Life Insurance – why you should be planning now, whatever your age

We are all familiar with the bills that come in on a regular basis – electric, water, gas, council tax and that ever so important Netflix and Amazon Prime subscription. And whilst some of us won’t want to add to that list of outgoing payments, have you thought about that ‘final bill’ and the cost of dying?

It’s not something any of us want to contemplate but having a robust financial plan will help provide some serious peace of mind, not just for you but your family also.

Unfortunately, losing a loved one not only takes an emotional toll, but it can also be a heavy financial one too. The ‘cost of dying’ is a phrase you may not have heard before, but it is the total cost of a person’s send-off – this often includes any professional fees, the funeral service, and optional extras like the wake or gathering.

These costs also increase on a yearly basis. Recent research by SunLife has shown that in 2020, the cost of dying was £9263 – up £71 (+0.8%) since 2019. You can see below how this is calculated and the graph shows the trend year on year:

  • Average funeral costs = £4184

Which will include fees for the cremation or burial, funeral director, doctor, and minister or celebrant.

  • Average cost of professional fees = £2547

This takes into account the memorial, the death and funeral notices, flowers, order sheets, limousines, the venue, and catering for the wake.

  • Average send-off costs = £2532 

These feeds cover all the administration for example, hiring a professional to administer the estate.

Years

You can read more detail about the ‘cost of dying’ in SunLife’s recent report. SunLife (2021), Cost of Dying Report, sunlife.co.uk/costofdying2021

It’s quite staggering to read, but it shows “the average cost of dying has risen by 39% in the last decade? That is 10% higher than the rate of general inflation!”.

Peace of mind with that ‘final bill’

There are ways you can protect your family from any financial burden when that ‘time’ comes, and many people choose to take out life insurance or a funeral plan.

It is incredibly important to plan for this often-forgotten final bill and consider what might happen when you die. As with all bills it won’t always be at the front of your mind, but with help and advice it can be a simple process to ensure everything is taken care of financially.

An insurance policy of this nature is best purchased with advice so a qualified adviser can look at all the options for you and make recommendations based on your own individual personal circumstances.

Why not speak to A-Plan to get your Life Insurance quote?

We can help you protect your family’s lifestyle when you no longer can. Plus, take a new life policy with them and you’ll get £100 cashback after six months*.  

Click here to get a Life Insurance quote or call us on 0800 172 172 to discuss your needs in more detail.

Terms and Conditions of Cashback offer

*Offer only available to new clients and limited to one policyholder per household. Offer ends 31 March 2021. Cashback sent after 6 months premium have been paid. Cashback will be sent via BACS into the account the premiums are being paid from.