for funerals and final expenses
No health questions, and no medical exam required. Need help? Call 1.866.526.7264.
What is Burial Insurance and Final Expense Insurance
Burial insurance, or Final Expense Insurance is a whole life insurance policy that usually is offered between the ages of 40 to 90. The policy can often range between $2,000 to $50,000 (age restrictions apply). Over 90% of people who buy burial insurance are seniors. Since most of them are on a limited income, burial insurance cost dictates how much coverage they will end up purchasing. Many a times, you will also hear the phrase funeral insurance instead of burial insurance or, final expense insurance. They mostly mean the same. The idea is to make the funds available to your loved ones at the time of need.
In a nutshell, burial insurance is nothing but a kind of senior life insurance. There are dozens of life insurers that specialize in burial insurance plans, and we bring you most of these insurers to find the most suitable funeral expense plan for you.
It is important to note that these are mostly simplified issue plans. Therefore, there is no medical exam required to qualify for this coverage. The cost of burial can range between $8,000 to $25,000, depending upon your need and where you live. Once you are ready to protect your loved ones from financial embarrassment in the end, we shop the market for you to find you an affordable burial life insurance plan from one of the best burial insurance companies.
THE BITTER TRUTH ABOUT SENIOR LIFE INSURANCE
How many types of burial or final expense insurance plans are there?
Simply speaking, there are four types of burial insurance plans out there. Which one these funeral plans you will qualify for depends mostly on your age, health, and lifestyle.
- Level coverage burial insurance plans – Simplified Issue
There is no waiting period. As soon the insurance company approves you and you pay your first premium, your coverage becomes active. In order to qualify, you answer a few questions about your health and lifestyle. These simplified issue Level whole life insurance plans cover you for the rest of your life. Most people who qualify for these plans are those who are not suffering from severe health conditions.
- Graded burial insurance plans – Simplified Issue
Graded burial life plans usually delay fully activating the policy for a period of two or three years. If death occurs within this period of time, the insurer will pay and a percentage of the death benefit, usually 30% in the first year, 70% in the second year. After the graded period, the full coverage applies. If, however, death occurs due to an accident at any time after purchase, the policy offers a full death benefit. In order to qualify, you must answer a few health and lifestyle-related questions. The maximum coverage amount available in these plans varies by age and can range between $10,000 and $50,000.
- Modified burial insurance plans (Return of Premium) – Simplified Issue
These burial insurance plans also delay fully activating the policy for a period of two or three years. If you happen to die during that time, instead of paying a percentage of the death benefit, the insurance carrier returns the premiums you paid with interest (usually between 5 to 10%) to the beneficiary. But if you live beyond the first two or three years (depending upon the carrier), 100% of the death benefit goes to the beneficiary federal income tax free.
The accidental death clause applies if the death occurs due to an accident in the first two years. The insurance company will pay the full death benefit to the beneficiary. Accidental death nullifies the two year waiting period. The maximum coverage amount available in these plans varies by age and can range between $10,000 and $50,000. In order to qualify, you must answer a few health and lifestyle-related questions.
- Guaranteed Acceptance or Guaranteed Issue Burial Insurance Plans
These plans are available to those who do not otherwise qualify for any life insurance plan due to a severe health condition. These plans are also graded or modified and are the most expensive type of burial insurance plans. There are no questions to answer. The usual range of coverage guaranteed acceptance plans is between $2,000 and $35,000.
A few of our highly rated and competitive companies offering guaranteed acceptance funeral insurance for seniors include AIG, Gerber Life and, Great Western Life Insurance. The application process is online and over the phone. You need to have access to an email address in order to e-sign the completed application.
What are the health issues that cause waiting period?
Whether you will qualify for a no waiting period life insurance or not, depends entirely upon you health. If you suffer from any one of the following health issues )but limited to), you will not be able to avoid a waiting period.
- AIDS or HIV
- Terminal illness (you’ve been given a life expectancy of 24 months or less)
- Hospice care
- Recent history of cancer
- Currently going through Dialysis
- Currently in the hospital, nursing home, skilled nursing facility, or hospice care
- Waiting for or have had an organ transplant
- Alzheimer’s or dementia
- Recent heart attack ( within the last 12 months)
- Stroke within the last 12 months (TIA mini strokes do not count)
- A heart surgery within the last 12 months
- A circulatory surgery within the last 12 months
- Chest pains (angina) within the last 12 months
- Insulin shock or diabetic coma within the last 24 months
- Anyone of these or a combination
How to get burial insurance and final expense with no waiting and no exam?
There are three factors that dictate how a life insurance company will qualify you:
- your health
- your age, and
- you lifestyle
If anyone of these can possibly cause your death earlier than expected, you are going to pay higher premium to get a no waiting plan, or qualify for a plan that has a waiting period of two years.
If your health is within the acceptable list of medical conditions, you may then qualify for a lower premium burial insurance plan with no waiting period. Different insurers have different preferences in terms of what they think is an acceptable medical condition.
For example, most companies must have your height and weight before they can even consider your application. But a handful of final expense insurance companies don’t even consider your height and weight. Some companies don’t have issues with people with diabetes taking insulin, while others see it as a higher risk to insure. CLICK HERE for a sample application with health questions. This will tell you how an insurer qualifies the risk. Your answers and your background check of your health record will determine if you will get an immediate coverage or coverage with a waiting period.
While traditional life insurance plans are very strict in underwriting, the final expense insurance plans are much more relaxed.
Burial Insurance and Medicaid Limitation
The simple answer is that yes it can if it is not structured properly. In most states, a medicaid applicant cannot own more than $2,000 worth of countable assets. If after adding the borrowable cash value of your burial life insurance policy your net worth becomes over $2,000, you may lose your medicaid benefits.
To avoid this scenario the best answer is to make the beneficiary also the owner of the policy. When this happens, the cash value accumulation in the policy is not considered your countable asset. And, therefore no negative decision from Medicaid. Some folks also choose a funeral home to be the owner of their policy.
The Best Burial and Final Expense Insurance
The best burial insurance plan is the one that you qualify for and, can afford to pay the premium.
All life insurance companies are legally bound to pay the promised death benefit upon of the death of the insured.
There is no one, or a list of best burial insurance companies. To use the word ‘best’ for one insurance company and leaving another highly rated company with a good, long history on the side, is simply unfair to the consumer.
It is important that you talk to an agent (that includes us at insureinminutes.com!) who has access to a bunch of companies and can really shop the market for you. That’s the only way you can get the most suitable offer.
Facts about Burial Insurance for Seniors
- There is no medical exam.
- All burial insurance plans are whole life policies with cash values and will cover you until the end of life.
- The premium once approved will not increase during the life of the policy.
- The face amount and death benefit will remain level.
- The policy cannot be canceled unless you decide to do so by calling, in writing or by stopping premiums.
- Since these are whole life policies, there is going to be cash accumulation over time.
- The death benefit proceeds will go income-tax free to your chosen beneficiary.
- The funds can be used any which way the beneficiary likes.
- Your coverage can be level(immediate), graded or modified. It mainly depends on how a company approves you.
- Most plans come with a 30-day money-back guarantee in most states.
Burial Insurance Riders
The availability of riders for final expense plans is subject to age and state availability. The most common riders are:
- Accelerated Benefit Rider
It is also referred to as Terminal Illness Benefit Rider. This free-rider offers a percentage of the death benefit if the insured is diagnosed with a terminal illness and the death is expected within 24 months or less. The insured who receives this advance can use these funds whichever way he or she likes.
- Nursing Facility Waiver of Premium Rider
This rider waives the policy premium if the insured is admitted to a nursing home for 90 days or more. It can be attached to the policy at the time of purchase for a small premium.
- Accidental Death Benefit Rider
This inexpensive rider becomes active when death occurs usually within 90 days of an accident. The death benefit, in that case, may double.
- Waiver of Premium to Disability Rider
This optional rider waives the policy premium if the insured becomes disabled for a certain period of time. It is important to consider the restrictions before adding this rider to the policy.
- Children and Grandchildren Term Rider
With this rider in place, the insured can purchase a small, usually, between $1,000 to $10,000 term life policy on the children or grandchildren. At later agreed upon date, this amount of this rider can be converted into a permanent policy.
COST OF BURIAL AND FINAL EXPENSES
|BURIAL AND FINAL EXPENSES||AVERAGE COST ($)|
|With 1.5% inflation rate,
this is estimated at $40,000
in the next 15-20 years.
|Grave Plot||400- 10000|
|Burial Clothes||100 - 350|
|Funeral Homes’ Basic Services||1,205 - 1,880|
|Transportation of the body to the Funeral Home||200 - 300|
|Embalming Fees||500 - 680|
|Casket – wood or metal||1,000 - 3,000|
|Burial Vaults Costs||1,000 - 2,000|
|Funeral Ceremony Fees||400 - 600|
|Hearse or Funeral Coach||300 - 400|
|Limousine or Lead Vehicle||200 - 500|
|Grave Opening and Closing||300 - 1000|
|Graveside Service||350 - 500|
|Flowers||220 - 360|
|Headstone||0 - 600|
|Obituary||1,200 - 2,000|
|Miscellaneous and other left out costs||1,000|
|TOTAL AVERAGE BURIAL AND FINAL EXPENSES||Between $8,375 - $25,170|
Comparison of Burial Insurance Plans and Rates
By regulatory laws, agents and brokers offering life insurance products cannot charge a fee for service from a client. Therefore, your premium is exactly what an insurance company asks for and not a penny more.
How to find an Affordable Final Expense Insurance?
- Apply for coverage as soon as you can after you turn 50. The longer you wait, the higher you pay.
- Your health will dictate if you will qualify for lower premium. To figure that out, you will need to call 866.526.7264 and talk a licensed burial life insurance agent, who will have access to multiple insurers to shop a suitable plan for you. Make sure that you have the names your medications ready.
- Final expense insurance is a simplified issue whole life insurance plan. Simplified basically means that there is going to be no medical exam. If you don’t mind going through a medical exam, just apply for a traditional life insurance policy for better rates.
- Feel free to run real time burial insurance quotes using the quoting tool on this page. That will give you an idea of affordability. Call us at 866.526.7264 to see if you will qualify.
How to Pay for Burial Insurance?Most burial insurance carriers accept checking or savings account and, debit cards as a method of payments. A few of of the carriers also accept Social Security Direct Express Card for monthly billing. A very limited number of insurance companies offer paid-up policy options of 20-pay, 10-pay, and single pay. By paying like this you can also end up paying less for the same burial insurance in the long run. If you are interested in making limited payments so you don’t have to pay premiums for the rest of your life, give us a call at 1 818 808 0090 or send us a message to Team@InsureInMinutes.com.
Besides the basics, you will need to provide your social security number, driver license number or, state ID and, your method of payment information(that may include your checking or savings account, credit or debit card).
No company will accept your application without that. Call to enroll at 1.866.526.7264.