"Final expense" or "burial" life insurance is a type of life insurance designed to cover the costs associated with a person's funeral, burial, and other end-of-life expenses. It is often marketed to individuals between the ages of 50 and 80, although eligibility requirements and available coverage may vary depending on the insurance provider.

Here's why people might consider final expense life insurance:

  1. Covering Funeral Costs: Funerals can be expensive, and final expense insurance helps ensure that your loved ones are not burdened with the financial strain of arranging a proper farewell. It can cover expenses such as caskets, urns, burial plots, memorial services, and transportation.

  2. No Medical Exam or Simplified Underwriting: Many final expense insurance policies offer simplified underwriting processes, which means that applicants may not need to undergo a detailed medical examination or provide extensive medical history. This can make it easier for older individuals or those with health concerns to secure coverage.

  3. Affordability: Final expense policies tend to have lower face values (coverage amounts) compared to traditional life insurance policies, which can make them more affordable for individuals on a fixed income or those looking for a smaller coverage amount.

  4. Guaranteed Acceptance: Some final expense policies are marketed as "guaranteed acceptance" policies, meaning that as long as you meet certain age criteria, you can secure coverage without being denied based on health status.

  5. Legacy and Peace of Mind: Having final expense insurance in place provides peace of mind, knowing that your loved ones will have the financial means to carry out your wishes and provide a proper send-off.

  6. Debt and Other Expenses: In addition to funeral costs, final expense insurance can also help cover other outstanding debts, medical bills, or other financial obligations that might be left behind.

  7. Estate Preservation: If you have specific assets or savings earmarked for your beneficiaries, a final expense policy can help ensure that these assets are preserved for them rather than being used to cover funeral costs.

It's important to carefully review the terms, conditions, and coverage options of any final expense insurance policy before purchasing. While these policies can offer peace of mind and financial relief for your loved ones, they may also have limitations, such as lower coverage amounts and higher premiums per dollar of coverage compared to other types of life insurance.

If you're considering final expense insurance, it's advisable to consult with a financial advisor or insurance professional to assess your needs and explore the most suitable options based on your individual circumstances. Learn how to get final life insurance for ages 50-80.