Frequently Asked Questions

What is the difference between final expense, pre-arranging and pre-funding?

Final expense policies set money aside for the future use of paying for a funeral or cremation at the time of a person’s death. No merchandise or services are preselected so there are no price guarantees associated with a final expense policy.

Pre-arranging is the process families go through to make decisions about how you want your funeral or cremation performed and what casket, urn, flowers, etc. you want at your funeral. Pre-arranging records your wishes so that your loved ones can avoid having to make difficult decisions during an emotional time.

Pre-funding is paying in advance for your pre-arranged funeral or cremation. In many instances, pre-funded contracts lock in the cost of the merchandise and services selected at today’s prices, protecting those prices from inflation.

Pre-arranging and pre-funding a funeral or cremation minimizes the financial burden on your family because you are locking in the prices of today for a funeral or cremation in the future and you aren’t making decisions at the time of death, which may result in emotional overspending.

What is pre-need insurance?

Pre-need insurance is the funding vehicle used by funeral homes when pre-funding your funeral. It is similar to all life insurance products and there are numerous types of policies. There are whole life polices, whole term, 3, 5, 10 year term and annuities. The main diffrence is that you take these policies out just to fund your funeral expenses.

What is the benefit of pre-arranging my funeral now?

In recent years, more and more people have opted to take matters into their own hands and make funeral arrangements prior to their death. The process of making these arrangements is commonly referred to as pre-planning or pre-arranging. Many people find that pre-planning gives them peace of mind knowing that their wishes will be respected and the family has fewer burdens from making decisions about funeral arrangements at the time of their death. Others find that by pre-arranging and pre- funding their funeral or cremation expenses, any additional life insurance they have can be used for its original purpose.

What is pre-planning for my funeral like and what can I expect?

Pre-planning your funeral consists of meeting with the counsler at Greer to record information necessary to choose the type of service you desire, including the type of casket, concrete vault or cremation urn. Once your pre-arrangements are made, you may pre-pay your funeral to secure the majority of the price at today’s cost.

Why should I prepay when I make my pre-arrangements?

Pre-funding means paying for your funeral pre-arrangements while you are alive, rather than having someone else or your estate pay for your arrangements after your death.

There are several reasons why you should fund your pre-arrangement in advance. Doing so:

  • Guarantees that the funeral services will be carried out at little or no additional cost to your family.
  • Prevents other life insurance policies from being depleted at the time of a loved one’s death.
  • Allows you to consider cost-effective options at a time when you are better prepared to make sound, fiscally responsible decisions.
  • Provides payment flexibility.
  • Allows you to shelter assets when applying for D.H.S. In Oklahoma, D.H.S. will allow you to spend-down $7,500 (apply that much money on a funeral plan). If this may be an issue for you, please consult with your legal advisor.

Isn’t funeral planning primarily for the older generation?

Funeral planning is for anyone who is interested in sharing their desires, relieving their family of difficult choices and unnecessary expense, and making important decisions without the pressure of illness or circumstance. There may also be other financial benefits to prefunding your funeral at a younger age.

How much does pre-need funeral insurance cost?

The cost of the insurance used to fund your pre-arranged funeral depends on the cost of the merchandise and services you select for your funeral during the pre-arrangement process. As it relates to your insurance payments, you can make a single premium payment and owe nothing further or you can choose a plan that provides insurance coverage while you make payments over several years. You may also choose to have the monthly payments withdrawn from your checking or savings account automatically.

The choice and the control are all yours. When you pre-fund with Greer you are assured flexible payment options to fit your financial situation. Our wish is to make funding your funeral or cremation as simple as possible for you.

Where does my money go?

Premiums are paid to our trust company or insurance carrier that is underwriting the policy. Monies are used to pay expenses and establish reserves, which are used to pay future claims benefits as they come due. The death benefit is designed to grow over time to help cover the rising cost of funerals. At the time of death, the death benefit is paid to the funeral home after the funeral home delivers the merchandise and services.

Can I change my mind after pre-arranging or if I cannot afford my payments?

Most insurance companies offer a 30-day free look period at the beginning of the contract. If, for any reason you choose not to continue the contract, you may cancel in the first thirty (30) days and the insurance company will refund all premiums paid.

From time to time financial circumstances change. If that is the case, call Greer to find out what options are available. One thing to keep in mind is that if you quit making your premium payments you will lose the cost guarantee associated with pre-arranging your funeral and locking it in at today’s prices.

How do I file a claim and how long does it take?

Turner Funeral Home will file your claim for you. Most companies will mail a check within 48 hours of receiving notification.

Are there tax issues with pre-need insurance?

No. As a general rule, pre-need life insurance benefits are paid in a lump sum to the funeral home and have no tax consequences to you or your family. Please consult with your tax advisor regarding the possible tax implications given your specific situation.

What if I cannot afford to buy a pre-need plan right now?

At the very least, record your wishes with Turner Funeral Home. In case of an early or unexpected death, your family will know your desires and be relieved of making difficult decisions when distraught and emotional. Funeral arrangements can be funded at a later time.

What is the difference between a traditional life insurance policy and pre-need funeral insurance policy?

Traditional life insurance is intended to provide for your survivors’ future financial needs, such as income, education costs, and mortgage payments. Pre-need funeral insurance is specifically intended to cover the predetermined costs of your pre-arranged funeral. The growth that accumulates on your funds is then used by the funeral home to offset inflation from the day you pre-arrange to the date of your death.

If I make pre-arrangements with my hometown funeral home and later move to a different city, can my funeral pre-arrangement be transferred?

Insurance companies will pay the death benefit to any funeral home that provides your services. Many people move to another town or simply change their funeral home preference. If you want to change your funeral home preference prior to your death, you may contact the funeral home of your choice to determine if they will honor the price guarantees offered by the funeral home where the pre-arrangement contract was written. Regardless, at the time of death, the company that underwrites the policy will pay the funeral home that performs the services with or without prior notice to the original funeral home.

What if I am simply interested in setting aside funds for my funeral expenses and not ready to select specific funeral homes or funeral services?

Final expense plans are available for this type of coverage. Final expense means that you can choose any amount of money to be paid to your beneficiary at the time of your death. This money is specifically designated to help pay for your funeral arrangements or expenses related to death, whatever they may be.