Burial Insurance for Seniors Overview
If you’ve ever had to plan a funeral, you’re already aware that all of the costs can easily add up to over several thousand dollars. While the average US funeral costs are about $8,000, most people also leave behind other expenses when they pass away. In order to prepare for this financial issue, many families consider buying burial insurance for seniors.
Burial insurance for seniors has been designed to be a type of life insurance that is very easy to apply for. Because the face values are fairly small when compared to policies that people may buy when they are younger. The premiums are still affordable for many elderly people and their families.
Buying Burial Insurance for Seniors
Even though insurers try to offer reasonable rates for elderly people, many senior citizens live on a fixed income, which leaves them with little cash to spare. Since the responsibility of these senior citizens ultimately falls to their adult children who help with burial arrangements, these children often offer to buy the burial insurance policy and make payments for their parents. In this case, those same adult children get named as the beneficiaries, allowing them to collect the proceeds from the insurance when their loved one does pass away.
Although adult children often don’t want to burden their parents with burial insurance details, they need to understand the following information:
- Application: The person who will get covered needs to give permission and participate in the process.
- Payments: Set up automatic payments with a checking or savings account for convenience and to avoid having your burial insurance policy lapse.
Types Of Burial Insurance For Seniors
It is necessary to make a distinction between the different types of burial insurance plans on the market. While they share some common features, there are a variety of options:
Level Burial Insurance Plans for Parents
These burial insurance plans are sometimes called level benefit or simplified issue. While these plans do ask a few health questions, they usually accept reasonably healthy elderly people. Minor health issues like high cholesterol or routine medications are typically not a reason to refuse coverage.
Modified or Graded Benefit Burial Plans
These plans are open to seniors with serious health issues that may keep them from qualifying for level plans. They are offered when the senior cannot answer health questions satisfactorily, or they may ask no health questions at all. The advantage of qualifying for a level benefit, is that the death benefit is payable immediately upon issue.
Certain burial insurance policies will not need certain health questions answered, but there is typically a waiting period before the entire death benefit is payable. If the insured person does pass away before this waiting period ends, the company will either offer to pay a percentage of the full face value or will simply refund previous payments. If the company offers to refund premiums, they may also pay interest. All of the details of each plan should be clearly understood prior to signing.
Regardless of the specifics, nobody loses money by buying any type of burial insurance for seniors.
Find The Best Burial Insurance For Seniors
The choice and cost of burial insurance companies vary by where you live, your age, and your health condition.
Some top burial insurers are:
- Mutual of Omaha
Burial Insurance For Seniors – Quotes Online
Whether you are shopping for yourself or your loved ones, you should begin your search by determining the cost of coverage for different lev death benefit levels.
We have experienced burial insurance agents available online or via the phone who can answer any questions you may have.
Begin now by entering your local ZIP code in the simple quote box and begin reviewing top local choices.