Final Expense Life Policies or Burial Life Insurance
Final Expense insurance, sometimes called Burial Insurance, was created for individuals that don't want to be a financial burden for their family at the time of their death.
Social Security gives the surviving family $255 while the average cost for a funeral ranges between $5,000 and $10,000 depending on the area in which you live.
The purpose of Final Expense insurance is simple: to cover the costs associated with a funeral and burial in the most economical way possible, to remove this financial burden from your survivors in a time of grief.
Important Things To Consider
Things you need to know about Final Expense insurance:
- It is a Whole Life insurance policy with premiums typically payable to age 100.
- No physical examination is required.
- Your premiums will never go up.
- It will build cash value, which can be used for emergencies if needed.
- Coverage can begin immediately.
- It is permanent coverage.
- The premium is based on your age and gender.
- Guaranteed issue final expense insurance is available without any medical questions but normally will only pay 110% of all premiums paid in first two years and 100% of the death benefit thereafter.
- Simple underwriting final expense insurance is where you do not need to be examed but just answer medical questions. These questions are not as severe as regular life insurance.
- Because the cost of life insurance is based on your current and past health conditions, you should always seek out the advice of a professional insurance broker before applying. Don't pay for guaranteed issue when you qualify for simple underwriting or even regular life insurance.
Why Should You Buy Final Expense Insurance?
For the aging population Final Expense coverage is normally the most economical way to handle the cost of dying:
- The cost of the funeral
- Minister expenses
- The burial plot
- The cost of the casket
- Headstone and engraving
- Transportation costs
- Legal fees and probate costs
- Hospital and doctor bills not covered by Medicare and health insurance
- Outstanding debts