What Is Burial Insurance?
There is an insurance product which is often called burial insurance or final expense insurance. Lots of families are very concerned about the cost of funerals in the US. Estimates vary, but average funerals seem to cost $8,000 or more. In addition, there may be other expenses associated with this sad event. People may need to travel and take time off of work for a funeral. There may also be some medical expenses or other debts to take care of. So a product called burial insurance has been developed to prepare for this.
Burial insurance policies are actually lower face value whole life insurance polices. Face values usually range from about $2,500 to $25,000. They have been designed so that most seniors or middle aged people can be accepted. And so underwriting rules are more lax. Because the face value is low, they are also affordable for many families. You can get burial insurance quotes here.
Make sure you understand that there are 2 basic types of policies. A guaranteed issue plan has been designed to accept everybody in the age group it is marketed to. However, the full death benefit will not be paid unless the insured person survives a waiting period. A simplified issue plan should have an immediate death benefit and cheaper premiums. Most reasonably heathy seniors should qualify even if they have to answer a few health questions. So make sure you are buying the right burial insurance plan for you.
Do You Need Burial Insurance?
If you have plenty of savings to cover final expenses, like burials and travel, you may not need a plan like this. But if you are concerned about paying for a funeral, this can be an affordable way to be prepared. Sometimes older people purchase these policies for themselves, and sometimes family members – like grown kids – will purchase it to cover the older person. It can be a touchy subject to bring up, but many older people are relieved that this problem is resolved.
If you are not sure if a final expense policy for seniors is right for you, it may be a good idea to visit here: life insurance comparisons.
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