All of this is general information, not personal advice. The carrier's review of your application — called underwriting — makes the final call on approval and price.
Frequently Asked Questions
What exactly is final expense insurance?
A small whole-life policy that pays your family cash when you pass away. Most plans pay $5,000 to $35,000. Your beneficiary uses it for burial or cremation, medical bills, debts — anything.
How is it different from the life insurance I had at work?
Work plans often end when you leave the job. A final expense policy is yours alone. It lasts your whole life, as long as premiums are paid.
Burial or cremation — does the plan care which I pick?
No. The plan pays cash to your beneficiary. They can use it for a burial, a cremation, or both — whatever you would have wanted.
Will I need a medical exam?
Most often no. Most plans ask health questions on the form instead. Guaranteed-issue plans skip the questions too.
What is the 2-year waiting period?
Guaranteed-issue plans often grade the payout for the first two years. If you pass from natural causes in that time, your beneficiary gets back your premiums plus interest. After two years, the full payout is paid. Accidental death is often covered in full from day one.
Can the price go up later?
No. These are whole-life plans. The premium is fixed on day one and never rises.
Are payouts taxed?
Payouts to a beneficiary are most often not subject to federal income tax. That is general information, not tax advice.
What is Florida's 14-day free-look?
Florida law gives you 14 days after you get a new life insurance policy to cancel it for a full refund. No questions asked.
Is this the same as a preneed funeral plan?
No. A preneed plan pre-pays one funeral home for set services. This is life insurance — cash to your family, usable anywhere. I sell insurance. I do not sell preneed contracts.
How fast is the payout?
It varies by carrier. Many claims pay within days to a few weeks after the carrier gets the death certificate and forms. I help families file when the time comes.
What if I miss a payment?
Plans have a grace period, most often 30 to 31 days. Cash value in the plan may also keep it going. Call me before you miss a payment.
Can I own more than one plan?
Yes. Some people stack two small plans. Just keep the total within your budget.