Common mistakes when buying final expense insurance: a guide to wise choices

Final expense life insurance is a type of coverage that can provide your loved ones with a financial safety net in the event of your passing. Given the average cost of a funeral in the US, which can exceed $7,000 according to the National Funeral Directors Association, it’s no surprise that final expense insurance is gaining popularity.

Despite its importance, many individuals make common mistakes when purchasing these policies. To help you avoid these pitfalls, let’s explore the most common mistakes and how to evade them.

1. Underestimating the Final Expense Costs

One of the primary errors people make is underestimating the overall cost of final expenses. The price tag doesn’t just cover a funeral or burial; it can also encompass medical bills, legal expenses, and even unpaid debts. It’s essential to assess all potential costs to ensure your coverage is sufficient.

2. Overlooking Health Questions

Final expense life insurance policies often come in two varieties: those that require health questions and those that don’t. The latter, known as “guaranteed issue” policies, might sound appealing, but they usually come with higher premiums and lower coverage amounts. If you’re in reasonable health, it’s often worth answering health questions to secure more cost-effective coverage.

3. Not Comparing Policies

Like any other insurance, the cost and benefits of final expense life insurance can vary widely between providers. Shopping around and comparing final expense life insurance quotes can ensure you find a policy that offers the best value for your investment. An independent broker can shop around for you. 

4. Neglecting the Fine Print

Often, policyholders overlook the fine print in their policy terms and conditions. As a result, they might not be fully aware of what their policy covers. For example, some policies might have a waiting period before full benefits apply. Be sure to understand all the details before finalizing your decision.

5. Buying on Price Alone

While affordability is essential, choosing a policy based solely on cost can be a mistake. Look beyond the premiums to consider the company’s reputation, customer service, payout process, and financial stability.

6. Ignoring Policy Reviews

Another common mistake is ignoring reviews of final expense life insurance companies. Reviews can provide insight into customer experiences and the company’s reliability.

7. Overlooking Future Needs

Remember to consider future needs when purchasing your policy. If you anticipate your expenses to increase over time, a policy with a higher payout might be more beneficial in the long run.


Avoiding these common mistakes when buying final expense life insurance can help ensure your loved ones aren’t burdened with unexpected costs when you’re gone. This peace of mind is invaluable and can offer comfort in knowing your final wishes will be carried out as planned.

Remember, it’s always wise to seek professional advice when purchasing any life insurance product. This way, you can find the best final expense life insurance that suits your needs and budget. Understanding your policy can help protect you and your family from financial strain in the future.

Don’t let these common mistakes keep you from the coverage you need. Let the process of buying final expense insurance be a part of your comprehensive financial planning strategy. Protecting your family’s future is too important to leave to chance.

Navigating the world of final expense insurance can be complex, but you don’t have to do it alone. Our knowledgeable insurance brokers are here to help guide you through the process, compare policies, and select a plan that suits your individual needs. Reach out to us today for a consultation and let’s secure your peace of mind together.