If you are a senior, there's a chance that you're not insured for your final expenses. Final expense insurance is designed to cover the cost of one's funeral and burial. It's a type of a whole life insurance policy , but if you want to ensure that your family doesn't have to worry about how they will pay for your funeral costs, then this may be a good investment. What You Need To Know About Final Expense Insurance; The following blog post will provide information on what final expense insurance is and why it may be important for seniors who don't have life insurance with death benefits included in the policy.
How does it work?
Final expense insurance provides you with peace of mind knowing that your family will be taken care of. The policy is designed to cover the expenses associated with your funeral, burial or cremation. Final expense insurance, also referred to as “funeral” or “burial” insurance, is a life insurance policy that is designed for the purpose of paying the final expenses of the insured person that typically accumulate leading up to and immediately after the insured’s death. These expenses are typically made up of funeral and burial expenses, unpaid medical bills not covered by insurance, and unpaid nursing home expenses. A one lump sum of $5,000 to $35,000 is paid out to your beneficiaries after your passing. Final expense is a popular option, because the funds do not go directly to a funeral home. A dishonest funeral home could keep a lot of the money after paying for funeral services if they were the beneficiary to a policy. This way, your family can pay for funeral services themselves.
What is final expense insurance?
Final expense insurance is a type of life insurance that provides coverage for final expenses. Final expense insurance can be used to cover the cost of burial or cremation services, as well as funeral costs. Final expense life insurance is also known as life protection and life assurance. It is an important consideration for seniors who may not have enough money saved up to cover these expenses. The primary purpose of final expense insurance is to provide peace of mind knowing that your family will not have financial worries after you pass away. Final expense policies are typically inexpensive and relatively easy to purchase. It's important to understand what happens if you don't have it though! In most cases, the bulk of the final expenses that need to be covered are the costs of the funeral and burial. Most people who have never been involved with arranging a funeral or having to help with paying for one, are unaware of how expensive funeral and burial costs can be, even for one that is moderately priced.
Why do I need it?
In the event of a sudden death, final expense life insurance ensures that your family is financially taken care of. It will pay for the funeral expenses and any other outstanding debts you may have. It's important to get this type of life insurance before you need it so that you can enjoy peace-of-mind knowing that your family will be taken care of after your passing. You may need this type of coverage for peace of mind. If you're worried about your loved ones' finances after your death, this type of coverage can help provide some relief by providing some stability.
Is Final Expense Permanent Protection?
Yes. Simple and affordable. However, if you already got a policy in the past and it's going to expire or your premiums will go up due to age, you got the wrong type of policy. A true final expense insurance plan never expires, the premium never goes up and it should also build cash value in the policy. Accidental death should also pay out double the indemnity. (double the amount of coverage) If yours does not offer that, please contact us today immediately.
How much does it cost?
The cost of final expense insurance is a big concern for many people, but the truth is that it just depends on a lot of factors. The monthly premium will vary based on how much money you want to leave your loved ones when you die, and what type of plan you select. Coverage is usually $5,000 to $35,000 and it's for someone who wants to cover funeral expenses and hospital costs. Premiums can vary depending on age and a few medical questions. Also, all insurance companies have a wide range of the costs and factors. However, a licensed insurance broker can shop for you to get the best rate. The best way to find out is to get a quote from a licensed final expense broker.