A preneed insurance policy is a simple life insurance policy intended to cover the funeral or cremation expenses listed in your preneed contract. This can include goods, services and merchandise. The benefit from the policy is payable directly to the funeral home upon your death. Since the funeral home is paid directly, you may prefer this type of policy in order to minimize the obligation for your family to pay for your funeral up front and make the process easier on them at the time of your death.
Benefits of a Preneed Insurance Policy