FINAL EXPENSE INSURANCE
What It Is
A small, permanent life insurance policy designed to cover end-of-life costs: funeral/cremation, medical bills, and small debts.
Why It Matters
Funeral costs can average $8,000–$12,000 or more. Without a plan, loved ones may face a financial burden during a difficult time.
Key Features
- Coverage amounts typically $2,000–$50,000
- Lifetime coverage while premiums are paid
- Level premiums
- Simplified underwriting (often no medical exam)
Policy Types
- Level Benefit: Full coverage from day one for qualified applicants
- Graded Benefit: Limited coverage in the first 2–3 years, then full coverage (designed for certain health histories)
Medicare & Final Expense
Medicare does not cover funeral or burial costs. Final expense pays tax-free cash to your beneficiary.