Can You Purchase Final Expense Over 70?
If you’re over 70 years, old most life insurance companies will not have a life insurance policy for you. The reason is simple – when a person has reached that age, their risk of death is usually greater and therefore huge chances of loss to the company. However, the good news is that some companies do offer final expense insurance to people who are over the age limit. Final expense insurance kicks in on your path and pays out the premiums to the beneficiaries named on the insurance policy. Your family can still be taken care of financially while you are gone.
What is final expense insurance?
Final expense insurance does just what you think: It helps provide for you and your family after you die. “Final expense” refers to the types of expenses a person typically has when he or she nears death. Such include; funeral services, burial, and final medical expenses.
It's also referred to as the whole life policy of life that's permanent as long as you pay your premiums.
Premium costs stay constant throughout the policy term and it's easy to obtain since no medical exam is required – you can most often get approved within a week.
The application process
Regardless of the company you choose, the application is done online. There should be very little paperwork required from you as part of the process. You will most likely be asked to allow them to have a copy of your medical information released from your physician’s office. The information will be used to determine if you qualify for final expense insurance coverage and the amount of coverage you can expect to receive.
How does the final expense policy work
A final expense insurance policy is something that you can never avoid. All of us know that one day it has to be there with us for our own sake. You have to make sure that your money, which will not be productive after death, is protected and secured for the future needs of your family. So how does this policy work? Let's say you are in your 70s, retired, and no longer have insurance through your employer and you don't have a personal cover. You also are terminally ill and you're concerned about the financial stress you'll leave behind in case you die.
Now it's this time you contact your local insurance agent and check what they have in terms of final expense insurance. Most insurance will just require you to take a short medical questionnaire and your details. From there if your application is a success, you will start receiving the benefits.
Consequently, inform your beneficiaries about your funeral insurance details. When your children/spouse are aware of your plans, it will be easier for them to claim the benefits.
How much does final expense insurance cost?
The premium rates you pay are dependent on your age, gender, health status, and state regulation. In your 70s, you're likely to pay much higher because of your age, might have a terminal illness or you're male. While a woman may pay less but still she will have to pay more than individuals in their 60s or 40s. Ask for a quote so that you know how much to pay according to your age and health details.
What are the benefits of final expense insurance?
Here is how burial insurance can help you if you're in your 70s.
It makes it easier for the grieving family.
After the death of a loved one, family members want to offer the most lavish funeral service. Most families do this as a way of expressing love at that final moment. While this is a good gesture, it might leave them in a bad financial position. So if you had made plans earlier, they will just grief and have the satisfaction of giving you a dignified send-off.
Provides immediate funds to make the final expenses
Planning a burial is expensive and even worse if the insurer has incurred a huge medical bill. However, with the final expense insurance, your beneficiaries will just claim the money and pay for the expenses. Lack of this cover makes everything slow down because your family has to accumulate the expenses first. Delayed burial arrangements can be extremely pricey.
What questions will you answer?
You'll be required to answer some questions before applying for this policy. Unlike other insurance covers, funeral insurance doesn't require strenuous medical exams to go through. Here is a sample of questions you've to answer.
- ➔ What's your age?
- ➔ Do you have cancer, diabetes, or any terminal illness?
- ➔ Are you a smoker?
- ➔ What's your occupation?
- ➔ What is your lifestyle like?
What to look for in a policy
Of course, you ought to buy a policy that covers your predicted funeral expenses as well as any other end-of-life costs. However, also consider the following:
As a whole life insurance policy, your final expense insurance should have a cash value. A good cash value should allow you to withdraw or borrow the cash while you're still alive. That means you can use it to pay for any medical bills or equipment that you might need as you age.
The waiting period
It's important to pay close attention to the waiting period. For instance, if you have got a terminal illness you want a policy that doesn’t have a long waiting period. As a result, your beneficiaries may have to pay huge bills even after you've passed on.
Should you buy final expense insurance?
Yes, it's vital to plan rather than paying medical and funeral expenses from your savings. As much as you may feel some policies are expensive, there is always one that you can afford. But the best insurance policy is the one from a reputable insurance company and provides a safe nest and with zero waiting period. Also, a cover that you can afford to contribute premiums monthly.
Take time to shop for a good one since some companies can mess you up while some are straightforward.