Irrevocable Pre-Need Arrangements

By: Tom Gallagher
Friday, September 17, 2021

A funeral services package, or pre-need arrangements or funeral service packages are pre-paid agreements between individuals and funeral homes. These packages cover all the arrangements for the person after their death. Any person can create a pre-need arrangement no matter what their fitness levels or age. 

It is an excellent way to ensure that your funeral is conducted just as you want it. Nutmeg State Cremation Society gets a significant number of queries regarding this service. Here is some further information about pre-need arrangements.

About Pre-Need Contracts?

In this contract, the amount you have to pay to the funeral home for the services rendered is held in escrow until your death. The establishment will deliver all the services mentioned in your contract after your demise. The interest accrued on the original deposit amount is used to cover the inflation-related costs for funeral services.

What Is Included In A Pre-Need Agreement?

Pre-need funeral services hold critical information including:

  • Option of burial/cremation
  • The final resting place
  • Funeral service/memorial service
  • Whether an urn or casket was selected
  • Instructions for a customized funeral or cremation
  • The headstone or marker type

A pre­need arrangement may be irrevocable or revocable. Regardless of the one you opt for, there will be sufficient funds to pay for the selected services. The main benefit of an irrevocable pre-need contract is that it helps increase your Medicaid eligibility.

The money set aside in an irrevocable pre-need arrangement isn’t considered an asset when deciding Medicaid eligibility and this proves beneficial to you. Since the money is held in escrow, it remains safe until the point it is required.

We are here to provide you with more information regarding these agreements and signing up for one. Nutmeg State Cremation Society offers start-to-end cremation services and can help you with all aspects of this process.

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