Knowing Your Rights When Planning Your Prepaid Funeral

Knowing Your Rights When Planning Your Prepaid Funeral

Recently some of our competitors have come into the line of fire regarding their pre paid funeral services. We would like to provide some supportive information to ensure you prepare your funeral in advance - to your expectations, and perhaps offer some questions you might not have considered asking before. Working with families in their time of need, we would like to make this process easier so our service is focused entirely on supporting your family when the time comes.

 

So firstly, what are your options?

There are 5 options you might consider should you choose a pre paid funeral. It can be a difficult decision to make, and is not a ‘one size fits all’ scenario, so can be daunting.

 

Pre Paid funeral

A pre paid funeral is a contract between a Funeral Home or Funeral Director and any person who wishes to pre pay for their funeral. You can be any age and in any health range to have a pre paid funeral plan There can be as much or as little preparation made as to the actual details of the service at the time of purchasing the pre paid funeral. You might decide to have a simple service or plan a celebration with certain music or you might like to have a green funeral. It can be paid for in full, or with a deposit and future planned instalments. The agreed cost of your service is held, regardless of the date of your passing, or the potential increased cost of the funeral at that time. So long as you have completed payment for your service prior to your funeral, you are entitled to the agreed value of your funeral at the time of the contract.

In some instances, your pre paid funeral can be transferred interstate, but might be open to a fee or levy as a result of different costs associated with different states funeral services.

The funds paid for a prepaid funeral are not held by the Funeral Home or Director personally, but in a fund that can only be accessed by them in the event of you requiring your funeral. This protects you in the event that your elected funeral director or home closes their business.

The option of a pre paid funeral is the least difficult option for your family and friends, when the time comes to say their farewells. It provides the funeral arrangements and allows you to make any personal requests prior to the service – alleviating the stress of planning your funeral on your grieving family. Allow them to compliment your service in their way by contributing memories to celebrate your life.

 

Funeral Insurance

Funeral Insurance is offered through several insurance agencies in Australia and may be able to be paid through your superannuation fund. In line with other insurances you may have, it is structured that you pay a premium per fortnight or month to cover the cost of your funeral to an agreed value. The cost of premiums may rise with time and as it is difficult to know in advance when you might require this service, it could be a long time making payments before you use it. Funeral Insurance premiums, like health insurance premiums, tend to rise with the age of the insured party, which can be difficult when managing on a pension down the track.

Not all of insurers will provide you with an instant pay out for the cost of the funeral. It is important to consider the ‘accidental death’ waiting times for insurance. Will your family be able to afford your funeral in the instance that your super isn’t paid out quickly?

 

Funeral Bond

A funeral bond can be organised through your superannuation fund or financial planner. These funds are stored and invested solely for the purpose of your funeral. You can have an agreed value to deposit over time or deposit the lump sum. These funds cannot be redrawn except in the case of your funeral. If you reach your agreed bond value before you require your funeral, the bond will pay the initial investment and also any increase the investment has made.

 

High Interest Savings Account

Saving for your funeral yourself puts you in full control of how much money you put aside each instalment – we all know that financial life isn’t regimented as we like it to be, and surprise bills can happen or situations arise that you wouldn’t normally have needed to pay for. Saving for your own funeral in a purpose use high interest savings account can be a great way to know the value of the account and be able to redraw against the money in an emergency. There is a limit to how much you can accumulate in your funeral allocated account, without having to declare the funds.

Ensure you have elected the executor of your will or an eligible family member to access the account so the funeral can be paid for when it is needed. This is a common hurdle for families of the bereaved, as the funds may not be cleared until the will is finalised.

 

When is the time to commence funeral management plan?

So now you know your options, it’s a great time to consider when is the right time to commence your funeral management plan?

As there are several different options for planning your funeral in advance, it is important to consider your financial situation, your family’s capabilities, the personal investment in your service and how you plan on spending your retirement. Each person will have a different scenario that suits them best, and is entirely individual to their circumstances.

It’s important that you keep the executor of your will up to date on any changes you make to your funeral plan, regardless of the direction you choose. Sometimes this person is separate to your family. It can be helpful to have someone outside the family handle the paperwork so your family will be free to grieve when the time comes. Always review your decisions with a qualified financial adviser to ensure you are making the best decision for your personal situation.

 

We hope to have shed some light on the options available to you when looking to provide your family with a pre paid funeral option for yourself. If you have any questions or would like to discuss pre paying your funeral with us today, please call the team at Lady Anne on 1300 74 00 74. Together we can provide your family with peace of mind that they can be free to celebrate your life when the time comes, and know that we have planned in advance to alleviate their stress at a difficult time.

 

We're here to help

Lady Anne Funerals is here to support and assist your family through what can be a difficult time, with a ladies touch. 

We are available to discuss a range of services to support your family, including: 

  • Personalised memorial services
  • Cremation and burial services
  • Religious services catering to all faith's
  • No service, no attendance 

Please get in touch - night or day - via the form or you can call us on the number below.

Phone: 1300 74 00 74

904 Victoria Road, West Ryde 2114

Let's Talk

Some of the families we've helped

“I just wanted to send you our sincerest thanks for everything you and your incredible team did for us in making the most perfect day, celebration and farewell of our beautiful Harper.

I have given a lot of thought to your business and the industry and I think it is perhaps the most important business for families to get it right when it comes to planning a funeral which may be sudden or may be a long time in the making. Either way, when one is faced with the unfortunate situation of needing to arrange a funeral, only then do you realise the importance of getting it right.

We experienced first hand the polar opposites the industry offers. It is not just about the cars, the booklets, the music and all the things that make up the day - its about the service, the care and most importantly it’s about the people.

From our very first conversation we could sense your genuine care to our situation and your attention to detail was obvious - this was very different to the previous conversations we had with others we had been referred to. Those other companies wanted to commence meetings with the paperwork side of things upfront which is a very confronting thing to do just days after losing your loved one - and when one of the others that I am referencing couldn’t even refernece our daughters name as our meeting started - we were horrified of how poor the service of care could be.

This is where you and your team shine. After feeling very lost in our search to secure the perfect funeral director to create the perfect day, my wife all of a sudden recalled you standing out the front of your office each morning watering the surrounding gardens to ensure a beautiful front of house. Well, I can assure you, it is not just the front of house that is beautiful - its the entire package that is beautiful.

Your manner, your direction and your expertise is evident from the get go. Nothing is too hard for you or your amazing team. The personal care made us feel like we were the only funeral you were working with at the time, and that’s exactly how it should be.

The finer detail, such as driving past our house so our daughter could go past our house one last time, then leaving the most beautiful flowers on our doorstep, to bumping into us at the Church because you were just doing your own research to make sure the day was seamless. This combined with your recommendations from every aspect as everything was very foreign to us, you were able to guide us to achieve the most beautiful farewell.

The day itself was simply perfect. Not once did we have a concern. The car was shining, your team dressed beautifully, cold water provided for us, directions for our guests, directions for us. Everyone commented on how amazing the day was and how incredibly your team were. Seamless is the only word I can use. It doesn’t stop here.

Your personal care and guidance then allowed us a more intimate farewell the following day (we are so grateful for for this recommendation and possibly would have missed this special day if you had suggested it was the best idea). Again, you and your team made us feel like you had nowhere else to be, and no one else to help. Just us. The setting was beautiful, the celebrant (that you arrange and recommend) is a delightful, your team make this day even more special than the last.

This is something we never want to go through again but there will be so many others, that like us, have no idea where to start to look for the right funeral director for their own special day. All I can say is that I hope that they appoint Lady Anne Funerals. We learnt a lot quickly and it is again a business many do not ever consider needing but without question one of the most important businesses to select the right person and the right team.

I welcome any of your future potential clients to contact me if they wish to discuss our experience with the amazing Lady Anne team. We thank you for giving our beautiful baby the most incredible farewell that was exactly how we imagined it, you just made it happen.”

photo02_harper
Lee Dowdall
Karen has supported my Mum and me through the most difficult week of our lives as we not only planned a funeral, but interred my Dad to his new home. I will be forever grateful to Karen for her ongoing support, guidance, kindness, empathy and friendship over the last week. Karen has now become part of our extended circle of close family friends.
Daughter of the late Sveta Dordevich
Lady Anne Funerals has the compassion, understanding and empathy that many of the larger funeral homes do not possess. My aunts funeral was dignified and classy everything she deserved. I would highly recommend Lady Anne (and have) as they go above and beyond.
Joanne Marks
I am overwhelmed with the feedback on how beautiful it all was from all who attended. You and the other ladies were wonderful, looked so elegant, and made the day so very special for all who loved Paul.
Barbara Sommerville Enright
Karen and her staff treated us with the utmost respect we could not have been in better hands during this difficult time. My mum had organised her funeral with a prepaid funeral plan which she had purchased from Karen almost ten years ago this also made this upsetting time much easier to deal with and she got all the things that she wished for.
Malcolm Ellis
On behalf of my family, I would like to thank Lady Anne Funerals for a beautiful service yesterday for my aunt Dot. All who attended commented on how lovely the service was & the professionalism of all the staff. Thanks again very much for helping making a sad day one of celebration of Dot’s life.
Judith Neville

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