Final Wishes Covered Blog

5 Types of Expenses Covered By Final Expense Life Insurance

July 29, 2019

 

What is final expense insurance?

We get it. Most people don’t like to talk about plans for end-of-life wishes. These conversations may be tough, but they’re necessary to establish and begin planning for your final wishes. Planning helps take the burden off your loved ones and puts the focus back on enjoying the memories. Final expense life insurance should be a part of the financial road map for you and your family. It is a type of whole life insurance that provides your family with a benefit to help cover end-of-life expenses. However, there are no stipulations or limits on how your beneficiaries can spend the benefit proceeds. This means they can put it towards a memorial service, cremation, outstanding debt, medical bills, or the trip of a lifetime. Because final expense life insurance helps define your legacy and secure your family’s financial future, we’ve come up with a few important ways that your family could spend the benefit proceeds from your final expense life insurance policy.

 

Funeral Services

A funeral or memorial service will most likely be a substantial part of your end-of-life expenses. In fact, the median cost for a funeral in 2017 was $8,755. Many times, it becomes an unexpected burden, as the family of the deceased may not be fully aware of the out-of-pocket costs that come with a funeral. From the cost of a casket to pricey funeral home fees, the price can climb well into the thousands of dollars. That’s why a final expense insurance policy is specifically built to help cover your end-of-life costs.

With Final Wishes Covered, there are several levels of coverage suitable for the different visions you might have for your funeral. If you are a minimalist and would like something more simple, such as cremation or viewing, our Simple Ceremony coverage option might be for you. On the other hand, if you would prefer to go all out and incorporate a full funeral, viewing, and after-service luncheon, our Distinguished Ceremony coverage option could suit your needs the best. No matter which coverage option you decide on, the payout from a final expense policy is normally dispersed quickly. Meaning, the benefit proceeds can help your family take care of any funeral bills.

 

Cremation

Contrary to popular belief, cremation can cost more than many families expect. While a cremation is typically not as expensive as a traditional funeral, the National Funeral Directors Association states that the median cost of a cremation with viewing in 2017 was $6,260. So even though cremation is cheaper than a traditional funeral, it still has a hefty price tag. And any leftover benefit proceeds can be used towards debt, medical expenses, or whatever fits in your family’s grieving process.

 

Debt

Consumer debt approached $14 trillion in the third quarter of 2018, according to the New York Federal Reserve. Whether it be from credit cards, student loans, or a home mortgage, the average American had $38,000 in debt in 2018. Unfortunately, this debt does not just go away when you pass so your family could be left to pay off any of your outstanding loans and payments. This is where final expense life insurance can help. Since there are no restrictions on how your benefit can be spent, your debt left behind can be taken care of rather than placed on your family as a burden.

 

Medical Expenses

In 2018, Americans spent $3.65 trillion on healthcare costs, which is an average of $11,212 per person. End-of-life medical expenses are rarely planned for adequately. Medical bills can be an unexpected financial burden on a family during the grieving process of a loved one. More importantly, your health insurance may not cover all of the expenses, so your beneficiaries might be stuck with the bills. In these emotionally and financially draining times, every penny counts towards paying the medical bills left behind - final expense insurance can be there to help.

 

Vacation

Has your family been dreaming of a trip to Europe or Fiji? If you’re one of the financially-savvy individuals who is debt-free, your final expense policy benefit can be used for your family and loved ones to take a trip of a lifetime - wherever they would like! Your family can carry on with peace of mind and create happy, lifelong memories in part due to your diligence in securing a final expense life insurance policy.

 

The potential of final expense life insurance

These are just 5 ways in which your beneficiaries can opt to use your final expense policy’s benefit proceeds. Since there are no restrictions on how the proceeds are spent, the options are endless! Final expense life insurance can be there when you and your family need it most - whether it's to help with costly funeral bills or simply to help make ends meet.

No matter what option you end up connecting to most deeply, final expense life insurance with Final Wishes Covered may be able to help cover the costs associated with your end-of-life planning, and that increased peace of mind is a wonderful gift to give your loved ones. Visit finalwishescovered.com today to get a free quote in seconds or call 888-432-7066 to talk with one of our in-house, non-commissioned life insurance agents about which plan may be the best fit for you.

 

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Final Wishes Covered
Final Wishes Covered

Final Wishes Covered℠ offers life insurance options that help to cover your final expenses by providing your family with a cash benefit at time of death to cover end-of-life expenses. Our purpose is to make it easy and affordable for you to get life insurance coverage, and we’re dedicated to helping you find the right policy.

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We help to provide financial security and peace of mind to families when the unexpected occurs.

Final Wishes CoveredSM is your partner during the life insurance buying process. Our purpose is to make it easy and affordable for you to get life insurance coverage, and we’re dedicated to helping you find the right policy. We've tailored our process specifically to help you protect your legacy and your family.

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