What final expense insurance is
Final expense insurance is a type of whole life insurance with a smaller face amount. It is meant to cover a funeral and the bills that are left when someone dies. Because it is whole life coverage, it doesn't run out after a set number of years. It stays in force as long as the premiums are paid.
Final expense plans are often available from age 50 to 85, and some insurers start at 40 or 45. That means you can usually buy one in your 50s, 60s, 70s or early 80s. Face amounts usually run from a few thousand dollars up to about $50,000, depending on the insurer, your age and your state.
What the money can be used for
The benefit is paid to the beneficiary you name, such as a spouse or a grown child. Your beneficiary decides how to use it. Many families put it toward the funeral first, then toward things like a final medical bill, a car payment or travel for relatives who need to fly in.
For a sense of scale, the National Funeral Directors Association's 2023 General Price List Study put the national median cost of a funeral with viewing and burial at $8,300, and with viewing and cremation at $6,280. Those medians are for the whole country and don't include cemetery, plot, monument or marker costs.
Talk to a licensed agent: (949) 807-3995
Three ways insurers decide what you can get
Most final expense plans don't need a medical exam. Instead, many insurers ask health questions and check prescription history and medical records. The answers decide which kind of plan you are offered, and many insurers focus on conditions from the last 2 to 5 years.
- Level benefit, also called simplified issue: if you qualify, the full benefit is usually paid from the first day.
- Graded or modified: for some health histories, with less paid for a natural death in the first two or three years.
- Guaranteed issue: no health questions are asked, and the first two years carry a limited benefit for natural death.
Calling from Alaska
Eterna's agents work on Eastern time, Monday to Friday, 9am to 9pm. In Alaska that is 5am to 5pm Alaska time, so the morning and early afternoon are the easiest times to reach someone.
When you call, a licensed agent asks your age, whether you use tobacco, the health questions insurers care about, and how much you would like to leave behind. The agent then compares quotes from several insurers so you can see the choices together. You can apply by phone if you find a plan you like. The quote is free and there is no obligation.
Eterna is an independent agency, so its licensed agents help Alaska residents compare plans from several insurers rather than selling one company's policy. The insurer you choose issues the policy. Plans, prices and availability vary by state, insurer, age and health.
If you would like to confirm that an agent is licensed, or you have a general insurance question, the Alaska Division of Insurance can help. Its website is https://www.commerce.alaska.gov/web/ins/, and the division licenses agents, oversees insurers and takes consumer complaints.
