With all of life’s expenses, one of the areas lots of people are hoping to save is by finding low cost burial insurance. Any type of life insurance including burial insurance isn’t a glamorous thing to budget but when you think about it, having the peace of mind that your family is protected against paying for a costly, unexpected funeral is well worth the monthly premium. However, as much as it might be priceless taking care of your family’s financial future, it still can’t hurt to make sure you are getting the best value possible with your funeral insurance which is why a lot of people are seeking low cost burial insurance policies.
What determines the cost of burial insurance?
When you think about finding low cost burial insurance, the first thing you consider as with any purchase is how the cost is calculated. Burial insurance is a type of whole life insurance and whole life insurance premiums are based on a customer’s age and health at the time of purchase. That means for the majority of folks, the best time to get low cost burial insurance is immediately because you will never be any younger and health profiles rarely improve with age.
With every passing year you go without the proper life insurance coverage in place, premiums are going up and so are the costs of burial and other final expenses you want to include in your plan. This means the longer you wait, the more you will pay. And no one likes to think about their passing but even worse than the thought of paying more than you have to is the thought that something unexpected could happen leaving your family in a financial bind.
What if you are on a fixed budget- can you still afford burial insurance?
Yes, Yes, Yes… in fact, people on a fixed budget are the people who can’t afford NOT to have final expense insurance. Thankfully when choosing low cost burial insurance, Assurance Life works with plans ranging from as low as $5,000 for those considering cremation all the way up to more extensive plans for people preferring more options including leaving extra money to family members. The good news about how Assurance Life helps our clients through this process is that we can use any starting point of your budget and work from there based on your age and health. This means that we can usually find an affordable plan for any budget. As time goes on, if your needs or financial situation changes, we can add to any plan and increase your death benefit as you might need over the years.
What if I am buying low cost burial insurance for my parents?
It is very common for children to purchase low cost burial insurance for their parents as seniors are living longer which means their retirement funds and social security have to be stretched out. This often means that children want to fill in the gap in the budget so that some type of life insurance plan is in place. It is especially important for families where the surviving children or other family members do not have enough savings set aside to take a $7,000-$10,000 hit in order to pay for an unexpected funeral.
Many times, instead of worrying about having enough in savings or a home equity line, the children prefer to budget a monthly life insurance premium in order to prevent a situation of not having enough money to properly take care of their parents wishes when they pass. This also greatly reduces stress in an already difficult time because no one wants to be arguing about money with family when you are mourning the loss of a parent.
What if I have had a lot of health problems? Will my monthly payment be too high?
Usually when someone is specifically seeking low cost burial insurance, they are worried they might not qualify for a low cost plan due to prior health problems. There are a few ways that you can get the protection you need at the lowest possible cost. Depending on the health situation you are concerned about, there may be a way to get some life insurance in place immediately- enough to cover minimal burial expenses. Then when the health situation that caused you to be a bit high risk passes, you can inquire about adding additional coverage at a lower rate because you are considered a lower risk.
Here is an example:
Let’s say you had heart surgery and it scared you to think of leaving your family without burial insurance protection. The heart surgery may put you in a high risk category for up to two years. What you can do is purchase a policy with a lower death benefit but enough to still protect your family. Then, after the two years, Assurance Life could inquire of companies who don’t look beyond a 2 year history to see if you might get additional coverage to supplement your original policy at a lower premium. This approach means you are covered now and can plan ahead for additional insurance coverage down the road.
How a broker gets you the best low cost burial insurance-
The last consideration to point out about getting low cost burial insurance is how an insurance broker like Assurance Life plays an important part in getting the lowest premiums. When you compare rates for your burial insurance, if you only look at one or two companies, it is likely you aren’t getting a chance to see the lowest cost available to you. Since rates are solely based on age and health, the only way to get the lowest cost is to compare as many companies as possible.
Each company usually has a niche and insurance brokers who work with them on a daily basis become experts in placing clients with the best fit, getting them more coverage for less money. Sometimes, just getting placed with the right company gets you thousands more in coverage AND saves on premiums by up to 30-50%. THAT is how you get low cost burial insurance. It’s all about knowing your product and placing you with the right company.
Let Assurance Life take it from here in helping you find the BEST low cost burial insurance, cremation insurance or funeral insurance plans. Click on Get Quotes Now to compare rates from several burial insurance companies or call us at 800-517-0810.