Final expense insurance, often called burial or funeral insurance, is designed to cover end-of-life expenses, such as funeral costs, medical bills, and other outstanding debts. While it provides financial peace of mind to your loved ones, finding an affordable policy can be challenging, especially with the rising costs in the insurance industry. At Unlimited Insurance, we believe in helping our clients find coverage that fits both their needs and their budget. Here are five strategies to save on final expense insurance, straight from industry experts.
1. Shop Around for the Best Rates
One of the simplest and most effective ways to save on final expense insurance is to compare quotes from multiple insurance providers. Different companies offer varying rates based on factors like age, health status, and policy type. Working with a brokerage like Unlimited Insurance gives you access to multiple providers, so you can find the best policy at the best price.
Tip: Look beyond the premium itself. Compare the benefits, waiting periods, and add-ons that may come with each policy. Some plans may offer added benefits at a similar cost, providing more value for your premium.
2. Choose a Policy with a Lower Face Value
Final expense insurance policies typically come in various face values, ranging from $5,000 to $25,000 or more. Consider calculating how much coverage you actually need. Do you need the highest possible coverage, or will a moderate face value cover most of your anticipated final expenses?
Expert Insight: A report from the National Funeral Directors Association (NFDA) found that the average cost of a funeral with viewing and burial is around $7,848. Opting for a $10,000 policy rather than a $20,000 policy, for instance, could save you significantly in monthly premiums, yet still be enough to cover most end-of-life expenses.
Pro Tip: Review what other financial resources you may have available to cover additional costs, such as savings or other life insurance policies. This can help you determine an adequate face value without over-insuring.
3. Take Advantage of Simplified Issue Policies
Many people choose final expense insurance because it often doesn’t require a medical exam. Instead, most companies offer a "simplified issue" policy where you answer a series of health-related questions. While opting for a "guaranteed issue" policy with no health questions is easier, these policies tend to be more expensive due to the added risk for the insurer.
Expert Insight: If your health history is relatively clear, opting for a simplified issue policy could save you considerably on premiums. These policies are less expensive than guaranteed issue policies but still don’t involve the hassle of a full medical exam.
Pro Tip: If you're unsure which option is best for you, consult with an agent who can assess your health profile and provide a recommendation tailored to your situation.
4. Consider Monthly vs. Annual Premium Payments
Many insurers offer discounts if you pay your premiums annually rather than monthly. While it may seem more manageable to make monthly payments, opting for an annual premium can often reduce your overall costs. This is because insurers typically charge slightly higher rates for the convenience of monthly billing.
Expert Insight: Insurance companies often charge a fee to cover the administrative costs associated with processing monthly payments. Paying annually eliminates this cost, which can save you a small percentage each year.
Pro Tip: If paying annually isn't feasible, ask about semi-annual or quarterly payment options, which may also offer some discount over the standard monthly payment.
5. Work with an Experienced Final Expense Insurance Broker
An experienced insurance broker, such as the agents at Unlimited Insurance, can provide you with insider knowledge and direct you toward policies that best suit your unique needs and financial situation. Brokers often have access to exclusive deals and can leverage their network to secure the best possible rates.
Client Review: "I was able to save almost 20% on my premium just by switching to Unlimited Insurance. They found me a policy that matched my budget without compromising coverage. I couldn’t be happier!" – Sandra M.
Pro Tip: Brokers can also help you understand your policy thoroughly, ensuring you don’t end up with unnecessary add-ons or features that inflate the cost.
Why Choose Unlimited Insurance?
At Unlimited Insurance, we’re dedicated to helping clients save on final expense insurance without sacrificing quality or peace of mind. We believe everyone should have access to affordable final expense coverage that aligns with their personal needs and budget. By working with a wide range of providers, we offer our clients a variety of choices and can help you find policies that keep costs down without cutting corners on essential coverage.
Final Thoughts
Saving on final expense insurance doesn’t mean settling for a lesser policy. By taking a strategic approach, comparing quotes, and working with an experienced broker, you can find a plan that covers your needs and helps protect your loved ones financially when it matters most.
Consider reaching out to our team at Unlimited Insurance to explore affordable final expense insurance options and let us guide you through the process of finding the right plan for you.
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