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FUNERAL PLANNING AGREEMENT (“Agreement”)
The Funeral Firm will provide the planned funeral as shown on the accompanying statement of funeral goods and services unless factors beyond its
control prevent it from doing so. The Funeral Firm will furnish the brands or makes of merchandise shown or, if unavailable, merchandise of equivalent
quality. If the Funeral Firm is unable to provide the planned funeral, another funeral firm may agree to provide the goods and services.
The Funeral Firm will accept the Forethought Life Insurance Company life insurance or annuity contract (“Insurance Contract”) death benefit as the full
payment for the Guaranteed Funeral Goods and Services, even if the retail price for those items at the time of need is greater than the death benefit.
The Funeral Firm is not entitled to receive the death benefits purchased to fund Non-Guaranteed Cash Advance Items to cover the retail price of
If the at-need retail price is less than the death benefit, the excess will be divided between the Funeral Firm and the beneficiary named in the Insurance
Contract, the Funeral Firm being entitled to the percentage of the preneed funeral price attributable to Guaranteed Funeral Goods and Services, the
beneficiary entitled to the percentage attributable to Cash Advance Items. Accordingly, the proceeds paid to the Funeral Firm may be greater than
the retail price of the provided funeral. The beneficiary may authorize payment of its percentage of the excess for additional items not listed in this
The date from which this guarantee is effective will be determined by the type of Insurance Contract you purchase.
1. If you purchase an Insurance Contract which will pay an immediate death benefit that equals or exceeds The Total Guaranteed Funeral Price for
death from any cause, this guarantee is effective immediately; or
2. If you purchase an Insurance Contract which has a limited death benefit, this guarantee will become effective at the end of the limited death
benefit period; or
3. If you purchase an Insurance Contract through a flexible payment plan, this guarantee will be effective when the premiums paid equal or exceed
an amount equal to the Total Guaranteed Funeral Price increased by 4% annually, compounded quarterly. For example, to guarantee a $3,000
funeral price at the end of 3 years, you would have paid premiums of $3,375; $3,650 at the end of 5 years; or $3,948 at the end of 7 years. The
flexible payment plan is NOT a loan. Neither you nor your survivors are obligated to make payments under the flexible payment plan. However, if
the premiums paid are less than the amount required to obtain a guarantee your survivors must pay the Funeral Firm the difference between the
at-need retail price and the death benefit available from your total coverage.
Limitation on Price and Performance Guarantees
The Funeral Firm must be designated to receive the death benefit payable under the Insurance Contract. These guarantees will not apply if the
Insurance Contract is voided, lapsed, borrowed against, or surrendered, coverage is not purchased within 30 days, or death benefits are paid under the
suicide provision of the Insurance Contract.
Freedom of Choice Guarantee
Designating the Funeral Firm to receive the proceeds of the Insurance Contract does not restrict any right to purchase funeral merchandise or services
in the open market, with the advantages of competition, at any time before the Funeral Firm delivers the funeral.
This Agreement may be cancelled at any time. Cancellation of this Agreement does not cancel your Insurance Contract, which may only be terminated
in accordance with its terms and conditions of the Insurance Contract. The owner of the Insurance Contract will receive the cash value if the Insurance
Contract is surrendered more than 30 days from issue. In the early years, the cash value may be substantially less than the premiums paid.
By completing this Agreement and by signing an application for the Insurance Contract, you acknowledge that: you were shown current General,
Casket and Outer Burial Container price lists prior to discussing those prices, services or merchandise; you have read, understood, and received a
copy of this Agreement; the person presenting this document is a representative of the Funeral Firm and an agent of Forethought Life Insurance
Company to whom commissions may be paid. In addition you acknowledge that to secure the Funeral Firm guarantees stated above, you direct that
proceeds are to be paid to the Funeral Firm in an amount not to exceed the retail price of the funeral provided. These directions may be changed any
time before the funeral is provided by giving written notice to Forethought Life Insurance Company.