Funeral Home Insurance
Also known as final expense insurance, it is a type of life insurance policy tailored for funeral homes. Services offered by a funeral home include embalming the body, selling of urns and caskets, body transportation, newspaper obituary, and sometimes paying medical bills.Different insurance companies will provide other policies depending on your specific needs. Loss can occur in different ways. For example, a mourner slips and falls and gets injured, or the procession vehicle is involved in an accident.
Cost of Funeral Home Insurance
The insurance premiums depend on services offered, age, sex, size of the policy, and current health status.
Standard Insurance Policy
Some insurance companies offer a standard policy paid to beneficiaries to cater for the funeral. It covers
- Transportation
- Casket & urns
- Flowers
- Cremation
Funeral Home Insurance Coverage
- General Liability insurance– The policy helps protect against accidents that may occur at your business that could result in a lawsuit. For example, an injury caused due to a fall. The insurance covers the medical expenses.
- Professional Liability Insurance- Improper handling of the body may lead to a lawsuit. Also referred to as errors and omissions( E&O), insurance protects against claims of professional negligence. For example, if a family claims that the home did not handle the deceased body professionally. Families should offer signed paperwork on how they want the body handled and which areas the funeral home will be accountable to.
- Commercial Auto Insurance-required for the home commercial vehicles used for the family procession. Services that include picking up the body and transporting it to the funeral home. Drivers operating the cars should have the appropriate driving license and additional paperwork.
- Workers Compensation- common injuries like cuts, bruises, slips, and falls, back injuries or falling of foreign objects in the eye or head, pouring chemicals to the skin are high due to the handling of bodies. Workers Compensation covers your employees against any injuries or illnesses.
- Business Owners Policy- Most of the people accessing the business premises are often in a very high emotional state and may not be aware of their surroundings or environment. Business owner’s policy combines general liability and property damage into one policy that is easy to manage and protect the business against any claims and lawsuits.
How a Funeral Home can reduce risk and exposure
- Proper security within the home
- Provide personnel to assist and direct families to access the home
- Ensure proper lightning
- Parking and sidewalks to be free of any obstruction or snow/ice
- Children to have adequate supervision
- Staff handling the bodies to wear protective equipment
- Proper vehicle maintenance with the appropriate documentation
- Adherence to the state guidelines for proper disposal of embalming fluids.
A funeral insurance policy protects and saves the family from paying funeral expenses upfront and out of pocket.The family is able to mourn their loved one without the fear of where funeral funds will come from.