Does life insurance cover funeral expenses?
Many people are able to do just what you want: pay the costs of a funeral with life insurance proceeds. The policy will generally state that a particular beneficiary should get the proceeds at death. But if you are the beneficiary and choose to spend them that way, that is your option.You are right, however, to be concerned about timing, as insurers-often known for wrapping proceeds in red tape—can be slow in paying, And if there is any question about the cause of death that may require further investigation, such as a suicide or criminal involvement, then payouts can be held up for as long as two years.
