The toughest experience we can ever have is usually a loved one's death. But on top of the emotional trauma, we also have to deal with the practical consequences, including end-of-life medical bills and funeral costs. Such a combination can be very draining, both mentally and physically, to the surviving family. This is where final expense life insurance can make a huge difference. You can learn more over at https://shawwilliamsinsurance.com/personalized-insurance/medicare-supplement/.
But with the whole variety of life insurance products that seem to provide the same coverage, what final expense insurance features make it unique?
Life Preparedness as the Focus
Most life insurance policies don't provide specifically for the costs associated with funeral preparation. Depending on material and style, a casket alone can cost more than $10,000. This is outside other funeral costs such as flowers, headstone, transportation and the rest. Final expense insurance lets the family deal with and eventually overcome their grief without worrying where to get the money to cover the bills.
A Whole Life Policy
In regular whole life insurance, the death benefit and insurance premium are typically the same at any stage of the policy's life. Most of these policies last for the life of the policyholder, with some building cash value as well. Whole life insurance is sometimes referred to as permanent life because it has no timeframe limits as opposed to term insurance. For added guidance, do check out https://shawwilliamsinsurance.com/employee-insurance/group-health-insurance/.
An Economical Option
As it is meant for funeral costs, a final expense policy's coverage amount is often less than than that of a typical policy. On average, people spend about $10,000 - $20,000 on personal insurance, which means final expense premiums cost a lot less than more comprehensive policies.
Since the coverage amount is lower than other types of insurance policies, there are final expense policies that don't even need a medical exam for screening, and instead rely on applicants' answers to questions on their form.
So who are the people who will benefit the most from final expense insurance? First and foremost, it never expires (premiums need to be paid, of course) and it holds a cash value over time. Because the death benefit - around $5,000 - $25,000, is less than traditional insurance, it is generally easier on the budget. This is why final expense coverage is a wise option for seniors who want to free their loved ones of the burden of their end-of-life expenses.
On the other hand, not only seniors will do well to secure their families with final expense insurance. Anyone who doesn't want to depart from this world with their families unprepared should seriously consider taking out a life insurance policy. By asking for multiple quotes - including a final expense quote - from different insurers, deciding on the right coverage will be easier.