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Funeral costs have been on the rise for the past thirty years and continue to increase. Today, a funeral can cost about $9,000, and that cost can increase depending on the type of service you choose. Are your loved ones prepared to face the costs associated with your burial and final expenses?
Oftentimes, people don’t account for funeral expenses when they’re saving for retirement or investing in the future. Without protection like final expense insurance, your passing could leave loved ones with a financial burden during an already difficult time.
What is final expense insurance?
Final expense insurance is a type of whole life insurance that is designed to cover the cost of a funeral and any of expenses associated with someone’s passing. This could include paying off debts, mortgages, or medical bills.
This insurance takes the pressure off your loved ones by setting aside money to manage your final expenses. This way, they won’t have to face a financial burden alone when you pass away.
Final expense is a permanent life insurance policy, so it stays in force until you pass away. And when you pass away, your chosen beneficiary will receive the lump sum death benefit.
What are the benefits of choosing final expense insurance?
Choosing to purchase final expense insurance allows you to get some benefits that you might not find with other types of life insurance.
Benefits of final expense insurance include:
- An option to choose the frequency of your premium payments (monthly or annual)
- Stable premiums throughout the life of your policy
- Payout beyond age 100
- Guaranteed death benefit (as long as your premiums are paid on time)
Who needs final expense insurance?
Final expense is a good option for someone who wants the protection of life insurance for their entire life. Unlike term life insurance, which expires after 10-30 years, final expense insurance offers protection until you pass away.
This type of life insurance is often recommended for older individuals seeking coverage. It’s also a great option for someone looking to bolster their estate plan or retirement plan.
How much does it cost?
Premium prices for final expense insurance vary based on your age and health at the time you apply for coverage. Like most types of life insurance, you can usually secure a lower rate when you apply when you are in good health.
Want to know if final expense insurance is the right fit for you?
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