Final Expense Insurance
Final expense insurance is a small permanent life policy intended to cover funeral costs and other end-of-life expenses rather than long-term income replacement.
Coverage amounts are modest and underwriting is usually simplified, which makes these policies accessible later in life but more expensive per dollar of coverage than term insurance.
Availability
Hire Best Pros is not connecting people with final expense insurance professionals yet. This page is here as background reading while we work on it. Everything we do cover today is listed in our service directory.
What people usually need
- Covering funeral and burial costs
- Coverage for applicants with health conditions
- Small policies for older applicants
- Supplementing an existing life policy
- Reducing the financial burden left to family
What to weigh before hiring
Graded benefit periods
Some policies pay only premiums plus interest if death occurs within an initial period. Ask whether the policy has a graded benefit and how long it lasts.
Compare against term
Applicants in reasonable health may get considerably more coverage per dollar from a small term policy.
Premiums should be level
Confirm whether the premium is fixed for life or can increase, and what happens if a payment is missed.
Common questions
- Is a medical exam required?
- Usually not. Most of these policies use health questions rather than an exam, which is why coverage amounts stay small.
- How is it different from prepaid funeral planning?
- An insurance policy pays cash to a beneficiary who decides how to use it. A prepaid plan is a contract with a specific funeral provider.