Final Expense Life Insurance: Is It Right for You?

Final expense life insurance, sometimes called burial insurance or funeral insurance, is a type of whole life policy with a smaller death benefit. It is designed to help your family pay for funeral services, burial or cremation, outstanding medical bills, and other costs that arise at the end of life.

Typical coverage amounts

Final expense policies usually offer smaller benefit amounts compared to traditional life insurance. The lower benefit amount keeps premiums manageable while still providing meaningful help for end-of-life expenses.

Benefits of final expense coverage

• Helps family members avoid paying funeral costs out of pocket
• Often available without a medical exam
• Premiums typically stay level for the life of the policy
• Cash benefit paid directly to your named beneficiary
• Can supplement other life insurance you already have

Things to consider

Read the policy carefully before you apply. Some final expense policies include a graded death benefit, meaning the full benefit may not pay out immediately if death occurs from natural causes within the first two years. A licensed agent can explain the specific terms for any policy you are considering.