Ranking 2026: Das sind die besten Sterbegeldversicherungen

Köln - The cost of funerals has risen significantly in recent years. Between 2021 and 2025, funeral prices increased by more than 20 percent, according to an analysis of data from the German Federal Statistics Office by the consumer initiative Aeternitas. Today, a funeral typically costs between 7,000 and 8,000 euros, including the headstone and cemetery plot.

If one considers a funeral ceremony and subsequent grave maintenance, the total can exceed 10,000 euros. People who wish to protect their loved ones from these expenses can buy a death benefit insurance policy. Policyholders pay regular premiums and agree on a fixed insurance amount with the provider. Michael Franke, Managing Director of rating agency Franke and Bornberg, compares death benefit insurance to a risk life insurance policy.

It is primarily intended for those who want to prevent their loved ones from facing financial difficulties due to the funeral expenses. The insured person dies, and the insurer pays the agreed amount to the beneficiaries. It is not necessary for everyone to have a death benefit insurance policy. Those with sufficient liquid assets can cover the funeral costs from their savings.

An insurance can be useful if the money for the funeral is to be available independently of the rest of the assets. Whether the contract is financially worthwhile depends on various factors, including how long the policyholder pays premiums and how the total amount of contributions relates to the guaranteed death benefit.