Are You Wondering “Do I Need Burial Insurance”?

There’s a huge number of different types of insurance that a person needs. Auto insurance is one of the big ones. If you have a car, then the law says you have to have insurance. Not only that, but there are different kinds of auto insurance. Collision insurance, replacement insurance, all manner of different insurance policies that cover different things.Burial Insurance Coverage

Medical insurance is the next big one. Even there, you have different kinds of policies. Policies that cover medical exams, medication costs, dental insurance, the list goes on and on. Then there’s life insurance, homeowners insurance, renters insurance, there are enough different kinds of insurance that it can make your head spin. Thus, when the question “do I need burial insurance” comes to mind, it might be easy to ignore it. You have enough different kinds of insurance to worry about. There’s no reason to add one more type of insurance into the mix. Especially when you consider the cost of just about any kind of insurance mentioned.

However, you should not pass up this incredibly important insurance! It’s unfortunate, but there’s a simple truth that death is expensive. No one likes to think about death and dying. No one likes to think about how to deal with the world when they’re gone. At most, a person might purchase life insurance. But the cost of a funeral is quite high. It can easily cost several thousand dollars, even tens of thousands, to have a funeral done. The cost of the casket alone can be quite high. Then you have to take into account the cost of the funeral hall, the cost of bringing the family together, it can get astronomical.

Burial insurance can help your family deal with that cost. Just like any other kind of insurance, burial insurance pays out when the contractual obligations occur. In this case, it would be when it comes time to pay for the burial. That way, your family doesn’t have to worry about sorting through the paperwork with life insurance, paying all the various bills associated with however you died, and then worrying about paying all the bills associated with actually having the funeral. You’ll know, for certain, that your family will have all the money they need to deal with your final rest. They won’t have to pay out of pocket, and thus worry about becoming bankrupt.

That can be a powerful fear, what might happen to your family after you’re gone. It’s a fear that’s powerful enough to cause many people to put off preparation. You should avoid that temptation. It’s easy to think that you have years upon years to worry about what might happen when you die, but that may not be true. You never know when a horrible accident could happen, leaving your family with an important bill to pay.

So, what is the answer to the question “do I need burial insurance”? The answer is yes; you do. Otherwise, your family may be left in poverty.

Calling All People Over 50: Life Insurance Is Needed

For people over 50 life insurance becomes an item that is no longer a luxury but a necessity. If you are unsure about buying life insurance we have some reasons you may want to consider a life insurance policy.

Dealing with Living Expenses

As a couple life is indeed much easier to deal with as there is typically two sources of income to meet your needs. However when a spouse passes not only are you left with an emotional void in your life, you now have to worry about making ends meet. While a death is hard to cope with, it doesn’t mean that the bills are going to stop. There will be other expenses that lessen due to the loss of a spouse; that amount barely meets what is still needed. At the age of fifty, life insurance should be a priority that is no longer put off because it is an ulife insurance for people over 50ncomfortable subject.

General Healthcare Needs

A part of growing older is dealing with health issues and declining health. More than likely you know someone who was recently diagnosed with some form of an illness that had been quietly sitting in the background for years. Life insurance for over 50 is one of the ways to deal with the overall staggering cost of medical bills and hospital expenses that can occur to people after the age of 50. By purchasing critical illness coverage, you will be able to cover these types of bills.

Pension Loss

For people over 50 life insurance can be secured against a potential loss of pension or social security. Think for a moment if you are living on a pension and one of you dies, that leaves a very little amount of money to live on. In addition, there is always talk about raising the retirement age which is making life more difficult for older adults. With higher retirement ages, it is going to make life much more difficult for individuals living alone. Life insurance is the one way to make for an easier life after the death of a spouse.

Funeral Expenses

Once a person reaches the age of 50 the chance of death increases with each year making the need for life insurance more essential. Funeral expenses are becoming an increasing burden for the family to deal with. There are a lot of factors that go into creating a rather large funeral bill including the coffin, tombstone, plot, burial, flowers and funeral home services. If the family is looking to honor you with an extravagant funeral, the price is going to rise dramatically. Having life insurance after the age of fifty will cut down the worry of leaving behind a large funeral bill.

Less Financial Stress

For people over the age of 50 and their families having a life insurance policy is one of the best ways to reduce stress and live with fewer worries. Having a large policy can help to pay off any debt you have including mortgages, credit cards, car loans, and any other debt that is left behind. This can be one of the greatest final acts you can do for your family and give them peace of mind that they will not be burdened by your debt. For a moment think how good it would be for your family not to have to worry about paying off a mortgage and not having any financial worries to worry about. It is one of the best gifts you can give to your family.

9. Is Financial Assistance Available For Medicare Costs?

medigap costYes. If you have limited income and assets, you may qualify for assistance with medical costs you receive under Medicare. You should contact Social Security at 1-800-772-1213 to see if you qualify.

Some programs you may qualify for include:

  • Medicaid helps pay costs not covered by Original Medicare (Part A and Part B). It may also include some added benefits that Original Medicare doesn’t cover, including prescription drugs, eye care or long-term care.
  • The Medicare Savings Program helps you pay your Original Medicare premiums, deductibles and coinsurance.
  • Programs of All-Inclusive Care for the Elderly (PACE) combines medical, social and long-term care services for people over the age of 55 who meet the qualifications to receive nursing home care, but live and get their services in the community. This program is not available in all states.
  • Prescription drug premium assistance programs help pay some or all Medicare Part D premiums, deductibles, copays and coinsurance.
  • Other programs may be available in your state.

10. Are There Penalties For Missing My Initial Enrollment Period?

question manYes. Missing your Enrollment Period can be costly.

Medicare Part A is premium free if you or your spouse worked and paid taxes for at least ten years. If you do need to pay a premium, the penalty is 10% of the Part A premium for signing up outside of your Enrollment Period. You will have to pay that penalty for twice the number of years you delay enrollment. In other words, if you wait for 4 years to enroll, the 10% premium penalty will need to be paid for 8 years.

If you do not sign up for Medicare Part B when you are first eligible, you will have to pay a 10% premium penalty for every 12 months you delay your enrollment. For example, if your Initial Enrollment Period ended September 30, 2010 and you signed up for Part B during the General Enrollment Period in March 2012, then your Part B premium penalty would be 20%. You waited a total of 30 months to sign up, but that included only two full 12-month periods.

In most cases, the Part B penalty will be attached to your premium for as long as you have Part B coverage.

You enroll in Medicare Part D by buying a standalone prescription drug plan or enrolling in a Medicare Advantage plan that includes drug coverage. This penalty is set by Medicare. For each month you delay, you may pay an additional 1% of the average premium per month. You will pay that penalty for as long as you’re enrolled in a Medicare Part D plan.

12. What Changes Can I Make To My Medicare Coverage During Open Enrollment?

medicare question2During the Open Enrollment Period you can make changes to your Medicare coverage. Here are your options:

  • Change from Original Medicare to a Medicare Advantage plan.
  • Change from a Medicare Advantage plan back to Original Medicare.
  • Switch from one Medicare Advantage plan to a different Medicare Advantage plan.
  • Switch from a Medicare Advantage plan that doesn’t offer drug coverage to one that does.
  • Switch from a Medicare Advantage plan that offers drug coverage to one that doesn’t.
  • Join a Medicare prescription drug plan.
  • Switch from one Medicare prescription drug plan to a different Medicare prescription drug plan.
  • Drop your Medicare prescription drug coverage completely.

13. General Enrollment Period

march 31stThe General Enrollment Period is an period of time where those who did not elect to enroll into Medicare during their Initial Enrollment Period can enroll. It runs every year from January 1st through March 31st.

14. Special Enrollment Period

special-enrollment-periodThere are a few situations in which you may be able to enroll into Medicare outside of the Initial Enrollment Period or the Open Enrollment Period. These include major changes in your life such as:

You retire and leave a health care plan that you had enrolled in through your employer or a union.

You relocate outside of the service area of your current health plan.

15. Initial Enrollment Period

Health benefit election formThe Initial Enrollment Period is your first opportunity to enroll into Medicare. It is the three months before your 65th birthday, the month of your birthday, and the three months following your birthday.

If you enroll before your 65th birthday, your coverage begins on the first day of your birth month.

For example, if your birthday is July 27th, and you enroll into Medicare for the first time in the May preceding your 65th birthday, your coverage will go into effect on July 1st.

If you enroll in the month where your birthday falls or later, your coverage will begin the first day of the following month.

For example, if your birthday is July 27th, and you enroll into Medicare for the first time on July 17th, your coverage will go into effect on August 1st.

16. When Can I Make Changes To My Medicare Coverage?

seniorwomanOnce you are enrolled into Medicare, you can make changes to your existing coverage once per year during the Open Enrollment Period. Open Enrollment starts on October 15th and extends through December 7th each year. Your changes will then take effect on January 1st the following year.

20. When Is The Medicare Open Enrollment Period?

open enrollmentMedicare Open Enrollment starts on October 15th each year and runs through December 7th. Your enrollment or any changes you make to your plan then take effect on January 1st of the following year.

For example, if you enroll in Medicare on December 1st, 2013, your coverage begins on January 1st, 2014.