Real costs by age, policy types compared, and how to find the best rate from 30+ carriers - so your family never has to worry about funeral costs.
Last reviewed February 2026 by Dev Gaymes, Licensed Insurance Advisor · Editorial policy
Final expense insurance - also called burial insurance or funeral insurance - is a small whole life policy designed to cover end-of-life costs. Coverage typically ranges from $5,000 to $50,000 and covers funeral and burial expenses, cremation, outstanding medical bills, and small debts. The premiums never increase, the coverage never expires, and the death benefit is generally paid to your beneficiary free of federal income tax. In 2026, the average traditional funeral costs $8,000–$12,000, making a $10,000–$20,000 policy the sweet spot for most families. (Source: National Funeral Directors Association)
According to the National Funeral Directors Association, the median cost of a funeral with burial is approximately $10,000 in 2026. Here's the breakdown:
Beyond the funeral, consider outstanding medical bills from a final illness, credit card balances, car loans, and other debts that don't disappear when you pass. Most people land between $10,000 and $20,000 in coverage - enough to handle funeral costs plus a cushion for other expenses.
Not all burial insurance works the same way. The type you qualify for depends on your health, and the differences in cost and coverage are significant:
Health questions required (no exam). If approved, coverage starts immediately - no waiting period. Lowest premiums of the three types.
Best for: People in fair-to-good health who can answer health questions favorably.
Best ValueNo health questions, no exam. Cannot be denied. Includes a 2-year waiting period for natural death. Premiums 30–50% higher than simplified issue.
Best for: People with serious health conditions who've been declined elsewhere.
No DenialHealth questions required. Partial payout in years 1–2 (typically 30–50% of death benefit), full benefit after year 2. Premiums between simplified and guaranteed.
Best for: People with moderate health issues who don't qualify for simplified but want more coverage than guaranteed.
Partial WaitAlways try simplified issue first. If you qualify, you get the lowest premiums and immediate full coverage. An independent broker can tell you which carriers are most likely to approve your specific health profile - what one denies, another often accepts. Talk to Dev for a free assessment →
The average final expense policy costs $30–$100 per month depending on age, health, gender, and coverage amount. A 60-year-old non-smoker pays approximately $40–$60/month for $10,000 in simplified-issue whole life coverage. Men pay about 30% more than women for the same coverage. Here are real rate ranges from the carriers we represent:
| Age | $10K Simplified Issue | $15K Simplified Issue | $20K Simplified Issue | $10K Guaranteed Issue |
|---|---|---|---|---|
| 50 | $25–$40/mo | $35–$55/mo | $45–$70/mo | $50–$65/mo |
| 55 | $30–$48/mo | $42–$68/mo | $55–$85/mo | $58–$78/mo |
| 60 | $40–$60/mo | $55–$85/mo | $70–$110/mo | $68–$95/mo |
| 65 | $48–$75/mo | $68–$105/mo | $88–$140/mo | $82–$120/mo |
| 70 | $60–$95/mo | $85–$138/mo | $110–$180/mo | $100–$150/mo |
| 75 | $78–$125/mo | $110–$180/mo | $145–$235/mo | $130–$195/mo |
| 80 | $100–$165/mo | $145–$240/mo | $190–$310/mo | $170–$255/mo |
Estimates for non-smokers. Actual premiums vary by carrier, health, gender, and state. Men typically pay ~30% more. We compare 30+ carriers for your lowest rate.
| Feature | Simplified Issue | Guaranteed Issue |
|---|---|---|
| Health Questions | Yes (no exam) | ✓ None at all |
| Can You Be Denied? | Yes, based on health answers | ✓ No - guaranteed approval |
| Waiting Period | ✓ None - immediate full coverage | 2-year waiting period |
| Monthly Cost | ✓ Lower (best rates available) | 30–50% higher |
| Coverage Amount | ✓ $5K–$50K | $5K–$25K typically |
| Death During Wait Period | ✓ Full benefit paid | Premiums refunded + ~10% interest |
| Cash Value | Yes - builds over time | Yes - builds over time |
| Best For | Fair-to-good health | Serious health conditions, prior denials |
Simplified issue policies accept many common conditions that people assume would disqualify them: Type 2 diabetes (controlled), high blood pressure, high cholesterol, history of heart disease (stable), COPD (mild-to-moderate), depression and anxiety, and prior cancer (in remission 2+ years). The key is that every carrier has different underwriting standards - what one declines, another may approve at standard rates. This is exactly where an independent broker with 30+ carriers makes the difference.
If you've been denied everywhere, guaranteed issue is your safety net. No health questions, no exam, guaranteed approval. The 2-year waiting period means the policy returns premiums plus interest if you pass from natural causes in the first two years, but pays the full death benefit for accidental death from day one. After year two, full coverage kicks in regardless.
Illustrative examples. The scenarios below are for illustration only and do not represent any specific client. Figures are hypothetical and are not a quote, an offer of coverage, or a prediction of results. Actual outcomes depend on age, health, carrier underwriting, and the terms of the issued policy.
Margaret's children were concerned about covering her funeral costs. She had a small savings but wanted to protect it for living expenses. She was quoted $92/month from a TV-advertised guaranteed issue plan for $15,000.
We ran her through simplified issue underwriting with 8 carriers. Because her health was good, she qualified for a $15,000 simplified issue whole life policy at $62/month - immediate full coverage, no waiting period. She saved $30/month ($360/year) and got better coverage than the TV plan.
James had been declined by two carriers due to his cardiac history plus diabetes. He assumed guaranteed issue was his only option. We found a simplified issue carrier that accepts stent placements after 2 years with controlled diabetes - James qualified.
Placed him in a $12,000 simplified issue policy at $74/month with immediate coverage. The guaranteed issue alternative would have cost $105/month for $10,000 with a 2-year waiting period.
Dorothy's health conditions made simplified issue impossible - she'd been declined by 4 carriers. We placed her in a $10,000 guaranteed issue whole life policy at $118/month. No health questions, guaranteed approval.
We explained the 2-year waiting period clearly. Dorothy's daughter was named beneficiary. In the first two years, accidental death is covered in full; natural death returns all premiums plus 10% interest. After year two, the full $10,000 death benefit is active regardless of cause.
These are not the same thing. A pre-need plan is purchased directly from a funeral home and locks you into one specific funeral home and package. If you move or the funeral home closes, you may lose coverage. A final expense insurance policy pays cash directly to your beneficiary - they choose the funeral home, the arrangements, and can use remaining funds for anything. We always recommend a final expense policy over a pre-need plan for flexibility and portability.
Final expense insurance is ideal when your primary goal is covering burial costs and small debts - typically $5,000–$25,000. If you need more coverage for income replacement, mortgage payoff, or family support, a term or whole life policy is the better fit. Many families combine both: a larger policy for income replacement plus a smaller final expense policy earmarked specifically for burial costs. Use our free calculator to determine your total coverage need.
If you're under 60 and in good health, a standard term or whole life policy will give you more coverage per dollar than a final expense policy. Final expense is specifically designed for seniors (50–85) and those with health conditions who need simplified underwriting. An independent broker can tell you which path gets you the best value.
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Rate disclosure. Premiums shown are illustrative estimates for healthy non-smokers and are not a quote or an offer of coverage. Actual premiums depend on age, health, tobacco use, coverage amount, term length, state, carrier, and underwriting approval. Rates and product availability vary by carrier and by state.
Final expense insurance (also called burial insurance or funeral insurance) is a small whole life policy designed to cover end-of-life costs including funeral and burial ($8,000–$12,000 average in 2026), cremation ($3,000–$7,000), outstanding medical bills, and small debts. Coverage ranges from $5,000 to $50,000. The premiums never increase and the coverage never expires.
Simplified issue requires health questions (no exam) and offers immediate full coverage with lower premiums. Guaranteed issue has no health questions and no medical exam, making it ideal for people with serious health conditions, but includes a 2-year waiting period for natural death and costs 30–50% more. If you can qualify for simplified issue, always choose it - better rates and immediate coverage.
Burial insurance is a type of life insurance - specifically a small whole life policy with death benefits typically between $5,000 and $50,000. Unlike traditional life insurance designed to replace income, burial insurance is designed specifically to cover funeral costs and small end-of-life debts. It has simplified underwriting and is available to older applicants who might not qualify for standard life insurance.
Yes. Simplified issue policies accept many pre-existing conditions including diabetes, heart disease history, and COPD. If you are declined for simplified issue, guaranteed issue policies accept everyone regardless of health - no medical questions asked. The trade-off is a 2-year waiting period and higher premiums. An independent broker can find the best option for your specific health situation.
Final expense insurance is worth it if you want to ensure your family is not burdened with funeral costs. Without it, the cost lands on whoever is closest - and surveys of household savings consistently find that a large share of American families would struggle to absorb an unexpected four-figure expense, let alone an $8,000–$12,000 funeral. The premiums are locked, the coverage is permanent, and the death benefit is generally paid free of federal income tax. For seniors without sufficient savings earmarked for burial costs, it provides peace of mind.
The best age is as soon as you realize you need it - premiums increase with every year you wait. Most people purchase final expense insurance between ages 50 and 75. A 55-year-old will pay significantly less than a 70-year-old for the same coverage. If you are under 60 and healthy, you may also qualify for a standard term or whole life policy at even better rates.