For those shopping for life insurance and looking for ways to help their family even after they are gone, final expense insurance could be one alternative to consider.
If your current life insurance policy has lapsed, you’re looking for insurance that doesn’t require a medical exam and you’re trying to find a policy to help your loved ones, learn more about final expense insurance and if it’s right for you.
What is Final Expense Insurance?
Final expense insurance is a type of whole life insurance intended to cover the costs of an individual’s funeral or final expenses as a way to remove the financial burden from their loved ones. Final expense insurance is often easier to qualify for and may be more affordable than other types of life insurance.
To sign up for final expense insurance, you’ll need to answer a few health-related questions, but you won’t have to undergo a medical exam. And unlike when signing up for traditional term life insurance, the insurer won’t need to access your medical records.
How Final Expense Insurance Can Help
Many people aren’t aware of how expensive funerals and such services can be. The cost of these services can add stress onto a spouse or family who is grieving and not in a position to think about the financial strain.
Final expense insurance can help alleviate some of the funeral and service costs along with other expenses you may not have considered.
Beneficiaries of these plans can use the funds from this insurance for any financial needs they have, including medical debt, paying for the care team who helped you and even any travel costs associated with the services.
As long as the premiums are paid, the benefits will likely be paid in full.
When Regular Life Insurance Might Be a Better Option
If you already have a whole life insurance policy in place, you may not need final expense insurance. A standard life insurance policy should take care of most final expenses and relieve your family of that financial burden. If, for some reason, you do not qualify for a regular life insurance policy or your policy has lapsed, you may consider final expense insurance as an alternative.
If you have questions about using final expense insurance or helping ease the financial burden on your loved ones, please contact the office.
This material was developed and prepared by a third party for use by your Registered Representative. The opinions expressed and material provided are for general information and should not be considered a solicitation for the purchase or sale of any security. The content is developed from sources believed to be providing accurate information.
The cost and availability of life insurance depend on factors such as age, health, and the type and amount of insurance purchased. Before implementing a strategy involving life insurance, it would be prudent to make sure that you are insurable by having the policy approved. As with most financial decisions, there are expenses associated with the purchase of life insurance. Policies commonly have mortality and expense charges. In addition, if a policy is surrendered prematurely, there may be surrender charges and income tax implications.