What is Final Expense Insurance?
Final expense insurance is designed to cover the bills that your loved ones will face after your death. These costs will include medical bills and funeral expenses. Final expense insurance is also known as Burial Insurance.
what’s the difference between final expense and whole life insurance and the answer is there’s not much of a difference; however, whole life just means that it’s a type of policy that goes from when you start it until you die, it does not expire, they tend to accrue what’s called the cash value final expense policy is usually but not always a whole life policy, final expense means how it’s used a final expense policy is going to be a life insurance policy that takes care of your final expenses.
Things like cremation burial costs, a financial gift to loved one when you’re gone, anything along those lines, income replacement, anything like that, and so a final expense policy 90 something percent of the time will be a whole life policy.
Sometimes, it’s going to be a term policy, usually, a smaller term policy, so final expense policies are usually five, ten, twenty, and as much as about forty thousand in coverage and you can do smaller term life policies for around twenty-five to fifty thousand. So sometimes those will creep in there but the whole life policies are what you’re going to see most of the time because when people are considering whole life policies is usually when they get past the age of 60, 65, usually 70, 75, 80, and 85 which is the maximum age for starting policy and so usually when you get up into those ages, whole life is going to be what you’re going to qualify for. Sometimes, you’ll see term policies up to about seventy or eighty maximum.I hope that’s helpful, keep those questions coming and stay safe out there.
If you are located in the Cottonwood, Sedona, Flagstaff or Prescott area and are looking for more information on affordable Life Insurance Prescott please don’t hesitate to contact us. Use the links below or call us directly at: (928) 323-0933.