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preplanning_funeral

Funeral Preplanning

Making it Easier for Your Family

In 1993, Pekin Life Insurance Company began marketing life insurance through funeral homes. Today, we have over 450 funeral homes who use our Pathway® products in Arizona, Illinois, Indiana, Iowa, Michigan, Minnesota, Nebraska, Ohio, Pennsylvania, Virginia, and Wisconsin.

When a person decides to prearrange and prepay funeral expenses, the funeral director is required by law to place the money in “trust.“ This ensures the family will know in their time of need that there will be money set aside to take care of paying for their loved one’s funeral. Pre-need insurance is used for this purpose. This specialized insurance gives funeral directors a method to use the money given to them in advance as a payment towards the purchase of insurance. At death, the life insurance proceeds are used to pay for the funeral service.

A funeral is probably the last thing you or your family want to think about today, but the stress can be overwhelming when making decisions regarding the specific wishes of a departed loved one. Planning ahead by purchasing a prepaid funeral plan will make a difficult time much easier for your family and will give you the peace of mind that comes from knowing that your wishes have been made clear. An additional advantage of prearrangement is that it protects assets during long-term care or illness. By providing funeral guidance and perhaps funding, you will be removing a great burden from those you love.

Available Funeral Preplanning Options

PATHWAY SINGLE PAY

The Single Pay plan is issued from age 0 through 95. Everyone qualifies for this plan as there are no medical questions to be answered. The face amount of the policy is payable if death occurs beginning with month seven (Indiana – face amount applies at issue date). A reduced benefit is payable if death occurs during the first six months. The Single Pay plan may receive face amount increases at each policy anniversary, and they are based on interest compounded annually. These face amount increases are prorated to the month of death beginning with month seven.

PATHWAY MULTI-PAY

Everyone qualifies for this plan. It is issued from age 0 through 80. There are no medical questions to be answered. The face amount of the policy is payable if death occurs beginning with year three. A reduced benefit is payable if death occurs during the first two years. The Multi-Pay plan may receive face amount increases at each policy anniversary, and they are based on simple interest. Plans are available on a 3-year, 5-year, 7-year, and 10-year payment plan basis.

PATHWAY ANNUITY

The annuity can be used for issue ages 96-99 and can be purchased in a lump sum. Flexible payments can be made at younger ages where multi-pay life insurance is not feasible. It is a non-qualified plan.

Interested in learning more?

To find a funeral home in your area, contact us at 800-322-0160, Extension 2528, or email dhoward@pekininsurance.com.

Call Toll-Free 1-800-322-0160