Preplanning FAQs

If you qualify (regarding age and health) you can choose from a variety of payment options. If a death should occur while making payments, the unpaid balance would not have to be paid. It is totally insured.

Your funeral arrangements, details, and any money prepaid would transfer to any funeral home you wish to use.

A prepaid funeral contract is a legal agreement that says you will pay now for funeral services that will be required in the future. This contract may include the funeral, burial, or cremation and funeral merchandise or other services.

A prepaid funeral contract may be: 

• Revocable (you are able to cancel the contract) OR
• Irrevocable (you are NOT able to cancel the contract, but you are able to transfer it to another funeral home)

The decision of whether or not you should buy an irrevocable funeral contract is entirely up to you, but here are some things to consider: 

1. If you eventually will be qualifying for Medicaid and your assets are more than the asset limit you're allowed to have, you may need to spend down some of those assets. To spend down means to reduce your assets. One way to do this is to buy a prepaid funeral contract.
2. As of June 1, 2018, you may spend up to $12,770 for an irrevocable funeral contract in the state of Michigan. A prepaid irrevocable funeral contract is not counted as an asset for Medicaid purposes.
3. Buying a prepaid funeral contract allows you to make your own funeral arrangement in advance which relieves your loved ones from the emotional burden of decision making at the time of death.
4. Prepaying the funeral will lock in services and merchandise at today's prices and protect it from increases due to inflation.

More people are away from home than ever before for business, family visits, and recreation. By purchasing a Travel Assurance Plan, if you are more than 100 miles away from home your travel arrangements and expenses will be paid to bring you back home.

Preplanning is advantageous for everyone because of the stress and confusion it eliminates at the time of death. Pre-planning for someone in extended care is imperative not only for the emotional advantages but for the financial advantages as well. A pre-paid funeral is considered a non-countable asset that shields the funds when qualifying for Medicaid assistance.