Consumer Corner: How much will a funeral cost and should you start planning now?

In addition to this 26% of these said they have no plans to ever do so.

The survey from Gallagher found that people believe the cost of a funeral would come in at under €5,000, while the remainder believe it could be above this figure, with some even estimating costs of more than €10,000.

Jonathan Roche-Kelly, Director of Financial Services for Gallagher in Ireland says that understandably, people don’t relish the prospect of thinking about their own funeral, which could be why so few people have put plans in place.

“However, it’s not surprising that the older respondents were much more likely to have done this with one-third of individuals aged 55 or over having already made such plans.

"Funerals in Ireland can indeed be costly affairs, and people’s perceptions of the costs vary widely, much like the actual expenses involved. 

"Based on market research, funeral prices can range anywhere from €2,000 to €8,000. In reality, many families are left struggling to cover these costs so planning ahead and considering these expenses in advance can be a practical step.”

There are many factors that will impact the cost of a funeral such as the type of service, coffin selection and the location of the service.

Gallagher did research among some funeral directors and they found that one Dublin-based funeral director quotes between €3,500 to €8,500 for a funeral while another quotes between €1,750 and €7,275, while prices from a third provider came in between €2,950 and €8,000.

Outside of Dublin, prices were found to be similar, with a funeral director in Meath quoting between €4,000 and €6,500.

“People can underestimate or simply not consider the planning and costs around funerals. In a time of high emotional strain on the loved ones of the bereaved, this can simply be an added source of anxiety,” says Mr Roche-Kelly. 

“Not everyone has the financial capacity to make provisions for when they pass away. But if you are in a position to plan ahead, then understanding the potential costs and taking a proactive approach can help in the long run.”

It can be worth sitting down and looking at ways of saving for a funeral or allocating funds for the expense.

If there is a dispute about who should pay for a funeral if there has been no financial provision made then Citizens Information says that the personal representatives of the deceased are entitled to make the decisions in this scenario.

The personal representatives are the executors of the will or the people who are administering the estate if there is no will.

They also say that if you need financial support, you may be eligible for an Additional Needs Payment, which is a single payment to help with essential, once-off, exceptional costs and the payment is means tested. 

You will have to provide details around income, savings and insurance policies that the deceased family member may have had to cover funeral costs. 

They also say that ideally, you should apply for funeral assistance before the funeral takes place. If not, you should apply as soon as possible afterwards.

Another option would be the local Credit Union — and around half of credit unions in Ireland offer Death Benefit Insurance (DBI). 

DBI is designed to pay a benefit to help pay for end of life expenses, such as funeral expenses. 

Some credit unions offer this free to members, while other credit unions offer it as a whole of life member pay insurance cover, called Death Benefit Plus, which members can buy themselves online.

According to the Irish League of Credit Unions (ILCU), death benefit insurance pays a fixed lump sum in the event of death and they added that there are some terms and conditions to meet for inclusion. 

They say that members should check with their local credit union for details of any death benefit insurance offered.

There are also 250 credit unions that provide Loan Protection and Life Savings insurance covers to their members currently. 

The loan protection life cover is designed to clear a loan in the event of death while Life Savings benefit can pay a benefit to the person nominated by the deceased member. 

Many Credit Unions also have a nomination facility where you can nominate someone to receive the property of your credit union accounts upon your death.

“This is of particular benefit if the member dies without leaving a will as the property left in the credit union will not have to pass through the sometimes time consuming intestacy process,” an ILCU spokesperson said.

A member can nominate a person of choice to receive their property presently up to a maximum value of €27,000 in Ireland. Any amount in excess of €27,000 will form part of the deceased person’s estate.