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How Do Funeral Plans Work?

It's difficult to know when to start planning your funeral, but avoiding the conversation can leave families in financial trouble and emotional turmoil. This guide explains how prepaid funeral plans work and how they will protect loved ones when the time comes.

What is a prepaid funeral plan?

A prepaid funeral plan protects you against the rising costs of funerals, allowing you to pay for your funeral in advance so your relatives don't have to cover all the costs themselves. Choosing a funeral plan now will help protect your loved ones from a lot of stress and financial worry in the future.

The real benefit of taking out a funeral plan is that you can effectively freeze the cost at today's prices, meaning your funeral will be protected from future price increases.

From choosing your funeral director and dealing with paperwork, to organising the service and transport arrangements, everything in the plan will have been taken care of when the time does eventually come. For complete peace of mind, it really is essential to be financially prepared.

What's included in a funeral plan?

This completely depends on the plan you choose and what your wishes are. You will need to consider whether you would like to opt for a cremation or burial, though all of Dignity's Funeral Plans can be tailored to suit either.

A prepaid plan typically comprises of two main costs; the funeral director for arranging and conducting the funeral and the cremation or burial fees. From a personal perspective, taking out a funeral plan ensures your last wishes are carried out without a hitch. 

It allows you to make a record of your preferences for the service itself, whether this includes any special readings, music or flowers you'd like. You can add in as much or as little detail as you wish. 

A Dignity Funeral Plan guarantees to cover all the funeral director services included in the Plan. It also covers the listed cremation costs and minister's fees, or where burial is requested, a £1,220 contribution towards burial costs.

If you change your mind, or your circumstances change, there is no extra charge for changing the special wishes in your Plan at any time. However, some special requests may incur an additional charge and may not be covered by the price guarantee.

How does a Dignity Prepaid Funeral Plan work?

Choose a Funeral Plan

When choosing a Funeral Plan, think about your budget, how much you want to spend on the funeral, and the funeral services you would like. You will need to weigh up the pros and cons of each Plan and find out the exact details of what is included, comparing against the rising costs of organising a funeral.

Select your payment option

You will need to decide if you are going to make a lump sum payment or whether you would prefer to pay for the Plan in monthly instalments. A Dignity Plan fixes the cost of the funeral services in the Plan at today’s prices, so your loved ones won’t have to pay a penny more for these services after you’re gone.

Set up your Plan

Whether you’re buying a plan for yourself or on behalf of your partner or a family member, setting up a Dignity Funeral Plan is easy. You can either buy online or give our award winning team a call for free on 0800 587 2541. If you prefer, complete and return the application form in your free guide to Prepaid Funeral Plans.

Once this is complete you will receive your membership pack. This will contain all the information you need, plus a second copy of the details for your relatives or funeral organiser. It includes instructions on activating the Plan when the time comes, and full contact details, so you can get in touch with us at any time.

As added security, all the money you pay for your Plan is placed into a secure trust fund. At Dignity, we choose to pay our customers’ money into the National Funeral Trust and no matter what happens; your money will be protected.

Appoint a Nominated Funeral Director

If you opt for an Amber, Pearl or Diamond Plan, you will be given the choice of over 1,200 owned and approved Funeral Directors throughout the UK. The Limited Plan will give you the choice of 800 Funeral Directors.

Should you have a specific Funeral Director in mind and would like to know if they’re available through the Plan, please contact us.

Personalise your Funeral Plan with special requests

Choosing to personalise your Plan with special requests will allow you to arrange a funeral that remembers your life best, helping your loved ones bid farewell in a unique and touching way. This means your family can avoid the stress of assuming what your funeral wishes would have been.

Activating a Funeral Plan

It is important to tell your family that you have a Funeral Plan so they know how to activate the Plan when the time comes.

With a Dignity Prepaid Funeral Plan, your loved ones only need to make one single phone call in order to put the Plan arrangements into motion. Once it has been activated, our caring funeral professionals will be on hand to offer your loved ones 24/7 support and advice before, during and after the funeral.

Funeral Plan Savings Calculator

The average cost of a funeral in 2017 was £4,086, this figure is rising by 5.45% every year. Will your savings increase enough to cover the costs?

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