Why are funeral insurance policies guaranteed acceptance with no health questions asked?

Posted on 17 December, 2017 at 19:20

Yes, most funeral cover plans are guaranteed acceptance with no regard for past or current health at the time of application. The reason for this is that they also have a two year stand-down period for claims for death from natural causes. So, for the insurers it is not so important about the current health.

All the main funeral insurers have the same stand down period. It is simply to ensure that someone who is very unwell and has a potentially short life expectancy cannot just insure and have a claim paid within a short time. If you do pass away from natural causes within the first 2 years there is a 100% refund of premiums already paid. So, you are in no worse a position financially.

The two year stand down period is something to be aware of however if you are in generally good health at the time of a funeral insurance application then for most the stand down period will not be an issue. Even if you become unwell shortly after a policy is taken out there is still a very strong chance you will be alive after 2 years given the advances of modern medicine.

Paul Woollams, Funeral Insurance Helpline