Burial Insurance For Seniors
If you care for an older person, or if you are a senior citizen, then you have probably noticed ads for products called burial insurance or final expense insurance. These are actually small face value whole life insurance policies that are designed to be issued without a lot of health underwriting or credit checks.
Burial Life Insurance policies come in two types: Simplified Issue and Guaranteed Issue. Simplified issue policies provide an immediate death benefit upon issue, and do as some health questions. However they do not have strict health requirements, so most seniors can get one. If you can qualify for simplified issue that is a more affordable and better choice because it provides an immediate death benefit!
Guaranteed Issue Final Expense Policies do not ask any health questions. They use a waiting period instead of health underwriting. If the insured person survives the waiting period, usually 2 or 3 years, than the whole benefit is paid out to beneficiaries upon death. If the insured person passes away before that period is up, then the policy usually stipulates that premiums plus some set interest rate are paid to the beneficiary. If a person has serious health problems or is in a nursing home, this is the way to go. However, these guaranteed issue policies do tend to cost more, per $1,000 of coverage, than a simplified issue policy would cost.
