Buy Funeral Insurance

When you begin thinking about your final arrangements, it's natural to worry about the financial impact on your loved ones.

Buying funeral insurance can offer peace of mind, ensuring that your funeral and related expenses are covered.

This guide will help you navigate the intricacies of purchasing funeral insurance, from comparing policies to initiating the purchase process.

Guide to Buying Funeral Insurance Plans

Quick Review

Funeral insurance, also known as burial or final expense insurance, is a type of life insurance designed to cover the costs associated with a person's funeral and related expenses.

It typically offers a smaller death benefit compared to traditional life insurance policies, making it more affordable and easier to obtain, especially for older individuals or those with health issues.

The primary goal is to alleviate the financial burden on loved ones during a difficult time by ensuring that funeral costs, which can be substantial, are covered.

Start Your FREE Funeral Life Insurance Quote

Funeral Insurance Explained

Funeral insurance, sometimes known as burial insurance or final expense insurance, is a type of life insurance designed specifically to cover your funeral costs.

Unlike traditional life insurance, which covers a broader range of financial needs, funeral insurance focuses on end-of-life expenses.

These policies are particularly valuable for seniors who want to avoid burdening their families with mounting funeral costs.

Policy Options

The first step in buying funeral insurance is understanding the various policy options available.

Typically, these policies provide small death benefits, ranging from $5,000 to $25,000, that are intended to cover the costs of your funeral, burial or cremation, and other final expenses.

Premiums are generally affordable and can be paid monthly, quarterly, or annually.

Compare Plans

It's important to compare the different funeral insurance options to find the policy that best fits your needs.

Consider factors such as coverage amounts, premiums, and benefits.

Some policies may offer additional benefits such as an accelerated death benefit, which allows you to access a portion of the death benefit if you are diagnosed with a terminal illness.

Compare Funeral Life Insurance Companies

Evaluating providers is another crucial step. Look for reputable insurance companies with strong financial ratings and positive customer reviews.

Organizations like the American Council of Life Insurers (ACLI) and the Insurance Information Institute (III) provide resources and reports to help you identify top-rated providers.

Top Guaranteed Issue Funeral Life Insurance Companies

Mutual of Omaha

• Up to $25,000 of coverage
• No physical exam and no health questions asked
• Guaranteed Acceptance ages 45-85 (50-75 in NY)
• 30 day money-back guarantee.
• Two year limited benefit period

Met Life

• Rates as low as $10 per month.
• Guaranteed Issue for ages 45-75.
• Up to $20,000 of coverage available.
• No medical examination required.
• Two year limited benefit period.

Colonial Penn

• Exclusively for ages 50 - 85 (most states)
• You cannot be turned down because of your health
• There are no health questions asked and no physicals to take
• Two year limited benefit period

Terms and Conditions

Understanding the terms and conditions of a funeral insurance policy is vital. Ensure you know the policy's exclusions, waiting periods, and any graded death benefits.

Some policies, for example, offer full coverage from the start, while others may only pay the premiums plus a small interest if you pass away within the first two years.

Cost of Insurance

Calculating costs is a practical step in choosing the right policy. Premium rates can vary based on your age, health status, and the amount of coverage you select.

Fortunately, many funeral insurance policies don't require medical exams, making it easier for seniors with health concerns to obtain coverage. Get a FREE Quote.

Make Informed Decision

Your goal is to make an informed decision that provides peace of mind. It's helpful to create a list of your priorities—such as guaranteed acceptance, affordability, and simplicity—to guide your search. Remember, the best policy is one that meets your unique needs and budget.

Request a FREE Quote

Once you've decided on a policy, the next step is to contact an insurance provider or broker.

A broker can offer several options from different companies, potentially finding you a better deal.

Requesting a free quote is an excellent way to compare prices and coverage details.

Start Your FREE Quote

Apply for Coverage

Initiating the purchase process typically involves filling out an application. Make sure to provide accurate information to avoid any complications later.

Many providers offer online applications, simplifying the process and allowing you to apply from the comfort of your own home.

Guaranteed Acceptance

One prominent option is guaranteed issue funeral insurance.

This type of policy doesn't require you to answer health questions or undergo a medical exam, making it accessible to nearly everyone.

However, premiums may be higher, and the death benefit might be graded in the first few years. Get a FREE Quote.

Pre-Need Plans

Pre-need funeral insurance is another alternative, where you plan and pay for your funeral services in advance with a funeral home. This ensures that your specific wishes are met but may offer less flexibility compared to other insurance types.

Average Cost of a Funeral

Recent data highlights the importance of funeral insurance.

According to the National Funeral Directors Association (NFDA), the average cost of a funeral in the United States is $8,300. Without adequate planning, these costs can place a significant burden on your family.

Affordable Plans

Funeral insurance is particularly beneficial for those with limited savings. It provides a straightforward, affordable solution to ensure your final expenses are covered.

This type of insurance can also supplement existing life insurance policies that may not be sufficient to cover funeral costs.

Example of Funeral Insurance

Personal stories underscore the value of funeral insurance.

For example, Margaret, a 72-year-old retiree, purchased a funeral insurance policy to avoid leaving her daughter with unexpected expenses.

When Margaret passed away, her daughter was grateful for the financial relief and the planning her mother had done.

Plan Ahead

As you consider buying funeral insurance, remember that your main goal is to reduce the financial and emotional stress on your loved ones.

Taking the time to research and select the right policy ensures that your final expenses are covered, providing peace of mind for you and your family.

Now is the time to act. Reach out to a trusted provider or broker, request a free quote, and begin the application process.

By securing a funeral insurance policy, you're taking an important step in managing your end-of-life affairs responsibly, ensuring your loved ones are protected during a difficult time.