Utah Final Expense Insurance: 11 Intriguing Questions

Utah Final Expense Insurance
Utah Final Expense Insurance: 11 Intriguing Questions

The Beehive State has so much to offer from the Great Salt Lake to Zion National Park Utahans are blessed.

What is not always thought about is the inevitable bills that come at the end of one’s life, this is a major monetary burden for family members who are attempting to grieve and mourn one’s death.

Typically the last item these family members want to think about during this time is who will come up with the money to properly honor the deceased.

Funeral costs can range over a wide variety of price points depending on many factors.

The average traditional burial service in Utah is $7,417

The average traditional cremation service in UT is $5,959

Location

Burial

Cremation

Bountiful$8,087$6,707
Coalville$7,517$5,892
Layton$8,177$6,932
Logan$6,522$5,107
Morgan$7,517$5,892
Ogden$7,453$6,117
Pleasant Grove$6,560$5,140
Provo$7,525$5,948
Salt Lake City$7,299$5,821
Springville$7,510$6,035
State Average$7,417$5,959

Not included in the price estimates:

  • Cost of Headstone, Monument, or Marker
  • Cemetery Property, Plot of Land, Columbarium, etc.

Fortunately, this is when a Final Expense Insurance policy can be so valuable.

Utah button

Utah Final Expense Insurance

The average age of death in the state is 78.2 for males and 81.6 for females.

This is above the national average for men and women in terms of lifespan.

National Average:

  • Males 76.1
  • Females 81.1

Listed below are the top 10 leading causes of death in the state.

  1. Heart Disease
  2. Cancer
  3. Accidents
  4. Alzheimer’s Disease
  5. Stroke
  6. Chronic Lower Respiratory Disease
  7. Suicide
  8. Diabetes
  9. Kidney Disease
  10. Flu/Pneumonia

Every person knows a family member, friend, or acquaintance who has been affected by one of these medical conditions. The most proactive thing one can do is create a financial plan so their family members are able to celebrate their life instead of being burdened by it.

highway and red rocks

11 Intriguing Questions

1. What is Final Expense Insurance?

This is a type of whole life coverage, which means there are three key benefits to each and every plan.

Coverage will never decrease or expire: When you take out a policy that is meant for your end of life expenses the plan better be there for your family when it is needed the most.

This plan is guaranteed to be active and will distribute the coverage amount to the beneficiary when the policyholder passes away.

Price will never raise: The price will be locked in forever. There will never be a surprise rate hike, the price you pay on day one will be the same price paid in year 30 of the policy.

There is not a more straightforward policy on the market, as long as you make your monthly payments your beneficiary will be taken care of.

Cash value will build over time: For each payment made a portion will go towards the cash value. Over time this account will grow and you can borrow against the plan if you choose.

cash value growing

The biggest difference between this policy type and a traditional whole life plan is the coverage size. This product is meant for the bills that come at the end of one’s life so the coverage amount is not as large.

Typically the coverage amounts will be between $2,000 and $40,000, making the payments much more affordable while still upholding the integrity of the plan structure.

2. Lump-sum payout: What can it be used for?

The policy can simply be used for whatever the beneficiary chooses. There is no mandate on what has to be purchased, however, here is a list of items that beneficiaries typically use the payout for.

  • Cremation
  • Memorial/Celebration of Life
  • Leaving an Inheritance
  • Legal Expenses
  • Medical Bills
  • Charity Donations
  • Credit Cards
  • Post-Mortem Expenses
  • Remaining Balance on a Mortgage
  • Remaining Car Loan Balances
  • Other End-of-Life Expenses

3. Captive or Independent Agent: How to choose?

Both of these agents are able to find you a respectable product, however, there is one major difference.

Captive: This agent is only allowed to represent one single company, this means that even if there is a lower price or better plan through a different company they are not allowed to offer you another plan.

This may seem like not a big deal but when we look at how each provider underwrites their products, it is a game-changer.

Each carrier has different underwriting standards which means that one company may deny an applicant with the medical condition of neuropathy but another company will approve the diagnosis.

The same goes for the price, each company dictates the price point of the product. Just like anything, having more prices to compare is better.

Independent: This agent represents as many companies as they choose. This means they are able to go shopping on behalf of the applicant and find the best price and plan structure.

Independent Agent

Choose independent, this will drastically increase the percentage that you will find the best plan for you.

4. Qualifying for coverage: What is the best way?

Contact an independent agent who is highly rated and has access to multiple carriers.

Prior to contacting an agent, it is best to learn the basics of the different plan types.

  • Level: Great Health
  • Graded: Average Health
  • Modified: Past Health Concerns
  • Guaranteed Issue: Major Medical Issues

Every applicant will qualify for one of these plan options.

5. How old can I be and still obtain coverage?

The overwhelming majority of carriers will provide initial coverage until the age of 80 or 85, however, there is a select group of companies that will award coverage until 90 years old.

90 green circle

Coverage never expires and this section is just talking about the initial coverage age.

 6. What is a waiting period?

This is the time a provider places on higher risk cases. The carrier will award coverage but will implement a waiting period prior to full coverage becoming available.

This waiting period is typically two years long.

If the insured passes away once the waiting period is over, the beneficiary will receive the full coverage amount.

7. First-day coverage: How do I get it?

Everyone should attempt to obtain first-day coverage, this will be the lowest price point and have the best payout structure.

To see if you qualify for this plan type always work with an independent agent. Each carrier has different underwriting techniques and it will truly vary from company to company if they will take on your medical history.

8. I am looking for the best coverage: How do I find it?

The best coverage for you can be very different from the best coverage for a friend, family member, or even spouse. This is because the providers will base qualifications upon three factors.

health age gender

Health: Your health has a major impact on which company will take you on and award coverage. Every carrier has different standards when it comes to underwriting, and some care about certain conditions and some don’t.

Age: Your age will determine the price that you pay for coverage. Once you have secured your policy the price will never change. However, the initial age upon receiving coverage will dictate the price.

Do not put off buying your policy, it will just become more expensive the older you get until you move forward with coverage.

Gender: Females on average live four years longer than males do, this means that females will receive a lower price than men. It is nothing personal just genetics and math.

9. I hear three names to describe this product: Which name is correct?

These three names are used by the providers to market the product, you will hear this terminology used interchangeably.

Three names for this plan type

These mean the exact same thing!

10. I would like coverage: How do I apply?

You are able to apply for coverage with a few different options, the easiest and most popular option is over the phone. This process will take roughly 30 minutes to complete and coverage will be awarded in a few business days.

11. How do I secure a quote?

The single easiest way is by using the online quote machine, this will give you a list of carriers and prices.

To know which company and plan you qualify for contact Willamette Life at 833-518-0080.

6 Respected Plans

6 Respected Plans

#1 Mutual Of Omaha – Living Promise (Level)Mutual Of Omaha Logo

The Level plan from Mutual of Omaha is a really strong product.

This plan is designed for those in great health.

Offering first-day coverage and low premiums, if you can qualify, this is the best plan in the state.

Quick Plan Facts

  • Available ages: 45-85
  • Coverage: $2,000-$40,000
  • Immediate coverage

Visit the blog section under the main menu to read a full review of this plan.

Quotes

Male

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45$27$39$51
50$31$44$58
55$36$52$69
60$44$64$84
65$56$83$110
70$75$110$146
75$100$148$197
80$140$208$276
85$193$288$382
Female

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45$23$32$42
50$24$35$45
55$28$40$52
60$33$48$63
65$41$60$79
70$53$78$103
75$72$107$142
80$98$146$194
85$136$202$269

#2 Foresters Financial – PlanRight (Preferred)Foresters Financial Logo black and white

The Preferred Plan from Foresters Financial is a wonderful product.

It includes immediate coverage and low premiums, additionally, when you purchase a plan from this carrier you will receive discounts on products like dental and vision services.

Use this plan if you are in good health.

Quick Plan Facts

  • Available ages: 50-85
  • Coverage: $5,000-$35,000
  • Immediate coverage

Visit the blog section under the main menu to learn more about this plan.

Quotes

Male

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45NANANA
50$32$46$61
55$37$54$71
60$45$66$87
65$55$81$106
70$71$104$138
75$103$152$202
80$147$219$290
85$201$300NA
Female

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45NANANA
50$26$38$49
55$31$45$59
60$35$52$68
65$41$60$79
70$52$76$101
75$75$111$147
80$111$165$219
85$166$242NA

#3 Royal Neighbors of America – SIWL (Level)Royal Neighbors Logo black and white

The Level plan from Royal Neighbors offers first-day coverage and reasonable premiums.

This product is a great choice for anyone who may have had mild past medical conditions but is still in generally good health.

Quick plan facts

  • Available ages: 50-75
  • Coverage: $7,000-$30,000
  • Immediate coverage

Visit the blog section under the main menu to read more about this plan.

Quotes

Male

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45NANANA
50$40$58$77
55$46$68$90
60$50$74$98
65$59$87$115
70$75$111$147
75$110$164$218
80NANANA
85NANANA
Male

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45NANANA
50$34$49$65
55$38$55$72
60$38$56$74
65$45$66$87
70$56$82$109
75$80$118$157
80NANANA
85NANANA

#4 Sentinel Security Life – New Vantage II (Graded)Sentinel Security Life logo black and white

The New Vantage II plan has a two-year waiting period with a very favorable payout structure.

The waiting period is put into place due to the liberal underwriting that Sentinel Security has.

Apply for this plan if you have had prior health concerns and are currently in average health.

Waiting period payout structure

  • Death Benefit in year 1 – 30% of the face amount
  • Death Benefit in year 2 – 70% of the face amount
  • Death Benefit in year 3 and beyond – 100% of the face amount

Quick Plan Facts

  • Age eligibility: 45-85
  • Coverage amount: $1,000-$20,000
  • 2-year waiting period

Quotes

Male

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45$31$45$60
50$38$56$73
55$50$74$97
60$65$96$127
65$84$124$165
70$110$163$216
75$165$245$326
80$235$351$467
85$326$488NA
Female

Monthly Premiums

Non-Smoking Rates

Age$10,000$15,000$20,000
45$26$37$49
50$32$46$61
55$38$55$73
60$48$70$93
65$61$90$119
70$80$119$157
75$121$180$238
80$173$258$343
85$268$401NA

#5 Guarantee Trust Life – Heritage (Graded)Black and white GTL logo

The Heritage Plan is meant for someone with a complex medical history. This Graded product has a two-year waiting period with a great second-year payout structure.

Asking only five medical questions this is a great plan for the right applicant.

Waiting period details

  • Death Benefit in year 1 – paid premiums plus 5%
  • Death Benefit in year 2 – 50% of the face amount
  • Death Benefit in year 3 and beyond – 100% of the face amount

Quick Plan Facts

  • Available ages: 40-90
  • Coverage: $2,500-$25,000
  • 2-year waiting period

Visit the blog section to read further about this great plan.

Quotes

Male

Monthly Premiums

Age$10,000$15,000$20,000
45$47$68$89
50$51$74$97
55$55$80$106
60$67$99$131
65$80$118$156
70$102$150$199
75$139$206$274
80$232$346$461
85$300$449$597
Female

Monthly Premiums

Age$10,000$15,000$20,000
45$34$49$64
50$36$52$67
55$42$62$81
60$51$74$97
65$60$88$116
70$73$108$142
75$102$151$201
80$165$245$326
85$191$284$377

#6 AIG (Guaranteed Issue)

This is a Guaranteed Issue plan from AIG, there will be no medical questions asked and approval is guaranteed.Black and white AIG logo

Only a select amount of applicants will want to use this product because there is a good chance the prosed insured will be able to qualify for a more favorable plan.

2-Year Waiting Period Payout Details

  • Months 0-24: All premiums paid +10% are given to the beneficiary
  • Months 24+: 100% of the face amount will be paid out of the beneficiary

Is this Guaranteed Issue plan from AIG right for me?

ONLY use this plan if you have one of the following medical conditions:

  • AIDS, ARC, HIV
  • Bedridden
  • Confined to hospital, nursing home, mental care, or long term care facility
  • Currently have or receiving treatment for invasive cancer
  • Diagnosed with a terminal illness
  • On Hospice
  • In the past 24 months diagnosed with: Alzheimer’s, Dementia or Memory Loss, receiving Kidney Dialysis, 24-hour Continuous Oxygen use, Implanted Difibulator, or Organ Transplant

Quotes

Male

Monthly Premiums

Age$10,000$15,000$20,000
50$53$79$104
55$58$80$128
60$65$96$142
65$86$128$189
70$101$150$221
75$142$212$331
80$206$309$416
85NANANA
Female

Monthly Premiums

Age$10,000$15,000$20,000
50$37$54$76
55$44$65$98
60$51$76$113
65$63$94$139
70$76$113$168
75$110$164$241
80$180$269$393
85NANANA

Man with green hair thinking

Final Thoughts

a. When looking into Utah Final Expense Insurance, there is an affordable option for every budget. Depending on your health, age, and gender your price will fluctuate and your coverage options will vary.

b. Work with an independent agent to find the best product at the lowest price point.

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