Funeral Cover
What UK funeral plans and funeral insurance actually involve
Important: We have written this page as a general introduction only. Nothing here counts as financial, legal, or tax advice. Keystone Estate Planning does not sell or arrange funeral plans or insurance. Get advice from a qualified professional before buying any financial product.
What Is Funeral Cover?
"Funeral cover" is a catch-all label for products that help your family meet the cost of a funeral. Two main options exist in the UK.
Pre-Paid Funeral Plans
You pay for your funeral ahead of time, either in one go or in monthly instalments. When the time comes, the plan provider handles the arrangements.
Funeral Insurance
An insurance policy that pays a lump sum when you die. Your family receives the money and uses it to cover the funeral. They choose how to spend it, unlike a pre-paid plan where the provider takes care of things.
FCA Regulation
Pre-paid funeral plan providers have needed FCA authorisation since July 2022. That brings FSCS protection and the right to complain to the Financial Ombudsman if things go wrong.
Consumer Protections
What FCA regulation means for you if you buy a pre-paid funeral plan
FCA Authorisation
Every pre-paid funeral plan provider needs FCA authorisation. Look them up on the FCA register before you buy.
FSCS Protection
Should your provider go under, the FSCS can cover eligible plans up to £85,000.
Ombudsman Access
If something goes wrong with an FCA-regulated provider, the Financial Ombudsman is there to investigate.
Cancellation Rights
FCA-regulated plans come with a cooling-off window. Changed your mind? You can cancel within the stated period.
Key Things to Consider
A few things worth thinking about before you commit to any funeral cover product
Check FCA Authorisation
Look the provider up on the FCA register before you hand over any money. If they are not listed, you have no FSCS safety net.
Check What’s Covered
Plans differ widely. At the cheaper end, a plan might cover the cremation and nothing else. Spend more and you could get the hearse, the flowers, the venue, and the service all taken care of. The detail is in the terms.
Shop Around
Prices jump around a lot between providers, and so does what you actually get. Collect a handful of quotes from FCA-authorised firms before committing.
Instalments vs Lump Sum
Many plans let you pay monthly. Worth checking: what happens if you die before all the payments are made?
Your Will Can Record This Too
There is space in your Will to set out your funeral preferences at no extra charge. It means your family does not have to guess.
Get Advice Before You Buy
A qualified financial adviser can look at your full situation and tell you whether a plan or a policy is the right move.
Talk to a Qualified Adviser First
Both pre-paid plans and funeral insurance have their place, but neither is a decision to rush into. Read the terms, compare what is on offer, and speak to an independent financial adviser who can look at your full picture.
We make Wills and Lasting Powers of Attorney. Funeral plans and insurance products are outside what we offer.
Record Your Funeral Wishes
You can include your funeral preferences in your will at no additional cost.