Final Expense Life Insurance Costs
Final expense is a very popular type of life insurance for elderly men and women because it is very affordable and premium costs are low, but still covers final expenses like funeral and burial costs.
It's ideal for seniors and elderly parents who do not want to burden their children with their final expenses.
Get A Quote On Typical Final Expense Coverage Amounts:
Table Of Contents:
What Is Final Expense Insurance?
Final expense life insurance provides funds to cover end-of-life costs like medical bills and funeral services after you pass away. It is a type of whole life insurance designed for seniors and the elderly.
Key features of final expense policies:
- Lifelong permanent coverage as long as premiums are paid
- Builds cash value that can be borrowed against
- Level premiums that don't increase with age
- Simplified underwriting, usually just health questions
- Quick approval process, often just days
- Budget-friendly premiums
- Payout delivered in lump sum to beneficiaries
With simple application requirements and affordable rates, final expense life insurance gives seniors an accessible way to pre-fund final medical and funeral costs and leave a legacy. This can provide peace of mind knowing loved ones will be taken care of.
Is Final Expense Insurance The Same As Funeral Insurance?
Yes, it is the same.
Final expense insurance is often referred to as funeral insurance or burial insurance because it's designed to pay for funeral , burial, and end of life costs.
Final expense life insurance is a great option for seniors who want an affordable option to cover funeral costs.
Traditional life insurance policies, such as term insurance, are great for younger families who are still working and paying off financial obligations. But once retired, the need for the same level of coverage diminishes.
Funeral costs can be quite high in the United States, with the median cost being over $9,000 according to the National Funeral Directors Association.
This can be a huge financial burden to surviving family members who are already grieving the loss of a loved one.
That's why final expense life insurance is an excellent solution for seniors looking to protect their loved ones from the financial burden of burial or cremation costs.
Parents can be sure that they won't leave a pile of bills to their children to deal with during this difficult time. Final expense life insurance helps provide elderly parents with that assurance to loved ones.
It's easy to qualify for, requiring just a few simple health questions. You don't even need to take a medical exam.
Get your own funeral insurance rates!
Final Expense vs Term Life Insurance
Traditional life insurance policies like level term insurance are designed to replace the income lost when the insured family member dies.
These policies are often used when a family is still raising their kids and paying for a mortgage and college loans - this is no longer the case in senior years.
Term life insurance, like the name suggests, stays in effect for a set number of years - typically, 10, 20 or 30 years, unlike final expense, that is a whole life policy that stays in effect until the insured dies, or stops paying the policy.
Retirees are most likely free of a mortgage and do not have to pay for college costs and costs associated with raising children. They are more concerned with paying for their funeral and burial costs.
With funerals costing an average of $9,000, you can see why seniors worry about who will pay for it.
Getting a final expense life insurance policy with a small amount won't cost much per month, but will still cover any costs associated with a burial or cremation.
How Can The Elderly Get The Best Rates?
Like they say in real estate - location, location, location, in life insurance buying, it should be: compare, compare, compare.
By comparing quotes from a few different companies, you'll be able to get the best rates for your situation.
Often, premiums vary from company to company, so, compare, compare, compare.
Get your own final expense insurance rates!
Examples of final expense life insurance costs for women:
| Age | $5,000 | $10,000 | $15,000 | $20,000 |
|---|---|---|---|---|
| 65 Year Old Female | $22.11 | $41.32 | $60.45 | $79.61 |
| 66 Year Old Woman | $23.32 | $43.87 | $64.25 | $84.42 |
| 67 Year Old Female | $24.43 | $46.32 | $67.86 | $89.35 |
| 68 Year Old Woman | $25.85 | $48.87 | $71.46 | $94.35 |
| 69 Year Old Female | $27.01 | $51.32 | $75.36 | $99.30 |
| 70 Year Old Woman | $28.22 | $53.87 | $79.04 | $104.31 |
| 71 Year Old Female | $29.85 | $56.86 | $83.43 | $110.28 |
| 72 Year Old Woman | $30.83 | $59.04 | $86.75 | $114.85 |
| 73 Year Old Female | $33.38 | $64.19 | $94.60 | $125.13 |
| 74 Year Old Female | $35.39 | $68.36 | $101.17 | $133.68 |
| 75 Year Old Female | $37.81 | $73.13 | $108.08 | $143.14 |
| 76 Year Old Woman | $40.83 | $79.13 | $116.73 | $154.82 |
| 77 Year Old Female | $43.36 | $84.35 | $124.72 | $165.35 |
| 78 Year Old Female | $45.82 | $89.32 | $132.37 | $175.31 |
| 79 Year Old Woman | $48.31 | $94.34 | $139.75 | $185.36 |
| 80 Year Old Female | $50.82 | $99.31 | $147.45 | $195.60 |
Examples of final expense life insurance costs for men:
| Age | $5,000 | $10,000 | $15,000 | $20,000 |
|---|---|---|---|---|
| 65 year old male | $30.14 | $57.04 | $83.74 | $110.85 |
| 66 year old man | $31.85 | $60.35 | $89.06 | $117.67 |
| 67 year old male | $33.42 | $63.81 | $94.15 | $124.39 |
| 68 year old man | $35.37 | $67.41 | $99.65 | $131.87 |
| 69 year old male | $37.37 | $71.45 | $105.63 |
$139.85 |
| 70 year old male | $39.29 | $75.36 | $111.31 | $147.39 |
| 71 year old man | $41.32 | $79.62 | $117.89 | $155.76 |
| 72 year old male | $44.04 | $84.83 | $125.69 | $166.32 |
| 73 year old male | $46.80 | $90.36 | $133.72 | $177.39 |
| 74 year old man | $49.42 | $95.81 | $142.10 | $188.39 |
| 75 year old male | $52.15 | $100.78 | $149.85 | $198.87 |
| 76 year old male | $55.67 | $108.11 | $160.44 | $212.78 |
| 77 year old male | $59.26 | $115.27 | $171.30 | $227.31 |
| 78 year old man | $63.35 | $123.36 | $183.34 | $243.38 |
| 79 year old male | $67.02 | $130.82 | $194.61 | $258.39 |
| 80 year old male | $72.18 | $141.23 | $210.08 | $279.12 |
How Easy is it to Qualify For Final Expense Insurance?
Final expense insurance is very easy to qualify for because it simply relies on a series of health questions, and in most cases you do not need to subject yourself to a medivcal exam.
Insurance companies do not take on a huge risk because the insurance amounts are usually very low.
Find out your final expense insurance costs!
How to Apply
- Applications range from 1-2 pages to 5 or more pages depending on the insurer. More pages mean more health questions.
- Some companies require a full medical exam with blood/urine testing. Others only use health questions to assess risk.
- You can often get a free, no-obligation quote online or by calling the insurer. This gives estimated pricing.
- To secure coverage, you'll fill out the full application and may need an in-person meeting. Policies can sometimes be purchased over the phone.
- The application process involves sharing personal/medical details to allow the insurer to evaluate your risks and determine pricing.
- Working with an independent agent can help guide you through the application process efficiently based on your health profile.
The application asks for comprehensive information to allow the insurer to accurately assess and rate your policy. While tedious, it's an important step to securing optimal coverage, so be thorough and transparent.
Pre-Qualifying Health Questions
When applying for life insurance, you'll likely be asked about your medical history over the past 2 years, such as:
- Are you currently hospitalized, in hospice care, or unable to care for yourself?
- Do you have any heart conditions or surgery?
- Do you have a history of stroke, circulatory disorders, or cancer?
- Have you had alcoholism, substance abuse, Alzheimer's, or dementia?
- Have you tested positive for HIV or AIDS?
- Are you taking medication or receiving treatment for any major health conditions?
Answering "yes" to some questions doesn't automatically disqualify you from coverage. With policies like final expense life insurance, many people can still get approved even with health issues.
Providing complete and truthful information allows the insurer to accurately evaluate and rate your particular risks. An agent can advise you on how best to present your medical history. With an expert's help, coverage is possible even if you have pre-existing conditions.