Final Expense Life Insurance – All You Need to Know!

life insurance with brokerFinal expense life insurance is a policy designed to cover the insured’s funeral expenses. In many ways, it works like any other life insurance plan, but there are some important differences. This policy is usually sold to senior citizens or to people who have health problems.

In this blog post, we will discuss all the important aspects of final expense insurance. Knowing more about a plan will help you make the right decision when it comes to buying coverage.

How to qualify

The application process is very simple. In order to qualify, you will have to answer 4 questions. There are no medical background checks and you will not have to take any medical examinations. When applying for final expense life insurance, answering 4 questions is all that it takes to qualify.

Here is what you will have to answer:

  • Have you been diagnosed with HIV/AIDS?
  • Are you currently suffering of cancer?
  • Have you been declared terminally ill (have less than 12 months to live)?
  • Are you a smoker?

If you answer “no” to the first three questions, you will be accepted. Smoking does not disqualify you, but it makes life insurance premiums very expensive.  It is important to note that this type of plan can be purchased by senior citizens who are over 65 years old.

The death benefit

Like any other life insurance policy, final expense guarantees a death benefit which will be received by the insured’s beneficiaries after he/she passes away. Final expense life insurance however, provides a graded benefit. This means that if you die in two years after signing the policy, your beneficiaries will not receive the full death benefit. Instead, the agency will only refund the amount spent on premiums.

The amount you can purchase as coverage is also lowered for final expense. You can purchase a policy with a maximum face value of $50,000.

In conclusion, final expense life insurance is best suited for senior citizens who need a convenient and affordable way of covering their funeral expenses. You can compare life insurance quotes and find out more on our website. Visit us!