Have you ever wondered if there is a product that is simple to understand and does what it says it’s going to do?

Or even just checking to see if there is an affordable option so you can leave your family with a little bit of money?

Or looking to insure a parent, grandparent, or beloved senior? If so, you have found the right place!

Burial Insurance

The truth is from time to time we all think about what the future will look like once we are gone or when a loved one passes. Anytime we are talking about a topic as heavy as final wishes or a loved one’s ceremony it is easy to feel uncomfortable or not sure about the idea.

I understand this on a personal level. Experiencing a sudden death in the family it truly is a shocking and somber moment.

Things are moving very fast and typically you do not know who to call, what procedures to follow, or how you will pay for the end-of-life expenses that follow.

After reading through this hopefully, you will better understand more about why this coverage is so important for both you and your loved ones.

Fortunately, there is a very simple and cost-effective way to plan for this inevitable moment in the future.

Have you ever asked yourself-

• Who will help my wife, husband, son, and daughter once I’m gone?
• How will the ceremony be paid for? Will my loved ones have to pay for this out of their pocket?
• Even if I did get a policy how am I sure it will do what it is supposed to do?
• How do I go about buying the policy?

These are all very important questions to consider.

Let’s take a deep dive into the top 10 things to know.

Top 10 Plan Facts:

1. No Medical Exams

These plans are offered with no exams and no waiting period. The only requirement is that you answer a few simple yes or no health questions. Each carrier has slightly different health questions and requirements to qualify.

The better your health is, the better monthly premium and coverage amount you will be able to qualify for. For those in less favorable health, there could be a waiting period before being eligible for full coverage, typically a maximum of 24 months.

2. Premiums Never Change

This means that the price you pay will remain the same for your entire life. The price you see on day one is the same price five, ten, twenty-plus years later. This goes a very long way for your peace of mind and for planning your financial future.

3. The Coverage Never Decreases

Just like premium prices never go up, the death benefit, or coverage amount, will never decrease. You can rest assured knowing that the coverage is locked in. This should be a massive factor in making decisions on a product that is meant to not leave a burden to family members and loved ones.

4. Lower Policy Amounts

What this means is that you receive almost all the same benefits as a traditional whole life policy but for a much smaller monthly premium.

Traditional whole life coverage has face amounts of $50,000 or more. Policies are $50,000 or less. As with any product, make sure burial insurance is the right policy for you.

This is a huge benefit for anyone who is looking for a policy that has affordable monthly premiums but also has lifelong coverage, with prices and coverage that are locked in.

Another reason they are offered in lower coverage amounts is that for most companies the eligibility age is usually 50-85. So if you are looking for coverage for your parents or a senior over 80, this plan is tailored for them!

These plans are even available for people up to 90 years young!

5. There are Four Main Plans

4 types of plans: Level, Graded, Modified, and Guaranteed Issue. Let’s break these down in more depth!

LEVEL

Qualifying for the level plan means you are in great health and answer favorably to all the health questions. The death benefits are applied on the first day of the policy.

This product will be the best-priced with immediate death benefits available. In other words, no waiting period!

GRADED

This product will typically be for people with specific health conditions that are classified as higher risk. The waiting period is typically two years and pays a percentage of the death benefit that increases each year.

For example, the first year would payout 30% of the total coverage amount, year two would pay out 70% and year three and beyond would pay out 100% of the coverage amount.

This product will be at a midpoint price and there will be a delay on death benefit payouts for non-accidental deaths which are typically 24 months. Accidental deaths will be covered in full by most carriers no matter the timing.

MODIFIED

Modified Policies are very similar to Graded Policies, but there are a few very distinct differences. Just like Graded Plans, Modified Policies dive into your health conditions and place you in a more restrictive plan, this may include recent stroke, cancer, alcoholism, etc.

For this policy, the carrier will typically return the paid premiums, plus 10 percent interest on those premiums if a non-accidental death occurs within the first 2 years. For a Non-accidental death, 100% of the money will be awarded if death occurred in year 3 or later, depending on the carrier.

Modified plans are rarely your best option and you should look elsewhere. This is because they have very similar benefits and features as a guaranteed issue policy but in most cases cost more. If you talk with a professional in this niche you will be able to find a better plan than this.

GUARANTEED ISSUE

The great news about this product is just like its name, you are guaranteed to be approved. As long as you can sign your name and are of sound mind you will be approved for this plan. The carrier will reduce the policy limit and place certain age restrictions on the application.

Predominantly Guaranteed Issue Policies do not come with additional add-on options like the policies previously listed. This product is typically reserved for clients with severe health issues and has a 2-year waiting period.

For more information visit “The Plans” page.

6. The Payouts can be Used for Whatever is Needed

Your beneficiary can use the money from the burial insurance to cover any expenses that they deem necessary. This includes, but is not limited to, the following:

• Outstanding Bills
• Post Mortem Expenses
• Flowers, Transportation, other service expenses, etc.
• Other end-of-life expenses
• Leaving an inheritance
• Charity Donations
• Medical Bills

Once the policyholder passes away it will only take a few days for the funds to be distributed to the beneficiary. The company will start to process the claim and distribute the funds once they receive the death certificate.

7. The Death Benefit is Paid Quickly

Once the insured passes away it is important to understand what steps will be required by the company to reward the death benefit to the beneficiary. The carrier will require a copy of the death certificate and your agent can help walk them through the process.

The beneficiary should receive the tax-free lump-sum policy amount within a matter of days. This allows family members and loved ones to receive the money needed to properly celebrate your life rather than being burdened by the finances.

It is extremely important that you use a broker that has you and your beneficiary’s best interest as their top priority. Not many beneficiaries know what the process is to receive a claims check. If you have a highly respected agent or broker representing you, it makes it much more simple once the day comes to collect the policy payout.

8. There is a big difference between Whole Life and Term

Have you ever had a salesperson come to your home, seen a commercial, or like most people received countless flyers to your mailbox? You need to be very clear which kind of coverage they are attempting to sell you. There are two main types of policies.

Whole Life - This is a policy that lasts for your whole life, as the name suggests. This type of policy accumulates a cash value over time allowing you the opportunity to borrow from it if necessary. Generally speaking for larger coverage amounts whole life is going to be more expensive because it is a guaranteed benefit that you are paying into.

Buyer beware! You will want to make sure that if you are taking out a policy to cover these specific costs that it is whole life, not term.

Whole life coverage gives you peace of mind knowing that you cannot outlive your policy.

Term Life - This is a plan in which you determine the length of time that the policy will last at the time of issue. It basically covers you for a set period of time but at some point, that policy will terminate. Term is short for terminate.

99 percent of term policies do not get paid out in the United States.

For example, if you get a policy for a 20-year term at ago 30 you will have the policy until you are 50, at that time the policy will no longer be in effect. You may have the opportunity to apply for coverage again, but your policy will be more expensive than before. Some term policies actually increase in price as you age while inversely lowering your coverage amount.

This type of policy has proven to be a great option for certain people. Anyone looking to replace lost income for a young family at a low monthly rate would be the perfect candidate for this type of coverage. It is more of a short-term plan.

Ultimately the older you get you will have to decide to keep an overpriced and undercovered term policy that even if you keep you could still outlive and end up with no coverage at all.

I would not recommend using a term policy in anticipation of it covering your end of life expenses after living a long life.

9. Prices May Look Higher Than Other Plans Marketed to You. (Read the Fine Print!)

Once again this is something to be very aware of. Someone may call you up pitching you a plan that is $9.99 for $10,000- $20,000 of coverage. What they are not telling you is that the policy will most likely terminate at a certain age.

Whole Life may look more expensive at first but this is not the case when that $9.99 policy terminates at 80 years old and your premiums and coverage are not locked in and you essentially lose everything you have paid up to this point. Be very careful of companies marketing a term policy that terminates at the age of 80.

With Whole Life what you see is what you get. There are no loopholes or gimmicks. If you are told your premium is $65.30 and your coverage amount is $10,000 it is locked in. This ensures that both of these numbers will be the same 10, 20, 30+ years from now.

Your coverage and monthly cost will not change for your whole life. I do not know of a more straightforward and simple to understand plan in the market today.

10. You Can Apply From Anywhere

In most cases, if you try to buy a policy directly through the carrier they will either have limited products to sell or send you to an agent who is licensed to sell the products offered by their company. Buying the products directly from the company is a good idea in theory but in reality, the company contracts most of its top products out to agents and brokers.

You can reach Willamette Life at 833-518-0080

There are 3 ways to apply for coverage once you have found an agent to work with.

Email Application
This is done via cell phone, tablet, or computer. Your agent will help gather all the needed information from you and plug it into their system. This will then generate an email that will be sent to you. Typically the agent will send a series of 2 emails that you will be responsible to open and “e-sign”. This decision can be immediate or it can take 1-4 business days. This depends on the company issuing the policy.

Voice Application
With a voice signature, the agent again collects all the needed information from you. Once this step is completed the agent will connect the carrier into the conversation. A representative from the company will ask yes or no health questions and confirm your information. Once all obligations are completed you will be asked to “sign” with your voice. Most voice signature applications will give an immediate decision on the call.

Paper Application
A paper application is also a possibility if needed, this would be via mail. Your agent would gather all your information and fill out the application. Once this has been done the agent would then mail the application to your address, you would sign the document and mail it back to the agent. Once the agent has the application they will be able to send the application to the carrier and receive a decision within 1-4 business days.

You can start the process on our “Get Started” page.

Final Thoughts

a. Find an independent agent or agency that specializes in this niche. The reason for this is because the agency will have access to many different carriers.

This is important because each company has a different price point and covers different health conditions more favorably than others. If you have access to several companies you will be able to get a much better price and better coverage options.

Someone may be turned down for coverage with one company because they have asthma but another company sees absolutely no issue with that health condition and will give you day 1 coverage.

This is like having the perfect puzzle piece to finish the puzzle or the right key to unlock a door.

b. Whether you are planning for your end-of-life expenses or simply trying to help a parent, sibling, or grandparent make a much-needed decision on a policy it is extremely important to understand all the facts.

There will be a lot of options and it’s important to understand the best options for you or your loved one. Remember, Whole Life is locked in and gives you peace of mind knowing that it will be there once you pass away.

c. Working with an agency that has access to many carrier options is critical for your family and loved ones!

No matter what company is best for you, Mutual Of Omaha, Gerber, or Metlife, here at Willamette Life, we will help you navigate through the process of obtaining a policy for yourself or your family member while matching you with the perfect carrier for your current health and budget.

Jake Irving

I’m the owner and founder of Willamette Life Insurance. Willamette Life specializes in Final Expense Insurance. We compare prices with different insurance carriers while finding the perfect match for your health and budget. This company was started to help educate the public on why Final Expense Insurance could be a great option for them and their family. We strive to be friendly, informative, and always have the client’s best interest as our top priority. Everything in this article is my own professional opinion and experiences I have had during my time in helping clients.