Final expense insurance is a great policy, but it has its limits in what it can fully cover. Final expense’s death benefits don’t quite reach the heights of other types of life insurance, but it can be a lifesaver depending on your intended purpose.
How Large Is The Death Benefit For Final Expense?
There are a variety of factors that can determine the size of the death benefit you’ll get, including your age and health, as well as the insurer you’re purchasing your policy from.
Final expense policies range from $2,000 to $50,000. While it provides a substantial amount of funds at once, it’s unlikely that it will cover all of your loved ones’ debts, which may include credit card debts, student loans, mortgage payments, or monthly living expenses.
What Can A Final Expense Policy Cover In Full?
While funds aren’t monitored or required to be used in any certain way, most purchase final expense to cover funeral costs. That’s why it is also known as burial insurance, because it covers the costs that immediately follow one’s death.
Depending on your funeral arrangements, whether you choose burial or cremation, the city you live in, and the funeral home you get your services from, a funeral can cost anywhere between $7,000 and $12,000. Given the potential death benefit size you can get with a final expense policy, you can easily cover funeral costs in full.
What Do Funeral Costs Consist Of?
The overall funeral bill comes from a combination of several itemized costs, all negotiable with the exception of the funeral home’s mandatory fee.
Examples of costs include:
- Mandatory fee – $2,300
- Metal casket – $2,500
- Embalming – $775
- Staff for viewing – $450
- Staff for funeral ceremony – $515
- Hearse – $350
- Service Car – $150
- Transportation of remains to funeral home – $350
This excludes separate cremation and burial fees and their associated expenses. With cremation, you can expect to pay $7,000 in overall costs. With burials, that number increases to a little over $9,000.
But even with a relatively small death benefit, you can still make arrangements in such a way that you’ll be able to cover everything no matter what. As a consumer, you have the right to know exact itemized costs for your funeral, and you have the right to supply your own casket or urn to help save on costs. Aside from the mandatory fee, the funeral home cannot force you to pay for any unwanted service or item. You’re able to buy what you want so final expense can cover everything you need.
Get The Policy That Covers Everything You Need
At Expense Mutual, we want you to have peace of mind in knowing that your final expenses will be covered. We offer final expense insurance to help you and your loved ones have peace of mind when it comes to your final costs. Call us today at 470-761-4652.