For a funeral contract, what happens if the insured does not make premium payments?

If the insured does not make premium payments for a funeral contract, the insurer may contest the validity of the policy. This is correct because insurance contracts typically include provisions that require ongoing premium payments to keep the coverage active. If the payments are not made, the insurer has the right to challenge the validity of the policy. This could occur during a claim situation, where the insurer may argue that the policy lapsed due to non-payment, and therefore they may not be obligated to pay out benefits.

The other outcomes mentioned are generally not accurate. For instance, a policy does not remain in effect indefinitely without premium payments; it typically would lapse. Immediate voidance of coverage upon missed payments is also uncommon; instead, there is usually a grace period before the policy is considered lapsed. Lastly, benefits cannot be claimed simply by resuming payments, as coverage must be active at the time of death or the event triggering the claim. Thus, the insurer contesting the policy's validity appropriately reflects the usual contractual relationships and obligations in a funeral and burial insurance context.