Understanding Final Expense Life Insurance Coverage

You can’t avoid death, but nobody wants to think about his or her own death. Not planning for the inevitable could be one of the worst mistakes that you make for your family. If you were to pass away tomorrow, your loved ones would be left with all of your debts and unpaid expenses, which can leave them under a mountain of debt. The best way to offset those bills is by having a life insurance policy, but maybe you’re getting close to retirement and think that you no longer need a life insurance policy, you could be right. That’s where final expense insurance comes in.

At Longevity Brokers we can help you make the best decisions about your insurance needs. We not only provide life insurance, auto insurance, and home owner’s insurance to our clients in the Denver, Colorado area, but we can also help you make an educated and calculated decision about your insurance needs. Nobody should ever go without the insurance products that they need to protect their family and their savings. We know that buying life insurance can be a difficult process, trying to decide between whole life or a term insurance policy, but maybe you need neither and should go with a final expense insurance plan instead.

What is Final Expense Insurance?

Final expense insurance (also called “burial insurance) is basically just a very small life insurance policy that is used to pay for any funeral expenses or small debts that you would leave behind. These plans are sold from traditional life insurance companies and you can buy them ranging in sizes. Anywhere from a couple of thousands of dollars all the way to $25,000. They are a much more affordable option compared to a larger life insurance plan.

One final expense that you know your family is going to be left with are funeral expenses. Burial costs and all other related bills can easily reach up to $10,000 or more, which can be difficult for a grieving family to cover. That’s how a burial insurance policy can be useful. It will give your family the money they need to respect your final wishes and lay you to rest without adding any financial strain.

Is a Final Expense Insurance Policy Right for me?

There are several different factors that you’ll need to look at to determine if a final expense insurance policy fits your needs. The first thing that you’ll need account for is your debt.

The primary goal of life insurance is to pay off any of your debts, but if you’ve paid off all of your debts and no longer have a mortgage, then you can consider getting a final expense insurance policy instead of a traditional life insurance plan.

The next factor that you’ll need to look at is your paycheck and how many family members rely on that income every month. If your children are out of the house, and you don’t have anyone that needs your salary, then you can consider getting a small burial insurance policy instead. The secondary goal of life insurance is to help your family replace your income after your passing, but if you don’t have anyone that needs that paycheck, you’d be wasting money to have a life insurance plan.

Another factor to consider is your savings account. If you have the money saved up in your bank, that money could be used to pay for the funeral and any other final expenses that you would leave behind.

Getting and Affordable Final Expense Insurance Policy

In most cases, life insurance and final expense insurance are much more affordable than most people think, but there are a few things that you can do to make your premiums even lower. With burial insurance, the application process is a little different than a traditional life insurance policy. With a normal life insurance policy, the company will require that you take a medical exam before they approve you for coverage, but because these plans have much smaller payouts you won’t have to with a final expense insurance plan, but there are still a few things that you can do to get the lowest rates available.

The first way is to purchase a plan as soon as possible. One of the main factors that the insurance company will look at is your age. The older that you are, the more you’ll pay for insurance coverage. Every year is going to mean higher premiums.

Another factor that you can change is any tobacco that you currently use. While the insurance company isn’t going to require a medical exam for your final expense insurance, they may ask a few questions, like if you are a smoker. Smokers are going to pay twice as much for coverage.

The best way to ensure that you’re getting the lowest rates is to compare rates from dozens of companies before you choose the one that fits your needs the best. Every insurance company is different, which means that they will all give you varying rates for the same amount of coverage. Don’t waste your time calling dozens of insurance companies to get the lowest rates, let our insurance agents do all of the work for you. Our insurance agents are independent insurance agents, which means that we don’t only represent one single company, instead re represent dozens of highly-rated insurance companies across the United States.

If you have any questions about life insurance or about final expense life insurance coverage, please contact one of our agents today. At Longevity Brokers we are pleased to provide our customers with affordable and quality insurance products. You can call us at (720)209-4598 or you can use our contact page and an agent will respond shortly.

Getting adequate insurance protection is one of the most important things that you can do for you and your loved ones, don’t wait any longer to get the peace of mind knowing that they will be taken care of, regardless of what happens to you. Expensive funeral costs can leave them with financial stress during a difficult time.

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