What is a Pre-Need Funeral Plan

My name is Daniel, I'm the founder of Trinity Family Life I create short videos just like this to educate you about everything you need to know about Life Insurance and Medicare you can find this video and others just like it on TrinityFamilyLife.com Today we are going to talk about Pre-Need Plans and we are also going to go over 7 questions you need to ask yourself before deciding if a pre-need plan is right for you. I will be right back. A Pre-Need plan is a plan sold by your local funeral home. you basically go in you choose all the services you want to happen at your funeral, your casket and you make all the decsions and they quote you for the whole package at once. Most pre-need plans are designed so that you only have to make payments for a certain amount of time. It's almost the exact same thing as buying a car, you go to the dealership you choose are car and lets say it's $20,000 They take that $20,000 spread it over a couple of years and once you are done paying that you own the car. It's the exact same thing with pre-need plans. They take the amount of all the services you have selected they quote you for lets say 8 to 10 years and you make those payments unitl you have paid off the balance The shorter your payment plan the higher your premium. The longer your payment plan the lower your premium. of course, that makes sense. now, you might ask yourself that all sounds great I will pay that for a while and I will be done paying so why buy a life insurance plan where I have to pay for the rest of my life. Ok, that's a good argument to make but let look at why pre-need plans arent as widely used as life insurance plans there is a reason for that When you buy a pre-need plan your monthly payments will be much larger than a life insurance policy usually a life insurance policy for the same amount would be only a third of the cost of a pre-need plan you have to consider that if your living on a strict budget I usually work with people who are retired or disabled