Imagine you’re thinking about getting life insurance to cover your funeral and other costs after you’re gone. In that case, you might want to check out burial insurance or final expense insurance.
These types of insurance are for older adults who only need a little coverage. But not every insurance company offers them.
Our experts checked out what’s included in the policies to help you find the top burial insurance options.
They’re available based on your age and state and any extra perks, like free life insurance riders.
We also checked out payment options and how much coverage you can get. It usually starts at $1,000 and goes up to $50,000 for this kind of life insurance.
With so many insurance companies and policies out there, it can be tough to figure out which one is right for you.
But this guide has got you covered. We’ll give you the details you need to pick the best burial insurance company for your situation.
It will focus on things like price, policy features, and how happy customers are with them.
Key Takeaways:
- February 2024 brings a list of the top seven burial insurance companies.
- These companies offer comprehensive coverage for end-of-life expenses.
- Think about how much it costs, what choices you can make, and how well they help you when picking a burial insurance company.
- Review the features and benefits of each company to make an informed decision.
- Ensure the burial insurance company aligns with your specific requirements and preferences.
Best Burial Insurance Companies
As of February 2024, some of the best burial insurance companies may include:
Mutual of Omaha
Mutual of Omaha provides life insurance that covers a broad range of ages. This means you can buy coverage when you’re younger, and it won’t cost as much.
You can start with $2,000 in coverage, which is good for those who don’t need much.
They pay most claims within 24 hours, helping your family with funeral costs and other immediate expenses.
Their website is easy to use, with tools like a final expenses calculator and product comparison pages.
With a high financial rating, Mutual of Omaha is reliable in paying claims.
Their universal life policy lets you get some benefits early if you have a serious illness like a terminal or chronic illness. This can help pay for medical bills.
Face Amounts: $2,000 – $40,000 ($20,000 Graded Max)
Types:
- Level
- Graded
Payouts:
- Level – Immediate
- Graded – 2-year policy (Return of Premium plus 10%); Full payout for accidental death.
Pros
Mutual of Omaha stands out for offering whole life insurance without the need for a medical exam. It will make the process easier and more accessible for applicants.
The company got really good scores in a study about how happy customers are, done by J.D. Power. This shows that a lot of people are satisfied with their service.
Plus, if you’re approved for their insurance, you get full coverage right away for both natural and accidental deaths. You don’t have to wait. It gives you peace of mind right off the bat.
Also, you can get coverage without having to go through a medical exam for amounts up to $50,000. This suits a lot of different needs.
With speedy approvals are usually processed within 24 hours for most applications.
Cons
Mutual of Omaha needs you to buy insurance with the help of an agent. You can’t buy it straight from their website or the company.
This means you have to apply through licensed Mutual of Omaha agencies by talking to agents.
If you sign up for insurance by mail or online, you’ll need to wait for two years before it kicks in. And the most you can get is $25,000.
Why We Chose It
Mutual of Omaha lets people as young as 45 get burial insurance, which is rare because usually you have to be older.
They’re flexible too. You can start with a small policy of $2,000 (or $5,000 in New York) if you don’t need much coverage.
And if you need more protection, you can get up to $25,000 in coverage no matter where you live.
It will accommodate varying financial needs and preferences.
State Farm
State Farm Life Insurance gets a top rating of 5 out of 5 stars for its performance. We look at things like customer experience, complaints, and financial strength.
State Farm provides different insurance products, including final expense whole life insurance.
People think it’s one of the top burial insurance options because lots of customers are happy with it, and it’s financially strong.
State Farm also comes out on top in the 2022 J.D. Power Life Insurance Study for customer satisfaction.
Plus, it holds the highest A++ AM Best rating, so you can trust it to pay out claims reliably.
Face Amounts: $10,000 to $15,000 Types:
- Level
- Graded
Payouts:
- Level – Immediate
- Graded – 2-year waiting period (full death benefit is unpaid).
If the person who has the insurance dies while they’re still waiting, the person who gets the money back gets some of it. They get back the money that was paid for the insurance, plus a bit extra called interest.
- Full payout for accidental death.
Pros
State Farm is a famous insurance company that has been around for a long time. They have a good reputation and are trusted to keep their promises to people who have insurance with them, which helps you feel calm and reassured.
Their customer service is good too! They’re always there to help you out if you have any questions or worries.
Cons
While State Farm is known for being trustworthy and financially stable, there are a couple of things you should keep in mind.
One downside is that there isn’t a lot of info available about their burial insurance policies, which can make it hard to figure out what’s best for you.
Also, their services might not be available everywhere, so it’s important to check if they operate in your area.
And if you’re in Massachusetts, their life insurance policies aren’t an option for you.
Lastly, if you like managing your policy online using an Android phone, there might be some limits to what you can do.
Why We Chose It
Many choose State Farm for its reputation, financial stability, and responsive customer service.
But do more research and look at different choices to find the one that’s just right for what you need.
Ethos
Ethos is a great choice if you need insurance in a hurry. They make it easy with a straightforward online application process that gets you immediate coverage.
The guaranteed issue whole life insurance option is a key advantage. It offers instant approval for coverage amounts ranging from $10,000 to $25,000 for individuals aged 65 to 85.
This policy comes with the benefit of no health questions or medical exams. Moreover, your monthly premiums remain consistent throughout the life of your policy.
Coverage Amounts: You can get insurance from $1,000 to $30,000. Types: There are two kinds of insurance: term and whole life. Payouts: In the first two years, the payout might not be the full amount. It could be from 25% to 100% of what you’re covered for.
Pros
Ethos offers some great perks worth considering. Firstly, their burial insurance covers a wide range of amounts, starting from $1,000 and going all the way up to $30,000.
It will give you plenty of room to tailor your coverage to your needs.
If you’re a senior between 66 and 85, Ethos has got you covered with a guaranteed issue policy.
It means you can secure coverage without any pesky medical exams. And for those who like to plan, their online price estimator is refreshingly straightforward.
It makes it easy to get a quick idea of what you might pay.
Cons
And if you’re the type who likes planning, you’ll find their online price estimator super easy to use.
Why We Chose It
We chose Ethos Insurance for its simplicity, affordability, and reliability. Their straightforward application process and clear terms made obtaining coverage hassle-free.
We found their rates to be competitive, offering excellent value without sacrificing quality.
With trusted insurance partners supporting them, Ethos will keep its promises and give us dependable help whenever we need it.
All in all, Ethos Insurance seems like the perfect pick for our insurance needs.
Fabric by Gerber Life
Fabric by Gerber Life offers easy-to-get life insurance, which can help pay for funerals. This type of insurance is meant to cover funeral costs and other things you need at the end of life.
Face Amounts: $5,000 – $25,000
Types: Guaranteed
Payouts:
- 2 Years (Return of Premium + 10%)
- Accidental death pays full
Pros
Fabric by Gerber Life makes it easy to apply for burial life insurance with a quick and straightforward application process. It usually occurs without a medical exam.
Their premiums are affordable, which means many people can afford them. You can choose from different coverage amounts to match the costs of burial expenses.
Cons
Fabric by Gerber Life might not cover all the costs of a funeral because the amount they offer might not be enough. Especially if you have certain preferences or higher expenses.
Also, there might be age limits, so if you’re older, you might not qualify. Plus, you can only get insurance for one person per policy.
And they don’t have an option for permanent life insurance, just burial life insurance.
Why We Choose It
Fabric by Gerber Life offers term life insurance plans with coverage from $100,000 to $5 million, and you can choose terms as long as 30 years.
They’ve got extra stuff too, like tools to help young parents sort out their finances. Also, can set up a will or even explore different investment options.
It’s all backed by Western-Southern Life Insurance Company, which has a pretty solid A+ rating from A.M. Best.
AARP/New York Life
The AARP Life Insurance Program gives special insurance options just for AARP members. It’s provided by New York Life Insurance Company.
AARP, a prominent advocate for older individuals, boasts over 37 million members.
Anyone who is 18 or older can become a member, but only people who are 50 or older can get life insurance. Their spouses can also get it if they’re eligible.
Face Amounts: $10,000 to $150,000 (except in Montana and New York, the cap is $100,000.
Types:
- Level
- Graded
Payouts:
- Level – Immediate
- Graded – 2-year (Partial payout of 30%, increasing to 60% in certain states)
- If you use accelerated benefits, like for a terminal illness, it means there will be less money for your beneficiaries when you pass away.
Pros
AARP teams up with New York Life, a company known for being financially strong, which helps policyholders feel secure.
Plus, AARP gives you easy choices for both temporary and long-term life insurance. You don’t have to do any medical exams, which makes signing up easier.
Also, AARP offers final expense insurance that’s easy to get, which helps cover costs at the end of life.
Cons
AARP’s benefits include policies with lower coverage limits, making them more affordable for many.
While their options are limited to term and whole life insurance, they offer straightforward choices that suit various needs.
It’s important to note that AARP membership is a requirement for accessing coverage, ensuring that policyholders are part of the AARP community.
Why We Chose It
We picked AARP as senior life insurance because it’s a solid choice in a few key ways.
AARP works with New York Life, a company known for being financially strong. It means you can trust them to pay out when needed.
Secondly, getting insurance through AARP is pretty straightforward.
You can choose between term or permanent life insurance without needing a medical exam. It is great for seniors who might have health issues.
Finally, AARP designs its burial insurance to cover funeral costs and more, making it a smart option for seniors planning.
Plus, you need to be an AARP member to get this insurance, which helps build a sense of community among policyholders.
Aflac
You don’t need a medical exam to get Aflac’s insurance, but you do need to answer some health questions.
Aflac also checks your medication history electronically to learn more about your health.
If you pass away, Aflac gives your family money that they can use for your burial or other end-of-life expenses.
They can use the money for anything they need, not just for funerals. And if there’s any money left over, your loved ones can keep it and use it however they want.
Aflac’s final expense whole life insurance comes in three health ratings: Preferred, Standard, and Modified. Which one you qualify for depends on your health history.
The Preferred plan is the cheapest and has no waiting period for natural causes of death. The Standard plan costs a bit more and also has no waiting period.
Lastly, the Modified plan is the most expensive and has a two-year waiting period.
If you die in the first two years (except for an accident), Aflac refunds 110% of the premiums you paid (Return of Premium Life Insurance).
Face Amounts: $2,000 – $25,000 (Preferred to Modified)
Types:
- Preferred
- Standard
- Modified
Payouts:
- Preferred and Standard – No 2-year waiting period but subject to approval.
- Modified – 2-year waiting period (Return of all premiums paid + 10% interest first two years)
Pros
Competitive rates extend to young adults, with Aflac offering some of the lowest prices for individuals in their 50s. While remaining competitively priced for those above 60.
Additionally, Aflac’s robust financial strength shows through consistently high ratings from major agencies like AM Best.
They reaffirm its status as a renowned and trusted brand in the insurance industry.
Furthermore, Aflac’s favorable underwriting process and no exam requirements accommodates adults with diverse health concerns.
It includes chronic conditions, enabling them to secure a policy with no waiting period.
Cons
Age limitation applies – Only individuals up to the age of 80 qualify. It differs from several final expense insurance providers that extend eligibility to ages 85-90.
Aflac’s recent entry into the final expense insurance market was in 2022.
This timing may increase the likelihood of administrative challenges when seeking service for existing policies. It is especially true when compared to more established providers.
Thus, prospective policyholders should consider this aspect while evaluating their insurance options.
American Amicable
American Amicable Life Insurance Company of Texas is a financially strong company. American Amicable has a decent range of life insurance options and useful add-ons.
You can even apply for some policies without needing a medical exam.
However, it lacks in a couple of key areas like customer happiness and ease of use.
Face Amounts:
- Minimum – $2,500
- Maximum – 50-75: $50k and 76-85: $25k
Types:
- Immediate
- Graded
- ROP
Payouts:
- Immediate – No 2-year waiting period (subject to underwriting approval).
- Graded – 2-year waiting period (1st Year: 30% payout and 2nd Year: 70% payout)
- ROP – 2-year waiting period
Pros
American Amicable offers great benefits for smokers at affordable rates, which is excellent news for those seeking coverage.
Even if you enjoy the occasional cigar or pipe, you might still qualify for lower, non-tobacco prices.
What’s neat about American Amicable is they provide additional options to customize your burial insurance policy.
You can add extras like Accidental Death, Children’s Coverage, Grandchildren Coverage, and Nursing Home Premium Waiver for a bit extra.
It’s a nice way to tailor your coverage to your specific needs.
And the best part is their underwriters are very understanding. Unlike some other companies that strictly adhere to rules, American Amicable actually listens to you.
If you have reasons for taking certain medications or any medical history. They will take them into account when determining if you qualify for coverage.
It’s a more personal approach that can make a significant difference.
Cons
Another drawback of American Amicable is that it may not offer the most competitive rates for applicants in relatively good health.
Compared to other insurance providers, their premiums could be higher by approximately 5% to 15% for those in decent shape.
It means that if you have few health issues and are considered low-risk by other insurers, you might find more affordable options elsewhere.
Why We Choose It
We chose American Amicable mainly because of their underwriting process.
For seniors with complex medical histories, especially if you’re on a lot of medications. They’re often your best bet for getting coverage without having to wait.
Their prices for smokers are usually the best around, and if you occasionally smoke cigars or a pipe. They’ll let you apply for coverage at a lower, non-tobacco rate.
It could mean paying 20% to 40% less compared to other companies that charge higher rates for tobacco users.
Their customer service is really great. They have a live chat option where you can talk to a company representative in about a minute.
Plus, you can make almost all changes to your life insurance policy by talking to them or doing it online.
Remember to compare policies, coverage, and costs to find the best fit for your needs. Burial insurance, also known as final expense insurance, can help cover end-of-life expenses such as burial, cremation, and associated costs.
Compare the burial insurance providers based on their policies offered, accessible online, Trustpilot ratings. Also, customer service to find the one that best suits your needs.
What is Burial Insurance?
Burial insurance or final expense insurance, covers the costs associated with your passing, such as funeral expenses.
Unlike term life insurance, which ends after a set period, burial insurance covers your entire life. It is as long as you keep paying your premiums.
With burial insurance, you usually get a lower death benefit, often up to $25,000.
It helps keep the premiums affordable while still providing financial support for end-of-life needs such as burial or cremation costs.
Usually, burial insurance doesn’t require a medical exam, and many plans are guaranteed-issue, meaning anyone applying can get coverage.
It makes burial insurance a good option for those who may have health issues. It’s also suitable for seniors who may not qualify for other types of traditional life insurance.
Best Burial Insurance Rates
Finding the best rate depends on a few questions to see if you qualify. The rates listed below are the best ones you can get based on your age.
Alternatives to Burial Insurance
Looking for options besides burial insurance? Here are a few alternatives to consider:
Term Life Insurance
Term policies can offer great coverage without breaking the bank. Many providers offer term life insurance without needing a medical exam.
But remember that term policies have an expiration date and may have age restrictions for new applicants. Term coverage could be a good choice for younger individuals dealing with health issues.
Traditional Whole Life
Burial insurance is a type of whole-life coverage. However, traditional whole life policies typically offer higher death benefits and potential cash value growth.
However, they are usually pricier than burial insurance and require a medical exam.
Universal Life
Universal life insurance is a permanent policy that allows policyholders to adjust premiums and death benefits within certain limits.
While more expensive than burial coverage, the flexibility of universal life makes it an appealing option. Similar to traditional whole-life policies, universal life usually involves a medical exam.
Final Expense Life Insurance
Final expense insurance, also known as burial insurance, is specifically designed to cover end-of-life costs.
These policies typically don’t require a medical exam and may be guaranteed-issue.
Some insurers may market their burial insurance as final expense insurance, offering coverage for similar expenses.
How to Choose The Best Burial Insurance Company
Here’s how you can pick the best life insurance company for your family:
Check Out What Other Customers Say
Take a look at how happy other customers are with the company’s service.
You can find out about their experiences by checking complaints filed with state regulators on the National Association of Insurance Commissioners website.
The companies mentioned earlier have fewer complaints than expected for their size, according to data from the NAIC.
Additionally, reviews and ratings from organizations like the National Funeral Directors Association can provide valuable insights into customer satisfaction levels.
Look Into Their Financial Strength
Make sure the company you choose can pay claims for many years to come. Check out NerdWallet’s insurance reviews for weighted averages of financial strength ratings.
You can also get more info from rating agencies like AM Best. We suggest going for insurers with an AM Best rating of A- or higher.
Understand The Types of Policies They Offer
There are two main types of life insurance: term and permanent. Term life insurance lasts for a set number of years and is usually enough for most families.
Permanent life insurance lasts your whole life and often includes an investment part.
Under permanent life insurance, there are different policies, such as whole life insurance and universal life insurance.
Compare Prices from Different Companies
Costs can vary between companies, so getting quotes from a few insurers is wise. While many companies offer similar policies, some focus on specific products or customers.
For example, some might specialize in whole life insurance or cater to seniors who need life insurance.
You can narrow down your choices by looking at companies that offer the type of insurance you’re interested in.
If you follow these steps and do your research, you can pick the best life insurance companies to keep your loved ones financially secure.
Final Thought
Choosing the best burial insurance company requires careful consideration. Consider factors like customer satisfaction, financial strength, policy options, and pricing.
Following the steps outlined in this guide, you can make an informed decision that provides peace of mind for you and your loved ones.
For more information on final expense life insurance for the best burial insurance companies, we invite you to explore our articles.
Also, you may reach out to our licensed insurance agent today to get a personalized quote based on your wants and needs.
FAQs: Best Burial Insurance Companies
How much is burial insurance?
Burial insurance without a medical exam can cost more for each dollar of coverage compared to other final expense life insurance plans.
For example, a healthy 50-year-old woman might pay around $408 annually for $10,000 in burial insurance, as per data from Quotacy, a life insurance broker.
In contrast, a $250,000 whole life policy would cost her about $4,740 per year — over ten times more annually, but providing 25 times more coverage.
What is the best burial insurance without a waiting period?
Mutual of Omaha is ranked as the best because they don’t make you wait to use your coverage, and their monthly payments are usually the cheapest.
Also, they provide up to $50,000 in coverage, which is more than what many other companies offer.
What are the disadvantages of funeral insurance?
Funeral insurance is a bit like taking a chance – you pay a set amount, and when the person passes away, their family gets a lump sum.
But here’s the catch: if the person lives longer than expected or gets the insurance early, they might end up paying more than what’s given out when they pass away.
What is the cheapest burial plan?
Choosing direct cremation can be a budget-friendly choice for saying goodbye to your loved one.
It also provides families with more freedom to personalize memorials in unique ways. Dealing with the loss of a loved one is tough, no matter what.
Additional Resources
- Final Expense Insurance
- Burial Insurance Works
- Burial Insurance w/ Pre-Existing Conditions
