What is a Funeral Insurance Policy?

A “Funeral Insurance Policy” usually refers to a whole life insurance policy with a death benefit of from $2,500 to $25,000.

As the name implies, people buy this type of insurance policy to provide money for funeral and burial costs for themselves and/or their family members.

The average cost of a funeral including burial and final expenses may exceed $7,000.

Pre-Need Funeral Insurance

Pre need funeral insurance is a single premium life insurance policy, from which the death benefit is used to pay the predetermined expenses of the insured’s funeral.

The funeral home agrees to provide the funeral in exchange for the death benefits form the life insurance policy.

In addition to pre-need funeral plans there are funeral insurance policies that pay your beneficiary (instead of the funeral home) the death benefit from your life insurance policy.

That way, your beneficiary can use the proceeds from your funeral insurance policy to pay for your funeral costs, as well as, anything else, like paying off medical bills, credit cards, house payments, or maybe any other expenses related to your funeral and burial costs.

Do Funeral Insurance Premiums Change?

Once you have purchased your funeral insurance policy, your premiums will remain the same until the benefit is paid out or you discontinue your policy.

Funeral policies and premiums are issued based on your current age and health at the time you purchase your coverage and usually do not change or increase as you get older, or if you get sick or injured.

There may be certain payout restrictions stated in your funeral policy; however, and if you pass away before a certain amount of time you may not receive 100% of your policy.

For example, most funeral expense insurance plans offer guaranteed acceptance, which means you may have graded death benefits the first two years you are insured.

However, these plans will accept anyone who meets the age requirements; such as, people age 45 to 85 will be guaranteed approval for a policy.

Here's how to get a funeral insurance plan.

Funeral Insurance Policies

What are funeral insurance policies and how do they work?

Funeral insurance policies are basically life insurance plans that provide the funds needed to help pay for your final expenses when you die, including the cost of your memorial service, burial and funeral expenses.

Many funeral insurance policies offer a limited amount of life insurance coverage, usually up to $25,000.

And, funeral policies offer guaranteed acceptance for people who meet the age requirements which may be age 45 to 75, or age 45 to 85, with most policies.

Also, there are no health exams to take and no health questions to answer. You can get a free funeral insurance quote on the internet and apply completely online without having to meet with an insurance agent.

Some leading life insurance companies offering funeral insurance plans include United of Omaha. Colonial Penn and Metlife, among others.

Click here to compare Funeral Insurance Quotes

How much Funeral Insurance can you Buy?

I need a funeral insurance plan and was wondering how much coverage is available for someone?

Actually, many funeral policies offer from $3,000 up to $25,000 of life insurance coverage.

However, you may be able to buy a policy from more than one insurance carrier. Some of the leading insurers offering funeral insurance include United of Omaha, Met Life and Colonial Penn, among others.

In addition, funeral plans are simplified issue with guaranteed approval, meaning there's no health exam required and no health questions asked.

You can even get an instant quote and apply online for your policy today. Some funeral insurance companies offer same day coverage.

Here's how you can review and compare two of the top funeral insurance policies available.

How much does Funeral Insurance Cost?

I want to purchase a funeral insurance policy but I don't know how much they cost?

Funeral expense life insurance policies offer a limited amount of life insurance protection with rates that vary based on your age, insurance company, and the amount of coverage.

Since funeral insurance usually provides guaranteed approval for those people meeting the age requirements, the amount of coverage available is usually limited to a maximum of $25,000.

With funeral expense plans there is no health exam required, and you may or may not need to answer some health questions when you apply.

Some insurers offer funeral expense insurance with premiums starting as low as $10 per month for a small amount of protection. The higher the amount of coverage, the higher your premium.

In addition, funeral insurance may offer permanent life insurance protection that builds cash value inside the policy, from which you may take a loan, but it varies by plan.