Final expense insurance costs and coverage options for seniors

Final expense insurance is a form of small whole life insurance designed to cover end-of-life costs such as funerals, burials, cremations, and outstanding medical bills or small debts. Policies typically range from $5,000 to $25,000 in coverage.

Costs vary based on age and gender. For $10,000 of coverage, average monthly premiums for a 65-year-old are approximately $50 for women and $66 for men. By age 80, these costs increase to roughly $125 for women and $164 for men.

There are two primary types of policies: simplified issue and guaranteed issue. Simplified issue policies require answering a few health questions without a medical exam and generally offer lower premiums. Guaranteed issue policies require no health questions and ensure acceptance regardless of medical history, though they typically carry higher premiums and may feature graded death benefits.