Final Expense

What is Final Expense Insurance?

Final expense insurance policies have a lower face value than standard life insurance plans. Clients can purchase a final expense insurance policy with a coverage limit of several thousand dollars—enough to pay for a basic funeral service, casket, burial, and cemetery plot. Term or whole life coverage generally begins at $10,000, which is an amount that may exceed one’s needs.

Final ExpenseFinal expense insurance will ensure that the costs associated with funeral and burial costs are covered and not left in the hands of loved ones, which limits the stress and financial burden put on your client’s grieving family. While a traditional life insurance policy can provide funeral and burial coverage, traditional coverage is not the answer for everyone. If your client cannot qualify for a standard life policy because of a pre-existing medical condition, or if they have other means of providing for their loved ones after their death, final expense may be the right fit.

Losing a loved one is an overwhelming experience, and the stress of making countless decisions can cause your client’s family to overspend if they don’t know what to expect. By taking the first steps to plan ahead, your client can provide his or her loved ones with a helpful listing of detailed information that will someday be necessary for them to use. While it’s not easy for anyone to think about death, it’s better to prepare your client with answers to difficult decisions that will need to be made. This way, it is easier on the family.

On average in America a funeral costs $7,000. If your clients do not have final expense insurance, sometimes the family of the client will have to pay for it. Do not let your clients leave their family with that cost. Having those sensitive talks with your clients can prevent that situation.

According to Transamerica Life Insurance:

Casket and Vault $3,693
Basic Services Fee $1,975
Facilities Charge $895
Embalming $695
Preparation of Body $225
Service Car/Van $130
Hearse $295
Transfer of Deceased $285
Memorial Service $150
*Other cash payments, such as cemetery plot, headstone, etc. are not included above.