Who typically buys a final expense insurance policy?

This may sound like an easy question, but there are many people that own final expense life insurance or burial life insurance because they thought that was all that they could qualify for, not because it was the best insurance option for them!

So, let’s first discuss what a final expense life insurance or burial life insurance policy is designed to do, and then see if it’s a good option to consider for you.

Final expense life insurance policies are typically:

  • Small cash value whole life final expense insurance policies ranging from $3,000 to $50,000.
  • They’ll usually have an “easier” application process. Often these policies require no medical exam and many do not ask any health questions.
  • These policies will typically go in force within 24 to 48 hours after the application has been received, which makes them attractive for those who want some coverage right away!
  • They come in two flavors: level and graded death benefit. (Discussed below: It is important to know the difference between the two).
  • Also referred to as funeral insurance.

Burial insurance (also called final expense life insurance for whole life insurance) pays the beneficiary of your choosing a lump-sum cash benefit when you pass away.

The purpose of this cash-benefit is to pay off any remaining final expenses you incur upon death. Most common expenses include burial costs, cremation costs, and paying off any remaining debts.

Despite popular belief, final expense life insurance does not automatically go to the funeral home.As mentioned previously, YOU are in full control of who you want the beneficiary to be.Sure. It CAN be the funeral home. But it doesn’t HAVE to be.In fact, most name a loved one like a spouse or child to receive the death benefit payout. Most like to keep the money in the family, first and foremost.

With this freedom comes the beneficiary’s freedom to do as he or she pleases with the money. But most likely your selected beneficiary will follow through and take care of your burial costs.


You can purchase a whole life burial insurance plan at whatever size and budget works for you.

It’s important that you get the right kind of plan that best aligns with your goals.

Don’t get hoodwinked into buying a burial insurance plan that doesn’t accomplish the ultimate goal of why you want to purchase it in the first place.