You buy life insurance to relieve the financial burden of death in the family. But, what happens when your spouse died no life insurance? Dying without life insurance coverage will leave you and your family financially unprotected.
Without life insurance, family members are responsible for paying funeral expenses and debt.
A funeral can cost anywhere from $3,000 to $25,000 if the family can’t afford the cost of a funeral the estate is responsible for paying funeral expenses.
Life insurance helps relieve the financial burden of death on the family.
Life insurance benefits to surviving family members when the insured dies. Depending upon the terms of the policy, life insurance compensates a family for a loss of wages; helps the families cover medical expenses, and ensure that the beneficiaries have adequate funds to pay for final expenses.
FOR EASIER NAVIGATION:
- Final Expenses Your Family Will Have To Pay
- What Happens When Your Spouse Died No Life Insurance?
- Programs That Can Help Your Family If You Die Without Life Insurance
- What Kind Of Burial Policies And Final Expense Policies Should I Avoid?
- How Can Funeral Funds Help Me?
FINAL EXPENSES YOUR FAMILY WILL HAVE TO PAY
A life insurance policy is often purchased to help cover the cost of funeral expenses.
Without life insurance, your family will be left to pay the final expenses. How much does a funeral cost? The funeral cost can be quite expensive, and the funeral expenses can vary depending on the type of service and goods used during the service.
Casket – this is commonly the largest funeral expense. Starting at around $2,400 casket can get really expensive if you would like to be buried in metal or bronze.
Embalming – this is needed if there will be visitation or viewing. Embalming will not be required if there won’t be any viewing. According to the National Funeral Directors Association, embalming costs around $750.
Cremation: direct cremation cost between $500 and $1,500 depending on your area. In most metro areas direct cremation costs between $800 and $1,200.
Memorial Service according to NFDA this service costs around $2,000. The memorial service includes planning, preparing obituaries, getting permits and death certificates, viewing and coordinating with the gravesite.
Gravesite – the price of a plot in a cemetery depends on many variables like the type of cemetery or the size of the plot. Most plots cost between $1,000 and $2,500 or higher in some larger cities. It is possible to purchase plots in advance in some states in a private transaction.
Transportation– the use of a hearse cost around $300. A van or service car will cost another $150.
Obituary –It may cost up to $600 to publish an obituary in a national newspaper. The cost may vary depending on the publishing day and the length of the obituary and if there’s a picture.
Gravestone– it cost around $1,000 to pay for a flat grave marker while a kerbed or upright may cost up to $10,000. Prices depend on the color, material, and finish of the marker. You can choose from sandstone, granite, concrete or metal. Metal markers are the most expensive but if you’re a military veteran you will have a gravemarker for free.
Flowers– funeral flowers including bouquets, sprays, and boutonnieres can cost around $200 to $1,000 for the whole complete package.
These are the other expenses your survivor will have to pay when you pass away:
Travel expenses – if your survivors don’t live in the same city, they may have to make a flight and stay in a hotel for a few days to be with their loved ones during the funeral.
Lost Wages– your death will not only cause emotional grieving, but it will be impossible for your loved ones to go back to work after a traumatic loss. It would take a few weeks to a month before your spouse will be able to return to work.
Taxes and debt – your spouse will be responsible to pay your medical bills and taxes. If your spouse is still living in your own house, they will owe some type of estate tax, which they may not be ready to do without selling the home.
Counseling – your spouse may need to go on counseling to process their emotions and grief. Counseling sessions cost around $100 or more an hour.
WHAT HAPPENS WHEN YOUR SPOUSE DIED NO LIFE INSURANCE?
The loss of a loved one is tough and having no life insurance for your death will be harder on your spouse. Life without life insurance is difficult. We often hear no life insurance stories.
There is limited financial assistance available for funeral and burial costs. If your spouse does not have the financial means to pay for your funeral and need help with funeral costs, she may have to do with these alternatives:
Loan – your spouse, will have to get a loan to fund the funeral expenses. They will not only have to pay for the funeral but also pay interest on the loan.
Funeral payment plan – some funeral directors offer loans for those who are unable to pay. You will only have to deposit up-front and pay back in installments. Your spouse would need to shop around to find a funeral director that offers excellent value.
PROGRAMS THAT CAN HELP YOUR FAMILY IF YOU DIE WITHOUT LIFE INSURANCE
No life insurance how to pay for the funeral, here are some ways on how to finance a funeral:
The Social Security Administration provides financial assistance for widows, the surviving spouse will receive a one-time death benefit. The death benefit today is $255.
The spouse and depending children may be entitled to receive an occurring monthly benefit. They may qualify for monthly benefits based on the work record and earnings of the decedent. The amount will be based on the percentage of the worker’s wages and length of work history.
The recipients will need to meet all the requirements before receiving assistance.
Charities and Government Authorities
Many charities may be able to help.
When someone dies, and there’s no way for their family to pay for the funeral, the government has a few ways they can help. Indigent burial programs can help those who are needy in some states and counties. Some are managed on a country level, and some states have state-level programs.
The family of a deceased veteran may qualify for ongoing and burial benefits from Veterans Affairs.
The VA’s pension is available to low-income surviving spouses or children of veterans who served during the war. VA burial benefit for service-related death is up to $2,000 toward final expenses. The VA pays up to $796 for non-service-related deaths and $300 for decedents’ hospitalization at the time of death.
A small plot or interment allowance may also be available to the family.
Indigent Burial Assistance
The spouse may qualify for indigent burial assistance without life insurance.
Some localities offer burial assistance for a family who cannot afford to bury a loved one. Indigent burial assistance varies widely depending on the locality. Some indigent burial assistance pays up to $1,100 for a funeral or $552 for cremation when the family cannot afford the final expenses.
You can crowdsource for your loved ones after a tragedy and hope that many people will feel your heartfelt appeal.
You can crowdsource through gofundme.com. More and more GoFundMePages are springing in times of death. This program helps some to cope with the initial final expenses.
If this appeal reached an adequate level, the family would have a foundation to build on.
WHAT KIND OF BURIAL POLICIES AND FINAL EXPENSE POLICIES SHOULD I AVOID?
TV AND MAGAZINE ADVERTISEMENTS – Most burial policies or final expense policies you see advertised on television or in magazines are sold as “the no-brainer way” to shop for this protection.
In reality, most of these policies rely on you having NO BRAIN to purchase them.
Just about everyone is eligible for immediate coverage and better pricing allowed by these heavily advertised policies that cost an arm and leg.
To make a long story short, it is better to shop for burial policies with a specialist in burial insurance, like FuneralFunds.com, than to sign up with a company that spends ba-zillions of dollars each month advertising on television and in magazines.
Increasing Price Policies
Those TV and magazine final expense policies may increase in price every five years or have a two-year waiting period before your benefits kick in! What in tarnation!?!
These policies aren’t all they’re cracked up to be, and you often end up at the short end of the stick by purchasing burial insurance this way.
These tricky television magazine snake oil salesmen lure you in with an attractive rate, only to have the cost of your insurance increase every five years until you cannot afford the premiums, then you must cancel your policy.
What happens after you cancel the policy?
You’ll die and will have wasted all that money because you bought a policy that increases in price as you get older. These policies just don’t cut the mustard for most folks!
Avoid policies that increase in price every year or end at a certain age. You don’t want your family to get hung out to dry when they need this coverage the most.
Why choose Funeral Funds for my burial policy?
Most life insurance agents are fine, respectable people.
There are, however, the classic “snake oil” life insurance agents, who will sell you the easiest and most expensive policy possible.
The guaranteed issue folks claim you don’t even need to talk to an agent (but you will need to wait 2 years for your coverage to begin…even if you’re healthy). Answering a few health questions will often get you immediate coverage and MUCH better rates.
Avoid these people at all costs!
For the rest of the life insurance agents, who are fine respectable people, they are most often generalists.
They deal with all kinds of life insurance policies.
They are Jack of all trades and Masters of none.
They are nice people, but they are not the logical choice if you want the best pricing and a burial insurance policy with no waiting period.
We work with 20+ final expense companies, so we can get you qualified for the best-priced plan with the intent of getting folks like you immediate coverage when possible.
We have to admit that, for the average burial insurance final expense insurance shopper, all the companies and options will often leave you more confused than a woodpecker in a concrete forest.
HOW CAN FUNERAL FUNDS HELP ME?
The reality is that inexperienced and less knowledgeable insurance agents will cost you loads of money by selling you overpriced final expense and burial insurance policies.
Getting an affordable burial or final expense policy doesn’t have to cost an arm and a leg.
Our job at Funeral Funds is to be the most knowledgeable burial insurance expert available. By doing so, we can knock it out of the park and get you the most accurate quote and affordable rates.
Once we know more about your age and health history, we can accurately give you final expense insurance quotes from the final expense companies that are the best fit for you.
It is always in your best interest to work with an independent brokerage, such as Funeral Funds.
With access to all the best burial insurance companies, we will help you understand your best options, given your current age, health, and financial situation.
ADDITIONAL QUESTIONS & ANSWERS ON NO LIFE INSURANCE
What happens if a person dies without life insurance?
If a person dies without life insurance, their family will have to foot the funeral and burial expenses by themselves. Most of the time dying without life insurance create financial stress on the loved one left behind.
What happens if someone dies has no life insurance?
If someone dies with no life insurance, their loved ones will have to take care of the funeral, burial, and final expenses out of their pockets. Funerals are expensive and it may cause significant financial stress on their family if they do not have the resources to pay for the funeral.
What happens if spouse dies without life insurance?
If your spouse dies without life insurance, the living spouse will have to find a way to pay for the funeral and final expenses. The average funeral costs $9,500 to $12,500. Without life insurance, the living spouse must find a way to pay the final expenses on their own.
What happens if a parent dies without life insurance?
If a parent dies without life insurance, their kids will have to worry about paying their funeral and burial expenses. They must pay all the cost out of their pockets. If they don’t have the funds, they may go into debt to cover the funeral cost.
Can you live without life insurance?
Yes, not everyone needs life insurance. People who have enough assets to pay for their own final expense and leave enough funds to their family in their demise don’t need life insurance. Also, people who do not have anybody who depends on them can also forgo buying life insurance.
What to do if there is no life insurance policy?
If there is no life insurance you can use your credit card (often up to 25+% interest rate) to pay for the final expenses. You can also ask the funeral home for a payment plan. You can also check social security or veterans’ benefits to pay for final expenses.
How do you bury someone with no life insurance?
You can arrange for direct cremation because it is cheaper. You can also ask for assistance from family or friends or the community. If there’s no one to help make these arrangements, then your state may provide assistance such as covering final expenses at a reduced cost (through Medicaid).
What happens to someone who dies with no money?
If someone dies with no money, their family or friends will likely have to cover the costs of the funeral. If the person did not have life insurance, their loved ones may also be left with bills for debts and other outstanding payments. In some cases, the government may provide some assistance, but it’s not guaranteed.
If someone dies with no money and no life insurance, their loved ones might have to sell the home in order to pay for the funeral. Otherwise, they will likely have to bury the person in a pauper’s grave.
What happens when someone dies and they have no money?
If someone dies with no money and no life insurance, their estate may go through probate. Probate is the legal process of settling a deceased person’s estate. This can be a long and costly process, and often the deceased person’s assets don’t cover the costs of probate. As a result, the estate may be divided among the deceased person’s heirs (assuming they’re all alive) or else it may go to the state.
How much does a funeral cost without life insurance?
Funerals can cost anywhere from about $7,500 to as much as $25,000. The current national average is approximately $9,500.
The prices could go from the aforementioned price range of roughly $1,200 to as high as 25,000 dollars with an average now set at $5,500 dollars according to a recent study by The National Funeral Directors Association.
It’s worth noting that the price would differ depending on a variety of factors including location and funeral director or mortuary prices could range from an upfront charge for basic services up to 200% mark-up.
What if there is no life insurance?
If there is no life insurance, then the family of the deceased will need to rely on funds from other sources to cover the costs of the funeral and related expenses. These expenses can often be significant, so it’s important for people to have some form of life insurance in place to help protect their loved ones in the event of their death.
There are some government benefits available to the loved ones of people who die, such as Social Security death benefits and veteran’s death benefits. But these benefits usually aren’t enough to cover all the costs associated with death (if you qualify, it’s only $255). That’s why it’s important for everyone to have life insurance so that their loved ones don’t have to bear the burden of final expenses alone.
What is the cheapest way to bury someone?
The cheapest way to bury someone is to have them cremated or be buried in an urn. Many people rely on churches, temples, mortuaries, etc. for burial and cremation services because they can be considered socially responsible and affordable options for disposing of the deceased.
If you cannot afford a funeral service, burial, or cremation, you will have to contact your state’s Department of Human Services for assistance. They can refer you to low-cost funerals, gravesites, and crematories that charge by the hour or just for caskets.
Is it OK to have no life insurance?
No, it’s not OK to have no life insurance. Everyone should have some form of life insurance to financially protect their loved ones in case of an unexpected death. There are many different types of life insurance policies available, so there’s sure to be one that fits your needs and budget.
If you don’t have any life insurance, your loved ones would likely have to bear the burden of your final expenses and other financial obligations if you died unexpectedly.
A life insurance policy can help ease that burden and provide much-needed financial stability during a difficult time. So please, don’t go without life insurance – it’s just not worth the risk.
Can you buy life insurance for someone who is dying?
Yes. You can purchase life insurance for someone who is dying, but be careful – it’s almost always more expensive than standard life insurance because the policy doesn’t go into effect until two years have passed.
Who pays for funeral if no life insurance?
If there is no life insurance, the funeral expenses most likely will fall to the deceased’s estate. If the estate is insufficient to cover the funeral expenses, then the costs may fall to the deceased’s family or friends.
In some cases, the family may be able to petition the government for assistance. There are also a number of private charities that offer assistance with funeral costs.
It’s important to reach out to these organizations as soon as possible after a loved one has passed away, as the sooner they are contacted, the more likely they are to be able to help.
Can you buy life insurance for someone who is dying?
Let’s face it.,.we all are dying. But, yes, you can buy life insurance for someone who is dying as long as they have the legal and mental capacity to sign the contract.
Can you get life insurance on just anybody?
No, you need to have consent and show insurable interest before you can buy life insurance on someone else. Without these two requirements, the life insurance company will not issue life insurance.
What do you do if you have no life insurance?
If you have no life insurance, you should buy some. No one knows when their time will come, so it’s always a good idea to be prepared. If something happens and you don’t have any life insurance, your loved ones will be left with a lot of debt and expenses to deal with.
Purchasing life insurance is one way to ensure that they won’t have to worry about these things when something happens to you.
Is it really necessary to have life insurance?
Yes, it’s generally a good idea to have life insurance, whether they are young or old because you just never know when a death will occur.
If something happens and you don’t have life insurance, your loved ones will have to bear the burden of your death financially. But if you do have life insurance, they will be able to receive a payout from the insurance company that will help them get through this difficult time.
What is the cheapest way to bury someone?
The cheapest way to bury someone is without a casket. In this case, the body would be wrapped in a shroud and buried in a simple grave.
How do you get buried with no money?
Burial through charity. The funeral home will often provide burial for those who ask the local parishioner and may accept donations from anyone who approached them directly.
This means they may bury and serve the cremated remains and headstone for free or at a reduced cost. Burial through a donation through sites like gofundme.com.
What types of death are not covered by life insurance?
Life insurance doesn’t cover fraud, acts of war, illegal activities, death within the contestability period, suicide, or intentional self-destruction.
What is the cheapest funeral one can have?
In general, the cheapest funerals tend to be those that don’t involve a lot of extras or frills. If you’re looking for a more affordable option, go for a direct cremation without any services or memorials that can be as cheap as $700.