According to the National Funeral Directors Association, the average cost of a funeral (with a viewing) and burial is around $10,605, while the average cost for cremation is $8,515. The Social Security Administration provides a very small death benefit of $255 to each senior who fits within the guidelines. However, in many cases, it could take months to even get a payment.
Funeral homes expect to receive their money quickly, and most seniors on a fixed income tend to struggle to pay the rising cost of an unexpected funeral bill — for a spouse or loved one. The good news is that most people between the ages of 50 and 85 will qualify for final expense insurance, a state-regulated program designed to pay the entire cost of a burial or cremation in one tax-free payment to your beneficiary.
The premiums for a typical life insurance policy may not be affordable due to your age and health. With final expense, most seniors can still get a policy despite their health. And the smaller death benefit makes final expense premiums more affordable.
You should know this: the cash value of a final expense policy accumulates tax-deferred. Here’s a quick side-by-side look at the pros and cons:
Final expense insurance may not help you pay off a large mortgage, but it will at least help your family pay the bills directly associated with your death. These are bills they’ll have more trouble paying without your income or anything else!
When you choose FinServe Financial with Black Swan Insurance Group for final expense life insurance, your policy is backed by our industry experience. Our licensed agents have been in the business for many years, and we take pride in helping people protect their families. Give us a call today to see how we can help!