1. What is Term Life Insurance?

Term life insurance provides coverage for a specified period, typically 10, 20, or 30 years. If the insured passes away during this term, the beneficiaries receive a death benefit.

2. What is Final Expense Insurance?

Final expense insurance, also known as burial insurance, is a type of whole life insurance designed to cover funeral and end-of-life expenses.

3. How does Term Life differ from Final Expense Insurance?

Term life insurance offers higher coverage amounts for a specific period, while final expense insurance provides lifelong coverage with smaller death benefits intended for end-of-life expenses.

4. Do I need a medical exam for these policies?

Term life insurance may require a medical exam, depending on the coverage amount and insurer. Final expense insurance often does not require a medical exam, making it accessible to individuals with health issues.

5. Can I have both Term Life and Final Expense Insurance?

Yes, it’s possible to hold both policies simultaneously to cover different financial needs, such as income replacement and funeral expenses.

6. What factors affect Term Life Insurance premiums?

Premiums are influenced by age, health, lifestyle, policy term length, and coverage amount.

7. Is Final Expense Insurance more expensive than Term Life?

Final expense insurance premiums are generally higher per dollar of coverage due to lifelong coverage and guaranteed benefits, despite lower coverage amounts.

8. Can I renew my Term Life Insurance policy after it expires?

Some term life policies offer renewal options, but premiums may increase significantly with age and health changes.

9. How quickly are death benefits paid out?

Death benefits are typically paid within 30 to 60 days after the claim is approved, provided all necessary documentation is submitted promptly.

10. Are the death benefits from these policies taxable?

Generally, life insurance death benefits are not considered taxable income for beneficiaries.