What Is Final Expense Insurance and Do You Need It?

No one likes to think about their own funeral or the expenses that come with it.

Unfortunately, those costs don’t disappear when someone passes away. Funeral expenses, burial or cremation costs, medical bills, outstanding debts, and other final expenses can quickly become a financial burden for the people left behind.

That’s where final expense life insurance can help.

Final expense insurance is a type of permanent life insurance generally designed with a smaller death benefit than traditional life insurance.

Its purpose is simple: provide money to your beneficiary that can help cover expenses after your death.

The benefit may be used for things such as:

• Funeral and memorial expenses
• Burial or cremation costs
• Medical bills
• Credit cards or other outstanding debts
• Household expenses
• Other financial needs your family may face

The beneficiary generally decides how the death benefit is used.

Who Is Final Expense Insurance Designed For?

Final expense coverage may be worth considering if you:

• Don’t have enough savings set aside for final expenses
• Want to reduce the financial burden on your family
• Don’t need a large traditional life insurance policy
• Want permanent coverage rather than temporary coverage
• Have older life insurance that may expire or no longer meet your needs
• Want money available to your family relatively quickly after your death

Depending on the insurance company and policy, coverage may be available without a traditional medical exam, although health questions and underwriting requirements may still apply.

Why Plan Ahead?

Many families are forced to make expensive decisions at one of the most difficult times in their lives.

Planning ahead can help make sure your family is grieving your loss — not wondering how they are going to pay for it.

Final expense insurance may also cost less than many people expect, depending on age, health, coverage amount, and the insurance company.

Is Final Expense Insurance Right for You?

Not everyone needs a final expense policy.

If you already have sufficient life insurance or savings specifically available for these costs, additional coverage may not be necessary.

The important thing is knowing where the money will come from when the time comes.

At Setter Financial, we can compare available final expense insurance options from multiple insurance companies and help you understand what may fit your needs and budget.

Education first. No pressure. Just options.

John Cox
Setter Financial
906-364-1644