Final Expense Life Insurance is the type of Life Insurance designed to help pay for Funeral and Final Expenses. These policies are generally $50,000 or less, they’re designed for people who are on a fixed or limited income, they don’t require a medical exam, and some of them are available to people with severe health conditions.
The Law requires Life Insurance Companies to charge everyone the same exact premium based on their age, heath, gender, and amount of coverage. This prevents unlawful discrimination. The Law also prohibits Insurance Agents from giving are prohibited by law to give rebates or kick-backs to clients.
Make sure that your policy Guarantees that the Premium will never go up, that the Benefits will never go down, and that your Policy cannot be cancelled for any reason other than non-payment of premiums.
Final Expenses are the expenses that you leave behind as a result of your death. These include, but are not limited to: the cost for burial or cremation, funeral expenses, any unpaid utilities, medical bills, transportation costs, etc.
According to a news release by the National Funeral Directors Association in December of 2019, the average cost for a funeral, burial services, and a vault is more than $9,000, while the average cost for a cremation is more than $5,000.
The first thing to look for is competitive premiums. Once you’ve found a company with competitive premiums, then make sure that the company is financially strong, has a good record when it comes to paying claims, and has a good Customer Service Department. It’s important that both your Agent and the Company Customer Service Representatives are available and willing to help with any questions that you might have – both before and after you buy a policy.