What funeral insurance (seguro de decesos) is and who buys it

Terms used

• Seguro de decesos — The seguro de decesos is Spanish funeral insurance that arranges the funeral service for the people named on the policy.
• Modalidad de servicio — The modalidad de servicio is a policy type where the insurer arranges and pays for the funeral itself, with no cash to the family.
• Tanatorio — The tanatorio is a funeral home where the body lies in a wake room before burial or cremation.
• Carencia — The carencia is the waiting period after you start a policy during which death from illness is not covered.

Key rules

• Not cash: Most decesos policies pay in kind through the insurer's funeral provider, so your family gets no cash.
• Family cover: One policy can cover several relatives, and each person pays a premium based on their age.
• Waiting period: Illness deaths are often not covered during the first months, while accidental death is normally covered from day one.
• Extra costs: Anything above your contracted tier, such as a niche purchase, can fall to your family.

The short answer

Decesos is a Spanish insurance that arranges a funeral service, usually for several family members, with waiting periods and limits. It is not a cash life policy. Your family does not get a lump sum to spend as it likes. In most cases the insurer organises and pays for the funeral.

Why Spaniards buy it

Many Spanish families take one policy that covers the whole household for life. The aim is that when someone dies, the family makes one phone call and the insurer handles the funeral and the paperwork. Premiums are usually small and paid monthly or yearly. Each person on the policy pays a premium based on their age.

What it usually covers

A standard policy covers the whole funeral service:

• Collection and transfer of the body within Spain.
• A coffin or urn from the insurer's range.
• Hearse and family cars.
• The tanatorio and wake room.
• Burial or cremation fees, and the niche or grave rental.
• The paperwork: death certificate, burial licence and registry formalities.

Many policies add extras such as repatriation, a priest or ceremony, flowers, newspaper notices, legal or probate help, and psychological support. What you get, and the coffin or ceremony tier, depends on the insurer and your policy.

Service or cash

Most policies are "modalidad de servicio": the insurer pays its own funeral provider and no cash reaches the family. If you use a different provider, the insurer usually reimburses little or nothing. Some policies are written as a capital policy: a cash sum goes to the beneficiary, who organises the funeral. Some let you choose. Check which type you are buying. The decision block below sets out the options.

Who can be covered

One policy can cover you, your spouse or partner, and your children. Often it also covers parents, in-laws, grandparents and sometimes siblings or other relatives. Children are usually covered from birth until a set age, often around 25 to 30 or until they become independent. Older relatives face maximum entry ages, typically 65 to 75. Some insurers ask you to prove kinship or that you live together.

What it does not do

• It does not pay cash in most cases, so it is no substitute for life insurance that supports your dependants.
• It has a waiting period (carencia) for death from illness, commonly 1 to 3 months and sometimes up to 6 months or a year. Accidental death is normally covered from day one. The timeline below shows the detail.
• It excludes some causes of death: suicide in the first year, intentional acts, wars, nuclear events, some extreme sports and criminal acts by the insured.
• It caps the service. Free transfer often stops at a set distance in kilometres, and repatriation from abroad is limited. Costs above your tier, such as buying a niche or some cemetery fees, can fall to the family.

Before you sign

Read the particular conditions, not just the brochure. Check the waiting periods, the service tier, the transfer distance, who is insured and the age limits. If the policy replaces an old one, ask whether the waiting period is waived. The FAQ below answers common questions, including what happens if you leave Spain.

Choosing between options

Which kind of decesos policy fits you

Should you take a policy that arranges the funeral or one that pays cash?

• Service policy (modalidad de servicio): You want the insurer to arrange and pay for the funeral through its own provider, so your family does not handle cash. This is the most common type in Spain.

• Capital policy: You want a cash sum paid to the beneficiary, who then organises the funeral. It is not a life policy for general use, but a sum meant for funeral costs.

• Policy that gives a choice: You want your family to decide between the insurer's service and cash when the time comes. Ask the insurer whether this is offered.

• One family policy for several people: You want to cover yourself, your partner, children and often parents or in-laws under one policy. Each person pays a premium based on their age, children are usually covered until about 25 to 30, and older relatives can usually join only up to about 65 to 75.

If your family will use the insurer's funeral provider, take a service policy. If you want your family to pick its own provider, choose a capital policy or one with a choice, because a service policy usually gives little or no reimbursement for another provider.

Timeline and deadlines

When a decesos policy starts to cover you

• Death by accident is covered: from day one of the policy

• Death from illness is covered once the waiting period (carencia) ends: commonly 1 to 3 months after the policy starts, and in some cases up to 6 months or a year

• Suicide is usually excluded: during the first year of the policy

• Ask whether the waiting period is waived if the policy replaces a previous one: before you sign, when you transfer from another insurer with continuous cover

Quick answers about funeral insurance in Spain

Does funeral insurance pay cash or arrange the funeral?

Most decesos policies arrange and pay for the funeral service themselves, so your family does not receive cash. The insurer uses its own funeral provider. Some policies pay a cash sum to a beneficiary who organises the funeral, and some let you choose. If your family uses its own provider under a service policy, reimbursement is usually limited or not offered.

Who in my family can be covered by one decesos policy?

One decesos policy can cover you, your spouse or partner, your children, and often parents, in-laws and grandparents. Each insured person pays a premium based on their own age. Children are usually covered from birth until around 25 to 30 or until they become independent. Older relatives usually have a maximum entry age of 65 to 75, and some insurers ask for proof of kinship or living together.

Is there a waiting period before a decesos policy pays?

Yes, many policies apply a waiting period (carencia) for death from illness, commonly 1 to 3 months and sometimes up to 6 months or a year. Accidental death is normally covered from day one. The waiting period often does not apply if the policy replaces a previous one with no gap in cover. Suicide is usually excluded in the first year.

What happens to my decesos policy if I leave Spain?

It depends on the insurer: many let the policy continue, but cover may be limited to services in Spain or to a repatriation cap. Others may cancel at renewal or ask you to report your change of residence. Premiums you have already paid are generally not refunded. To stop the policy, give written notice at least one month before the end of the current policy period.