Best Senior Final Expense Life Insurance Options

Final expense life insurance is one of the popular whole life insurance among seniors. It is the best life insurance as it covers medical and legal bills besides final expenses. Seniors prefer this life insurance because of its various options. Once you buy senior final expense life insurance, your loved ones are financially safe.

Final Expense Insurance

Most of the time people confuse final expense life insurance with traditional life insurance. It is crucial to keep in mind that final expense insurance is the opposite of traditional insurance. It is a whole life insurance that provides you benefits for a lifetime.

Final expense insurance covers end-to-life expenses. Although it has a smaller face amount than others. For example, it covers your medical bills and credit card balances. It also covers outstanding debts.

Your loved ones receive death benefits. They receive cash payment right after you die. With this cash payment, they can cover final expenses or other necessary expenses. They are free to spend the money.

In senior final expense life insurance, you do not need a medical exam. Some life insurance needs a medical exam. This makes it difficult for seniors to qualify for life insurance. However, in senior final expense life insurance, you receive an acceptance without any medical exam.

Final Expense Life Insurance

Final expense life insurance is a form of life insurance. It provides you with funds to cover your final expenses. This life insurance coverage is not limited to funeral and burial expenses. It provides coverage for your medical bills as well.

When a senior buys final expense life insurance, he helps to ease the financial burden on his family. Families grieve and stress less, when there is final expense life insurance. Planning and managing your final expense is crucial. A senior must plan after he or she is 60.

One of the best selling points of senior final expense life insurance is its end-to-life coverage policy. Additionally, families receive the funds and there are no rules to spend the money. This flexibility is another reason for being the best life insurance policy.

Services of senior final expense life insurance

Senior final expense life insurance offers services like:

Funeral expenses
Burial expenses
Medical bills
Credit card bills
Mortgages
Outstanding debts
Residential care

Funeral and burial services of final expense life insurance

The burial and funeral services that Final Expense Life Insurance provides are:

Headstones or gravestones
Casket
Embalming
Interment
Cremation
Transportation
Flowers
Music
Staff to manage funeral services

Why Seniors Final Expense Life insurance Is Needed?

The unexpected expenses of a funeral can weaken your family emotionally and financially. Your final expenses may leave a financial burden on them. Covering medical expenses and final expenses may become a challenging task. In such situations, your family needs financial support. Senior’s final expense life insurance can give this financial support to your loved ones.

Final expense life insurance provides death benefits. The beneficiary will receive these death benefits upon the death of the policyholder. He will receive a cash payment to cover funeral services. He can also spend the money on other expenses too.

Seniors need final expense life insurance as it covers their needs. You can cover your medical bills with senior final expense life insurance. You have the option to use half of the amount on your medical bills. If you are getting any residential care, senior final expense life insurance will cover it.

It is important to keep in mind that services vary from policy to policy. There are various options in senior final expense life insurance. Each option offers different services.

Key benefits of final expense life insurance for seniors

You do not need a medical exam. Traditional life insurance needs a medical exam. When there is a need for a medical exam, there is less probability of getting an acceptance. But, if life insurance does not need a medical exam, seniors with serious health issues can apply. The probability of getting an acceptance is high.
Final expense life insurance eases the financial burden and gives emotional support. Your loved ones do not have to pay for your burial and funeral services. The final expense will cover those services.
Final expense life insurance is an affordable whole life insurance. It has small premiums. An individual has to pay $40 to $50 every month. Keeping up with the premiums is vital to receive coverage. Remember, the premium amount will increase for seniors over 70. The premium rates hike up with age. It can go up to $100 to $200.
In final expense life insurance, there are fast insurance claims. Your loved ones will get the payment instantly. There is no delay in final expense life insurance. Your family will not have to pay a single penny out of their pockets for your funeral services.

Types Of Senior Final Expanse Life Insurance

There are three main categories of senior final expense life insurance. Each category has further types. Find about the three main categories below.

Whole life insurance or term life insurance
Guaranteed issue or medically underwritten policy
Nonguaranteed expense lock or guaranteed expense lock

Whole life insurance

As the name shows, this insurance offers complete coverage. It is a permanent insurance providing end-of-life expenses. It does not have an end date and that is why it is called permanent life insurance. Whole life insurance is one of the best life insurance for seniors.

Seniors looking for life insurance with no expiry date can go for whole life insurance. It will remain in force for their entire life. After the death of an insured, the beneficiary will get the death benefits.

However, it is important to pay the premiums every month. Whole life insurance has higher premiums as compared to other life insurance. The reason why the premiums are high is its permanent insurance policy. An applicant must pay the premiums until his death.

Moreover, it has cash value. It also includes variable life and universal life. Also, the death benefit that the beneficiary will receive is tax-free. Income tax may apply in some unusual cases.

Term life insurance

Term life insurance is much cheaper than whole life insurance. Some people need temporary life insurance. For those who are seeking temporary life insurance can buy term life insurance.

Term life insurance is not permanent. It has an expiry date. Due to its limited time, it is much cheaper than other life insurance. Also, it offers fixed payments for a specific term. After the term, coverage is no longer guaranteed. The beneficiary receives the death benefit if the insured dies.

The premium amount is low and it makes it an affordable plan. It provides coverage at a fixed rate because of the fixed premium rate. It is a type of insurance that provides income replacement for an insurer.

Term life insurance is not used for estate planning or charitable giving. But, it is used for pure income replacement needs. Term insurance does not provide a return of premium if no claims are filed.

Guaranteed issue

One thing seniors need is a life insurance that offers guaranteed coverage. A policy accepting them even if they have health issues is the best selling point of life insurance.

As you get older, you become vulnerable to health issues. You are more prone to illness than younger people. Certain health conditions started to develop. During this age finding a life insurance that gives guaranteed coverage is difficult. In this situation, guaranteed issue life insurance comes into play.

Guaranteed issue offers final expense coverage even though you have serious health issues. Regardless of your health status, you will receive the benefits.

The Patient Protection and Affordable Care Act mandates the guaranteed issue life insurance. Before the Affordable Care Act, only a few states were offering guaranteed issue life insurance. Now, it is available in all states. Affordable Care Act made it easy for seniors to access guaranteed life insurance.

Medically underwritten policy

Seniors consider medically underwritten policy when they have a good health status. People who have minor health issues can also buy this life insurance policy. However, this does not mean that a medically underwritten policy will not review your medical history. It needs your medical history showing your health records. This helps to offer maximum benefit to senior insurers.

The medically underwritten policy uses medical information. This medical information helps to evaluate your health status and eligibility for coverage. Your health status will help to decide coverage and premium rates.

The medically underwritten policy includes two methods: full medical underwriting and moratorium underwriting. The law restricts the use of medically underwritten policies in some places. However, if allowed there should be practical, legal, and cost-effective criteria.

Purpose

According to insurance providers, this life insurance is necessary as it prevents seniors from purchasing the insurance only when they are sick. It will discourage low-users and attract high-users.

Medical underwriting policy helps to maintain low health insurance premiums. It also increases the chances of applicants to qualify for life insurance.

Guaranteed expense lock

Guaranteed expense lock is another life insurance that offers final expenses to seniors. In this policy type, a senior can select the prices of funeral and burial services. You lock the rate once you select the prices. This means that there will be no additional charges or benefits.

Seniors who want to select the rates in advance can buy a guaranteed expense lock. This life insurance will offer you permanent coverage. In addition, your loved ones will receive a guaranteed payout.

Guaranteed expense lock is cheap but it offers a small face amount. Your loved ones may receive a smaller benefit.

Non-Guaranteed expense lock

This life insurance is the opposite of a guaranteed expense lock. Seniors do not have the option to select the prices of burial services. The rates are not locked.

The cost of the policy can increase or decrease. When the policy costs increase, there will be additional charges. The difference has to be paid by your family.

Guaranteed Issue vs. Simplified Issue

Simplified issue

Simplified issue life insurance has a simple process. It does not need any medical exam. An applicant can easily qualify for simplified issue life insurance. Seniors who are not qualified for other life insurance policies can buy simplified issues. It may include a few health-related questions. But, it does not include lengthy questions regarding health status.

The insurance providers gather the health information of an applicant from a third party. This third party could be a healthcare facility or a drug store. This helps them to access the applicants.

Pros of simplified issue

The application process for a simplified issue is simple and easy. The application is short with few questions.
There is no need to take a medical exam. The applicant gets approval without a medical exam
The insurer receives an instant approval. A simplified issue is known for its quick approval. Other policies may take days or weeks.
It is way cheaper than other life insurance.
It offers low premiums for senior final expense life insurance
The simplified issue has maximum coverage. The death benefits are more as well.

Cons of simplified issue

Healthy applicants get the benefits while unhealthy seniors do not get any benefits.
The simplified issue has a period of two years. If the insurer dies after this period, the policy refunds the premiums.
There is limited coverage.

Guaranteed issue

Guaranteed issue, as discussed above, offers guaranteed services. However, seniors with terminal health issues cannot apply for this life insurance.

How Seniors Can Apply For Final Expense Life Insurance

It can be challenging for seniors to find the right policy for them. But, if search properly, it is easy to find and apply for the senior final expense life insurance. It is important to understand the policies and services they provide.

Access your needs and then look for the services that life insurance provides. If the final expense policy is providing the services you need, contact the insurance provider or its agent. Ask questions and clear all confusion.

Steps involved

Once you understand the plan, start your application. There are several steps to apply for senior final expense life insurance.

The first step is to select an insurance provider. There are plenty of insurers that offer senior final expense life insurance. Visit their websites and check their features. Their rating, customer experience and financial strength will help you to select the right firm.
Secondly, choose the policy type. You may need a term life insurance or a whole life insurance. Evaluate your needs and then select one policy option
The third step is to choose the beneficiary. This beneficiary will get the death benefits. Thus, it is essential to select a trustworthy person.
Submit your application and get an instant approval.

Best Companies For Senior Final Expense Life Insurance

There are plenty of insurance providers in the life insurance industry. However, few of them may fit best for seniors. Some firms that are the best to offer senior final expense life insurance are:

Corebridge financial

Corebridge Financial is the best option for senior final expense life insurance. It offers a variety of services to seniors. It includes both guaranteed and simplified life insurance.

You will get instant approval in Corebridge Financial. Corebridge Financial has competitive prices for seniors. Additionally, it allows seniors of all ages to apply. The underwriting policy will enhance the chances of acceptance for sick applicants. Nevertheless, you may have to take a medical exam for Corebridge Financial.

Mutual of Omaha

Mutual of Omaha is one of the best and cheapest firms to offer senior final expense life insurance. You have to pay very low premiums. The premium rates make it affordable for financially weak seniors.

Moreover, you do not have to take any medical exam. The customer reviews are positive and the rating is strong for Mutual of Omaha.

Gerber life insurance

Gerber life insurance is best for seniors over 70. Seniors over 70 face challenges in finding a policy, offering maximum coverage. Such older adults can choose Gerber life insurance. It offers senior final expense life insurance with low premium rates.