Additionally, it affects your state of mind while you still live. The overwhelming prospect of death tends to cloud all of the realities that come with it. Everything has a price tag, even the tragedy of crossing over to the other side. Who will be picking up the bill?

There’s a viewing and a burial. Then follow that with the embalming, the transfer of remains and a shiny black hearse. What do your loved ones get? A hefty invoice and a few months of grieving. But one of those is preventable. According to the National Funeral Directors Association (NFDA), the cost of an adult’s funeral increased by 28.6% between 2004 to 2014. It went up to a little over $7,000. This may seem like a large jump but considering that between 1980 and 1989 it increased by 87%, it’s not too shabby.
This is a big industry. There are more than twenty thousand funeral homes in the country, the majority of which are owned by privately owned by individuals. Until we are immortal, the industry will only grow.

It’s easy to forget the little things. Stop and think about every occasion throughout the day in which you open your wallet. All of these little splurges (albeit necessary) have to be funded from somewhere. The answer? Your wages.
Let’s run a thought experiment. Put yourself in the shoes of one of your dependents or your significant other circa the date of your passing. The stream of income stops. The necessities and basic living expenses do not. Who pays for the home, the gas, the car payments, food and all the other daily requirements for a comfortable life? How long would it take the bank account(s) to start bouncing checks and over drafting? Some things are unavoidable unless preventive measures are taken. Regardless of your financial savviness, it’s going to happen unless you planned ahead.
If you don’t have life insurance, think about how much you need to make sure your family maintain their lifestyle.
Here are some expenses incurred by a family that you might want to think about:
- Child Care
- Clothing
- Mortgage
- Medical/Dental
- Utilities
- Auto
- Grocery
- Bills
- Gifts (Holiday/ Birthday)
- Maintenance (Home/Auto)

Counseling is a big word, and not just because of the number of characters. Everything from financial to psychiatric counseling can be costly. Losing someone is a traumatic experience for most, especially anyone that is young enough to not have experienced it earlier in their life. Subsequently, it is a frequently engaged service. Your loved ones might benefit from it in order to work through the many emotions that a death can bring up.
Although it is likely that health insurance could cover some mental health services, therapy and counseling are frequently overlooked by these insurers. This means that your loved ones might be responsible for these expenses, out of pocket.
The average hour-long therapy session is approximately $150 in most regions, assuming an average medical professional is used. Private therapists can cost a lot more.
Assuming the session is as infrequent as once every few weeks, it can add up to over 2 grand.
“Therapy costs have an extremely wide range. I know clinics that charge as little at $5 per session and others that charge $300 per session. It really is dependent on the therapist, your location, and the going rate for therapy in your area. There are many things to consider in addition to the cost that I would like to address.” -Lisa M. Vallejos, MA, LPC, NCC*

It’s hard enough to lose someone without the hassle of gaining a hefty bill. The lack of life insurance makes the likelihood of inheriting debt much greater. This can mean a waves of calls from collection agencies.
If you, and you alone, are responsible for a debt, it can be an uphill battle for whomever is left trying to settle it with proceeds from your estate, if there is any estate in the first place. With life insurance, they use the proceeds from the death benefit to deal with financial situations such as student loan debts, tax debts, mortgages, and the like.

A frequent debt to keep in mind is medical. A health insurance plan might cover some things, but most have a strict limit to the coverage. Many, many deaths are health related and possibly included hospitalization.
In the United States, a government hospital could cost up to $2,000 per night. A non-profit and for-profit hospital can range from $1,500 to $2,500 a night.** Even with health insurance, between the stay in ICU and the transfer to hospice, even passing away can break the bank.
Over 18 million people end up in hospitals every year. Medical care can be costly. Over 60% of all bankruptcies are due to medical expenses. This debt is easily avoidable with a life insurance policy that contains an Accelerated Death Benefit rider.
The Accelerated Death Benefit rider allows the policyholder to receive a portion of the death benefit in the event that he or she is diagnosed with a terminal illness. The rider indicates a set maximum length of time in which the insured is expected to pass. If the diagnosis indicates the insured will pass within that period, they are eligible to receive the payout indicated in the rider. This payout is usually a percentage of your death benefit. For Lifefy policyholders, it’s a whopping 50% and comes at no extra cost.
In conclusion, life insurance is more than a privilege, it’s a responsibility. Be it Whole Life or Term Life insurance, it’s better to be protected from such a substantial invoice. The lump sum of a death benefit might do more than dent the problem, it could cover it and more. The amount of coverage you choose is pivotal. Consider a company such as Lifefy, that allows you to tailor the amount and coverage options.
Sources:
*https://www.goodtherapy.org/blog/faq/how-much-does-therapy-cost
**https://www.realtorsinsurancemarketplace.com/how-much-does-it-cost-to-spend-a-day-in-the-hospital/