Did you know the average funeral expenses cost $8,000 – $12,000, and Social Security will pay a maximum of only $255 for those that qualify? This is when life insurance steps in.
Qualifying for the best life insurance companies with heart disease can be difficult depending on what the particular heart condition is. Specifically, obtaining funeral life insurance for congestive heart failure patients is more difficult but still possible.
Funeral Insurance With Congestive Heart Failure (CHF)
CHF is a chronic condition that, due to its severity, is looked at differently by funeral insurance companies. Patients with pre-existing conditions like a heart attack, heart bypass surgery, pacemaker, or defibrillator implant will be looked at differently than seniors with congestive heart failure.
Can You Get Life Insurance with Congestive Heart Failure?
Life insurance for heart failure patients is available. However, even the most lenient plans will have a 2-year waiting period before full coverage can be awarded. Guaranteed issue plans are available to anyone, regardless of health.
After the two-year waiting period, the beneficiary will receive the full policy amount when the insured passes away.
Each funeral insurance company determines what is paid during the waiting period.
This insurance coverage was designed specifically to provide seniors with an affordable way to pay for these inevitable costs while not leaving a financial burden on their loved ones. These whole life plans are also known as final expense coverage or burial insurance.
These policies are simple to understand and easy to obtain. With simplified issue underwriting, it is easy to know if you qualify. Often your policy will be written and sent to you within a matter of days.
Not only is the application process quick, but the beneficiary receives the tax-free lump-sum death benefit soon after filing the claim. Additionally, most people find the flexibility of what funeral insurance covers to be of great importance as it can be used for anything necessary. There are no restrictions to what this money can be spent on.
Final Expense Insurance Benefits
- No Expiration
- Coverage Lock
- Price Lock
- Builds Cash Value
- No Medical Exam
- No Denial
Underwriting: Why Congestive Heart Failure Matters For Burial Insurance Acceptance
Congestive heart failure is a serious heart disease that insurance carriers consider to be high-risk. All burial insurance companies that ask medical questions will specifically inquire about this heart disease.
Causes of a congestive heart failure diagnosis include:
- Coronary artery disease
- High blood pressure (hypertension)
- Longstanding alcohol abuse
- Disorders of the heart valves
- Viral infections of the stiffening of the heart muscle
- Thyroid disorders
- Heart rhythm abnormalities
Many applications will also inquire about pre-existing conditions that lead to a cardiac heart failure diagnosis. Since several things can lead to this, you should also look into the specific condition contributing to your CHF and any treatment you have received.
Other Health Considerations
It is very common for insurance companies to ask about the following heart-failure-related circumstances on the application for insurance coverage.
- Atrial fibrillation
- Bypass surgery
- Coronary artery disease
- Heart attack
- Heart or circulatory surgery
- Stent implant
- Stroke or TIA
Level: This is the only plan type that has immediate coverage. Level policies are also the least expensive and are unavailable to heart failure patients.
Graded: These policies provide a percentage of coverage immediately with the full death benefit available after a 2-year waiting period.
Modified: With a 2-year waiting period, this plan type is available from limited carriers to seniors with CHF. Commonly modified plans are the most expensive.
Guaranteed Issue: This plan type accepts everyone, regardless of their health. It is often called guaranteed or easy acceptance and is a highly advertised coverage option. No medical questions are asked to receive coverage.
How Burial Insurance Companies React to Heart Failure
Several final expense insurance companies will consider you uninsurable, given that you are a patient with a CHF diagnosis. All applications will specifically ask whether you have ever been diagnosed or treated for congestive heart failure.
Insurance providers will react by placing you in one of two types of plans.
Answer Health Questions: By answering health questions, you will be placed in a more restrictive plan. This can also result in denial of insurance coverage. The more restricted plan would be considered either graded or modified, both with a waiting period of at least two years.
Guaranteed Acceptance Plan: Guaranteed issue life insurance might be your best option because it does not ask any health questions. Regardless of health, these policies offer acceptance to all the applicants. Because of this, there is typically a 2-year waiting period with these plans.
Top-rated guaranteed issue plans are better than modified policies due to pricing alone.
Finding The Best Final Expense Insurance With Congestive Heart Failure
While several great insurance companies are on the market, the plan options are limited when dealing with high-risk conditions like CHF.
Since you will be subject to a waiting period regardless, there are 3 things to pay attention to when looking for final expense insurance with congestive heart failure.
Cost: Getting the lowest price is important and could even allow you to get more coverage. A guaranteed policy might be best for you because several companies provide very cost-effective plan options. To get a quote estimate for funeral coverage, use the cost calculator on this page.
Financial Rating: Getting a policy from a company that has a strong financial rating is best. This is important because it illustrates the strength of the company’s financial future and its ability to pay claims when due.
Payout Structure: Compare the payout structure during the waiting period. The most common is a return of paid premiums plus 10% interest given to the beneficiary if death occurs during this time. However, some companies have varying interest rates.
AIG’s Guaranteed Issue policy is a great option for this medical condition.
Captive vs. Independent Agents
The way that captive and independent insurance agents go about getting final expense insurance for their clients is very different.
Captive: These agents are only able to sell products from the one company that they represent. Usually, they have limited offerings or higher prices.
Independent: This type of agent can represent several products from multiple companies. The agency has the freedom to choose what products they represent and ultimately sell. They are not tied to one specific product or market segment. Some agencies choose to focus on a niche market while others cast a wide net.
Why Willamette Life
Willamette Life is an independent agency specializing in helping seniors in need of insurance coverage for their funeral expenses. This allows the team to understand every detail of the products we represent, making us experts in this niche.
The goal of Willamette Life is to place each client with an affordable policy that they want and need, ultimately allowing them to care for their family after they are gone.
We will help you make an informed decision and make sure that burial insurance is a good idea for you.
Call Willamette Life at 844-576-0019
a. Affordable funeral insurance with congestive heart failure is possible to get. Understanding which company will accept this condition is of the highest importance.
b. Congestive heart failure patients will encounter a 2-year waiting period before being fully covered. A guaranteed acceptance plan might be the most cost-effective option.
c. It is always best to work with an independent agency to get the best plan for your specific needs. This will save you time and money.
Stacie manages the content for Willamette Life by keeping it up to date and accurate. By taking the questions frequently asked by clients she has been able to assist in developing a series of blogs that will hopefully be able to help more people than just those we are able to speak with.
We would be happy to answer your specific questions if there is anything we haven’t covered yet.