It is becoming very popular for people to invest in funeral insurance plans these days for various valid reasons. This is because people are discovering that this type of insurance can ensure that family members are not burdened financially after death. The coverage is limited but very much affordable which is one of the signature benefits for funeral insurance coverage.
A funeral insurance plan can provide coverage for the costs of the policy holder’s burial and funeral. It can be very advantageous to have one, especially since the price for everything, including funeral costs, is increasing constantly nowadays.
How this policy works is that it will cover all the expenses related to the holder’s funeral and burial. It is usually not needed if the individual has a life insurance plan as well. The policy can be arranged with a family member or even a funeral director as the beneficiary, or maybe as part of an agreed contract with the chosen funeral home.
But how do you file a claim for death benefits after the policyholder dies? In this article, we will look at how to file a claim for funeral insurance and more.
Ways to File A Claim for Burial Insurance
The benefits that the burial insurance offers can be used by the beneficiaries after a claim is filed. This claim has to be filed in full for the insurer to pay out the monetary compensation and be supported with a death certificate as well as other relevant documents.
In general, the claim for this insurance must be filed in a certain amount of days after the policy holder dies. Most claims are processed once the named beneficiary(s) completes the claimant statement and it’s sent along with a certified death certificate. After that, the monetary benefits can be given within twenty-four to forty-eight hours. Bear in mind that compensation benefits are usually provided to persons who satisfy the claim eligibility criteria and have paid all the premiums up to that time.
This is important to start the procedure and complete all formalities as soon as possible, for instance within first week after the policyholder dies. There might be a long queue of claims before you to the providers. The insurer will assign someone who will check out the originality of documents sent by you and other related things before releasing the full and final death benefits. Thus it will take some time for sure. The earlier you are done with procedure, the quicker you receive the benefits.
Whenever someone passes away, the family members or dependent relatives have to ensure that all the documents are on hand to facilitate the death registration and start the arrangements for the funeral.
The funeral or burial insurance plan is one of the important documents that they should have. In order to file a claim to get the insurance benefits, the original insurance contract(s) will be needed, along with the death certificate. Other documents might include a medical certificate that states the cause of death and is signed by a physician or a doctor, birth certificate, and civil partnership/marriage certificates.
Death can be very stressful on family members, both emotionally and financially, which is why it’s important to have a plan that allows them to get funeral insurance benefits in a lump sum to ease the burden. It is important to mention that compensation will be made to the beneficiaries of the policy or estate, so the insured person has to update the plan immediately after making any changes.