Updated: December 26, 2024
Advertising & Editorial Disclosure
Final expense insurance provides a financial cushion for end-of-life costs like medical bills, burial, or cremation, while also offering flexibility for beneficiaries to address other financial needs.
State Farm is the best provider for final expense life insurance, earning a MoneyGeek score of 99 out of 100 and boasting strong financial stability with an A++ AM Best rating.
Progressive excels in customer satisfaction for final expense life insurance, receiving a MoneyGeek score of 96, though its policies are issued through partner companies.
Why Trust MoneyGeek? We analyzed customer satisfaction, financial stability reports, product offerings and more to determine the best final expense life insurance companies for various needs.
Company information for life insurance providers were updated in 2024.
State Farm is the best choice for final expense life insurance, receiving an overall MoneyGeek score of 99 out of 100. The company excels in financial stability and product diversity, which are key factors when considering a long-term commitment like life insurance. State Farm's final expense coverage offerings are designed to ease the financial burden of end-of-life expenses, making it a reliable option for those looking to secure their family's future.
How was this MoneyGeek score calculated?
MoneyGeek calculated overall scores for final expense life insurance using the following weightings:
We did not include affordability since we do not have final expense life insurance quotes. The winners have the highest scores among the companies offering final expense life insurance.
Strong financial stability with A++ AM Best rating
Comprehensive product diversity, including final expense insurance
101 years in business, offering reliability and trust
No 24/7 online chat support available
Guaranteed issue policies, including final expense product, may have higher premiums
State Farm has carved a niche for itself in the life insurance market, especially when it comes to final expense policies. With over a century in the business, the company brings a wealth of experience and reliability to the table. It offers guaranteed issue final expense insurance, which is one of its whole life insurance products. Final expense insurance is designed to cover funeral and burial expenses, medical bills and other debts. This focus on final expenses makes State Farm ideal for those who want to ensure their loved ones are financially secure in dealing with end-of-life costs. The company's strong financial stability and diverse product offerings further solidify its position as a top choice for final expense life insurance.
With a MoneyGeek score of 99 out of 100, Nationwide offers an optimal buying process for final expense insurance, earning the highest rating in this category. This distinction underscores the company's commitment to a seamless customer experience, making it the top choice for those prioritizing ease of purchase.
Nationwide's overall score tied with State Farm, but it landed the runner-up spot due to State Farm's superior financial stability rating.
Seamless buying process with 24/7 online chat support
Diverse product offerings, including final expense insurance
High customer satisfaction and low complaint rate
Financial stability score slightly lower than top competitors
Nationwide stands out for its exceptional buying process. With 97 years in the business, the company has honed its customer service, offering 24/7 online chat support and multiple payment options. Nationwide not only issues its own policies but also provides a comprehensive range of products, from term to whole and universal life insurance. This makes it a one-stop shop for many insurance needs, including final expense coverage. If you're looking for a hassle-free buying experience coupled with diverse policy options, Nationwide can be a compelling choice.
Receiving a MoneyGeek score of 96 out of 100, Progressive stands out as the top choice for customer satisfaction among insurers offering final expense life insurance. It's worth noting that Progressive's policies are issued through partner companies.
Exceptional customer satisfaction ratings
Wide range of product offerings
Quick online quote availability
Policies issued through partners and affiliates
No agent phone support
Limited payment options
Progressive earned the highest rating in the customer satisfaction category with a low rate of customer complaints. Although Progressive doesn't issue its own life insurance policies, it offers a broad spectrum of products, including term life, whole life and universal life, through its partners. The company has been in business for 86 years, adding a layer of trust and reliability. Its robust digital presence allows potential clients to get final expense insurance quotes online in as little as 60 seconds. However, Progressive's multiple payment options are limited, and there's no direct agent support over the phone.
Final expense insurance is a type of whole life insurance, meaning it won't expire after a specific amount of time. It usually provides coverage until you pass, though some companies have a maturation age, which only offers coverage to a certain age, usually 100. Final expense insurance is sometimes referred to as funeral insurance, burial insurance or modified issue whole life insurance, but all these terms refer to the same product.
Final expense insurance is no different from other whole life insurance policies. However, it usually has a smaller death benefit, making it more affordable. If you have final expense coverage, your beneficiary can use the payout as they see fit. However, it's primarily used to cover expenses from a memorial service, embalming, purchasing a casket or having a body cremated.
With a death benefit usually ranging from $5,000 to $25,000, final expense and burial insurance is popular among seniors to make sure their families are taken care of after their death.
In the context of life insurance, final expense insurance, funeral insurance and burial insurance essentially describe the same product. These terms typically denote a small whole life policy covering end-of-life expenses, including funeral or medical bills.
Navigating the financial implications of end-of-life expenses can be a significant concern, especially if you're retired and lack coverage from a personal or employer-sponsored life insurance policy. Final expense insurance offers a solution to this challenge.
Your needs may change over time, so it’s wise to periodically review your funeral insurance policy with your provider to ensure it still meets your requirements.
A final expense policy provides a financial cushion, allowing your beneficiaries to manage these costs more effectively. While the primary purpose of the death benefit is to cover end-of-life expenses, it offers the flexibility to be used for other financial needs as well. This adaptability makes final expense coverage a versatile financial tool in preparing for the inevitable.
Comparing quotes and offers from multiple funeral insurance companies can help you find the best life insurance to cover funeral expenses. This approach allows you to assess varying funeral insurance plans, ensuring you find an option that aligns with your financial goals and coverage needs. It can significantly affect the affordability and comprehensiveness of your coverage, potentially leading to substantial savings and better benefits tailored to your specific end-of-life requirements.
Additionally, reading funeral insurance reviews can provide insights into customer experiences, further guiding your decision-making process and helping you choose a reputable provider.
The process for claiming death benefits from final expense life insurance is similar to other life insurance policies. Your beneficiaries must present your death certificate and a completed claim form. They also need to have your policy information. The insurer usually releases the payout within 30 days of filing. Your beneficiaries receive the amount as a tax-free lump sum.
The cost of final expense insurance depends on several factors. Typically, the older you are when you purchase your policy and the higher your coverage level is, the more expensive your premium becomes.
Life insurance companies also have varying requirements. Some will ask you to complete a health questionnaire, while others guarantee acceptance. Policies with guaranteed acceptance pose a lower risk for you, but they typically cost more than those that require you to answer health-related questions.
While finding cheap funeral insurance may seem appealing, it’s essential to remember that the cheapest funeral insurance is not always the best option. A lower price may mean reduced coverage or higher out-of-pocket expenses later.
Always compare funeral insurance policies thoroughly, focusing not just on the cost but also on what is covered. This approach ensures you receive the best insurance for funeral expenses, offering adequate protection without compromising on necessary benefits.
Similar to other types of life insurance, final expense plans can have varying face-value amounts. A coverage amount of at least $10,000 is ideal, but you can increase your coverage to $20,000 or higher. Remember that the higher your limit is, the higher the cost of final expense insurance becomes.
Final expense insurance is best suited for those of a certain age — typically, buyers who are 60 and older and have little to no income benefit most from this coverage. It may also work for those who have severe health conditions because it is more affordable than term life or permanent life plans.
Depending on your preference, you can purchase simplified issue life insurance, which requires you to answer several health-related questions. If you think your health condition is a cause for concern, guaranteed issue life insurance may be a better alternative.
According to the National Funeral Directors Association, the national median cost of a funeral is $7,848. This amount only covers the barest of services, including viewing and burial. A funeral with cremation is less expensive at $6,971. If you add on the cost of internment in a cemetery, monument or marker and flowers, final expenses can exceed $10,000.
Insurers often offer two types of final expense plans: simplified issue and guaranteed issue. Neither will require you to undergo a health exam as most insurers won’t ask this of you for final expense insurance, However, simplified issue life insurance will require you to answer several health-related questions.
Guaranteed issue life insurance, as the name implies, ensures automatic acceptance. It cuts out a step in the process but also costs more and may require a waiting period before the full death benefit is available.
A guaranteed acceptance (or guaranteed issue) policy doesn’t require a health exam or answers to health questions, so these policies are generally more expensive. However, these plans typically come with a waiting period, which means your full death benefit won’t be available for at least two years unless you suffer an accidental death.
A final expense with no waiting period policy means your beneficiaries get your entire death benefit from day one of coverage, even if you’ve only made a single payment of your premium, which makes this kind of policy very popular for final expense plans.
Yes, purchasing funeral insurance policies online is a convenient option. Many insurance companies offer online platforms where you can compare funeral insurance quotes, review policies and secure a plan suited to your needs from the comfort of your home.
There are several strategies to reduce the cost of funeral insurance, making it more affordable without sacrificing coverage:
Compare Policies: Conduct a thorough funeral insurance comparison by researching different policies from the best funeral insurance companies. This can help you find a plan that offers the best value for the coverage you need.
Choose Only Necessary Coverage: Tailor your funeral cost insurance policy to cover only essential end-of-life expenses. This means opting for a realistic death benefit that covers expected costs without over-insuring, which can help keep premiums manageable.
Maintain a Healthy Lifestyle: Some insurers consider your overall health when determining premiums. Maintaining a healthy lifestyle could qualify you for lower rates, especially if the policy requires a medical exam.
These tips can help make life insurance for funeral costs more accessible and ensure you choose the best funeral insurance plan that aligns with your financial goals.
Ensure you are getting the best rate for your insurance. Compare quotes from the top insurance companies.
Most final expense policies guarantee that your beneficiaries will receive your death benefit within 30 days after filing the claim. However, there are several reasons why there may be delays. Here are some of the most common ones:
There are several documents your beneficiaries need to submit to your insurer to complete the claim filing process.
Insurers need to investigate and ensure the beneficiaries were not involved in the incident.
Most insurers have a 30- or 31-day grace period after the payment due date. If you pass away within the grace period, your beneficiaries may still be eligible for the payout minus whatever is past due.
We all want to save our loved ones from additional stress when the worst happens. When you die, the last thing you want is for your family to be in financial distress from end-of-life expenses. That's what makes having final expense insurance a good choice. That said, final expense plans are best suited to specific situations. Here are some factors you may want to consider when deciding whether it's the right kind of life insurance for you:
There’s a reason why funeral insurance is popular with seniors — they are the target market for this type of insurance. You can still purchase it even if you’re well into your 80s.
People purchase life insurance to ensure their loved ones have financial support when they die. Final expense insurance is more affordable because the death payments are primarily for end-of-life expenses. However, if you have long-term costs such as mortgages or long-term dependents, you may have better options.
Insurers factor in whether you’re in good health when setting premiums. If you’re not in the best health, you may be paying a high premium or not qualifying for a policy. Funeral insurance is typically a better option when you have health issues.
If you’re relatively young and in good health, you may want to consider other types of life insurance policies.
Funeral expense life insurance might not suit everyone's financial or personal circumstances. Here are some profiles of individuals who may not need to invest in a funeral life insurance policy:
Individuals with Sufficient Savings: Those who have set aside ample funds specifically for end-of-life expenses may not require additional coverage through a funeral insurance policy.
People with Comprehensive Employer Benefits: Employees with extensive benefits packages that already include death benefits or funeral cover might not need separate life insurance to cover funeral costs.
Young Adults Without Dependents: Younger individuals without dependents or significant end-of-life expenses could consider other financial protections that align more closely with their current life stages.
Those Covered Under Family Policies: Individuals included in family life insurance plans that already cater to funeral costs might not need separate policies.
Final expense insurance isn’t your only option when you want to leave something behind for your beneficiaries to use for your funeral expenses. You may find other types of policies better suited to your current situation. If you find that purchasing funeral insurance isn’t the most logical option for you, here are some alternatives to consider:
According to the American Council of Life Insurers' 2024 Life Insurers Fact Book, 39.5% of new individual life policies in 2023, or 3.8 million policies, were term life insurance. These policies provide coverage for a specific amount of time, whether 10, 20 or 30 years. They're also more affordable than permanent life insurance, so they may be a better option if you're relatively young and healthy.
This type of policy, also known as a funeral policy, is offered by funeral homes and directors. It allows you to arrange the details of your funeral — the service and the burial or cremation — in advance, relieving your family of the burden of doing it themselves. The payout goes to the funeral home after your death instead of to your loved ones.
If your only reason for purchasing life insurance is to cover your end-of-life expenses, consider saving for it instead of paying a premium for years. It’s best to decide on this early because the more time you have, the longer you have to set funds aside.
To help you better understand the nuances of final expense insurance, here are some of the most commonly asked questions about it.
Based on MoneyGeek’s analysis, State Farm offers the best final expense insurance and ranks first for financial stability.
Nationwide is in second place overall and the top option when it comes to the buying process. Those who value customer experience may also consider Progressive, which has the highest customer satisfaction rating.
The cost of final expense insurance varies widely from person to person due to a range of individualized factors. Your age influences your monthly premium, the coverage limit you select and your overall health condition.
Final expense insurance is also called funeral insurance. It’s a type of whole life insurance designed specifically to cover end-of-life expenses.
Final expenses life insurance covers a range of costs related to a person’s passing, such as funeral services, burial or cremation and outstanding medical bills. It provides a financial safety net, allowing families to focus on healing rather than financial concerns during difficult times.
Final expense policies may be worth it for those seeking to safeguard their loved ones from the financial strain of end-of-life expenses. They ensure that funeral costs and other associated expenses are covered, making them a prudent choice for many.
A final expense agent is an individual associated with an insurance agency whose primary job is to sell life insurance products that cover various expenses of the deceased. These may include legal, funeral and essential household expenses. Agents are also responsible for studying the market and available plans, enabling them to recommend the best policy to a prospective buyer based on their situation.
Final expenses are the costs associated with a person's death, including funeral services, burial or cremation and medical bills. Managing these costs helps ease the financial burden on grieving families, highlighting the potential benefit of planning with final expense coverage.
Buying funeral life insurance for seniors can be a prudent decision, particularly if you wish to ensure that funeral expenses won't burden your family. Funeral insurance for the elderly can help manage the costs associated with end-of-life arrangements, providing financial security to loved ones.
The best funeral insurance for seniors may vary depending on individual needs and circumstances. It often includes affordable funeral insurance plans that provide comprehensive coverage without extensive costs. Seniors' funeral insurance can offer tailored benefits to meet their unique end-of-life financial needs.
You can obtain burial insurance by comparing quotes from various funeral insurance providers online. It's advisable to review different funeral insurance quotes and policies to find a plan that fits your financial situation and coverage requirements.
About Mark Fitzpatrick
Mark Fitzpatrick is a Licensed Property and Casualty Insurance Producer and MoneyGeek's Head of Insurance. He has analyzed the insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. He has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.
Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.
