Why is Final Expense Insurance Important?
A final expense policy is a life insurance policy that’s used to help your family cover expenses they will be responsible for after you pass away.
This type of policy does not expire, like a Term insurance plan that is usually temporary and expires at a specific age or length of time. Most companies offer final expense plans to individuals in the 50-85 age demographic. The death benefit is paid directly to the beneficiary the insured selects, tax free. Policy face amounts can range anywhere from $1000 to $50,000 or more depending on the life insurance carrier. Rates are usually based on age, gender, whether you use tobacco or not, and your health history. With funeral costs averaging $8,000-$12,000, it’s important that your family is aware of your wishes regarding proper burial arrangements.