Considering how much a cremation costs without insurance, interest in the advantages of having life insurance has been increasing in recent years. And it is that, according to the data of the Organization of Consumers and Users (OCU), dying can be very expensive.
From Euroteide Seguros, we tend to focus on the multiple benefits of having a good death insurance. If you want to know how to generate considerable savings for your family in the face of the many expenses that death entails, you can contact us this article.
What is death insurance
Funeral insurance is a contract between a person, who will be the policyholder, and an insurance company. Through it, the insurance company agrees to pay an amount of money to the designated beneficiaries in the event that the insured dies to cover burial expenses.. The policyholder, in return, pays a periodic premium to the insurer.
To avoid confusion, it must be understood that the taker is the one who contracts the insurance, and the insured the person who is covered by the insurance; They may or may not be the same person.
What are the costs of a burial without insurance
The price of an uninsured burial may vary by province. If we go to the data offered by the OCU of more than a hundred funeral homes in different Spanish cities, we can draw several conclusions.
The analysis yields not inconsiderable figures, since we would be talking about a burial costing 3739 euros on average in 2021. We must also point out that there may be large differences between different cities in the same province, and even within the same city.
expense breakdown
Let's see what expenses add to the cost of a burial and what are their approximate prices, according to data from the OCU:
- At the top of the list is the coffin, with an average cost of 1200 euros.
- In second place, burial and cemetery They raise the bill by about 650 euros.
- El top three close the funeral expenses, with an average of 550 euros.
- The obituaries follow, with an estimated price of 320 euros.
- Other expenses such as personnel and service (€300), the hearse (€200), procedures and various procedures (€200), as well as flowers (around €180), involve a sum of almost €900. Without forgetting that, normally, other unforeseen expenses arise.
As we have said, the data that serves as a guide to calculate the approximate price of the burial is from the year 2021.
However, we cannot ignore the effects of inflation in 2023, which entails a general rise in the prices of services. According to some sources, we could be talking about a rise of around 100 euros during the past year, which would place death expenses at a total cost of around 3800 euros.
How much does a cremation cost without having insurance?
The cost of an uninsured burial is high, but if we look at how much a cremation costs without insurance, we realize that there is not much difference.
If instead of burial we opt for cremation, the price becomes cheaper, but it will not mean a decisive saving either. The OCU gives us an estimated figure of 3617 euros. That is to say, that cremation will be somewhat more profitable, although the difference is ridiculous, with an approximate saving of about 120 euros.
Uninsured and insured burial or cremation
Hiring death insurance has its advantages and differences, and before deciding what is best for us, it is important to know them.
Advantages of taking out insurance
Maybe The most important incentive to have death insurance is to invest in economic security for your loved ones.
Funeral expenses without insurance can cause a stumbling block in the family economy. However, a death insurance will guarantee that our relatives are protected against the expenses generated by the death. In addition, they will receive the necessary attention in those difficult moments so that they can focus on what is important.
To this we must also add that beneficiaries can avoid annoying red tape, such as the death certificate, acts of last will, discharge from the public system, the certificate of proof of life, etc.
Differences if you do not take out insurance
If we stick to how much a burial costs without insurance, the truth is that a life policy brings more advantages than disadvantages. However, we must also take into account the following:
- Funeral insurance usually has a long duration and if the insured loses his job, has financial problems or changes his mind, it will be difficult to maintain it over time. Let's not forget that, in the event that the policy stops paying, we will incur penalties for early cancellation (in addition to losing the right to capital).
- When contracting death insurance, a minimum period of permanence is established during which the policyholder cannot terminate the contract without paying a penalty, which limits the freedom to switch companies or products at any given time.
In conclusion, taking out death insurance has more pros than cons, although considering how much a cremation costs without insurance, or burial, it is not uncommon for us to consider having one. Therefore, it is important to be well informed before choosing the best option.
En Euroteide Insurance We have the best professionals to offer you all the necessary information when deciding to contract the policy that best suits your needs and your pocket, so do not hesitate to contact us.
