Funeral Funding Options, Trust vs Insurance

In the majority of cases, pre-planning includes some form of pre-funding. Pre-funding is not mandatory and an option is to preplan now and pay later, at need.

Most buyers who choose to pre-fund consider the options of placing funds in trust or funding future arrangements with the assignment of a life insurance policy.

In Saskatchewan, placing funds in trust for future funeral goods and services is legislated and regulated by the Funeral & Cremation Services Council of Saskatchewan. The funeral home representative must be appropriately licensed and the consumer is protected by the Prepaid Funeral Services Assurance Fund if for any reason the funeral home cannot provide contracted goods and services.

Should the consumer choose to pre-fund with the assigned proceeds of an insurance policy, insurance sales representatives are licensed by the Insurance Councils of Saskatchewan. When future funeral services are funded by the assignment of insurance policies, the protection of the Assurance fund maintained by this Council does not apply.

Whether the choice is by trust or insurance, any buyer has the option of prepaying by lump sum or installment. Your funeral home or insurance representative will fully discuss all available options.