you to pay an accelerated premium over a shorter period, and still be covered for the rest of your life. Upon your death, the beneficiaries named in your funeral insurance contract will receive a tax-free compensation that they can use to pay for your funeral.

How much does funeral insurance costs?

Funeral insurance costs are similar to those for life insurance. If you only want to cover funeral expenses and you’re 35 years old, you can limit your coverage to $10,000. Your monthly payments will probably not exceed $15. For a $25,000 coverage, your premiums would rise around $35. Costs vary, of course, according to your age and health. They increase as you mature!

How to pay for a funeral without life insurance?

“Without insurance to cover your funeral expenses, your heirs will have to pay between $2,500 and $15,000. If you have money set aside in a joint account, your spouse could use it for this purpose. Otherwise, your heirs will have to wait for their inheritance (your assets minus your debts) to find out how much they can pay for your funeral. If the estate balance is negative, they’ll have to pay with their own money. If it’s positive, they may have to take on a debt while the liquidator does his or her work. It can take up to a year for the estate to pass on the assets.

If you want to plan your funeral but aren’t interested in life insurance, ask about pre-arrangement contracts with a funeral service company. These will cover the cost of embalming or cremation, the purchase of a casket or urn, the ceremony and the purchase of a burial plot.”

How to pay for funeral with a life insurance policy?

Funeral insurance pays a fixed amount, generally between $5,000 and $50,000, depending on the coverage you have chosen, to the beneficiary of your choice. This amount is intended to cover various expenses, including funeral costs, medical expenses, credit card debts and so on. The beneficiary is free to decide how to use the money. With this type of insurance, you may initially have to pay the funeral expenses of a deceased relative while you await payment from the insurance company.

Is funeral insurance worth it?

The value of funeral insurance depends on each individual’s financial needs and personal preferences. To determine whether funeral insurance is worthwhile for you, assess your current financial situation. If you have sufficient savings or other assets to cover your funeral and burial expenses without difficulty, funeral insurance may not be necessary. Some people appreciate the peace of mind that comes with funeral insurance, knowing that their funeral expenses will be taken care of. For instance, without insurance, your loved ones will have to pay the funeral expenses while waiting for the inheritance. Still not sure about getting funeral insurance? You can also explore other options for covering funeral expenses, such as pre-arranging with a funeral service company. Compare these alternatives to funeral insurance in terms of cost and flexibility.

Can a funeral home be a life insurance beneficiary?

Yes, if for any reason you don’t fully trust your heirs to use the insurance benefit as you wish, you can designate a company as the beneficiary. With funeral insurance, it is allowed to designate a family member (spouse, ascendant, descendant), a trusted third party (friend) or the funeral company directly as beneficiary.

Can you buy funeral insurance for someone else?

Funeral insurance is life insurance. Unfortunately, it is forbidden to take out life insurance for another person without obtaining their signature or written authorization with verbal disclosure. That said, it is possible to insure someone other than yourself if there is an interest in doing so. The insurance company should contact the insured and make verifications before accepting. To insure another person, you must be able to demonstrate a family relationship, for example, or that it is someone whose life is of financial or moral interest to you. The insured person must also agree, and you should start by obtaining their permission.

Does health insurance cover funeral costs?

In Canada, health insurance typically does not cover funeral expenses. However, there are some exceptions and financial assistance is sometimes provided to help with funeral costs. The Canada Pension Plan (CPP) death benefit is paid to an eligible CPP contributor’s estate and must be applied for. The amount is $2,500. To be eligible for the CPP death benefit, the deceased contributor must have contributed to the CPP for at least 10 years or one-third of the years in which they were eligible. Some programs are also administered by municipal or provincial governments.

What types of funeral insurance are available?

Since funeral insurance is life insurance, it comes in many forms. Term life insurance may be less expensive than other types, but it has a limited period of validity. It’s far from the ideal choice for covering funeral expenses. Whole or permanent life insurance never expires. It remains valid until the time of death, and the indemnity is paid in full to the designated beneficiary (the funeral home or your heir, for instance). There are even guaranteed life insurance policies, but you can expect to pay a high premium because they do not take your state of health into account. The main difference between standard life insurance and funeral insurance is the amount of coverage. If you want a policy that covers funeral expenses only, you can limit yourself to a few tens of thousands of dollars depending on your age (for example, $25,000 to $50,000) to take inflation into account.

Can funeral insurance be included with term life insurance?

If you die while your term life insurance is in effect, the insurer will pay a benefit to your beneficiaries which can be used to cover your funeral expenses. So, while it makes more sense for funeral insurance to be part of permanent life insurance, it can be included in term insurance, even though it’s not named as such. With term life insurance, the beneficiaries do what they want with the money they receive. If you want the funeral home to receive the money, you can name them a beneficiary or turn to prearranged funeral services.

Funeral Insurance

You could save thousands of dollars by getting multiple quotes to pick the best funeral insurance policy.

Get up to three funeral insurance quotes by answering a few questions