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Most "Final Expense" policies are Whole Life, not all, but most that are sold in the typical Final Expense market. The typical FE policy is a small Whole Life policy with about 4 tables built in. Think high risk auto insurance policies.
Final Expense is or was just a marketing term. We used to call them 'Burial Policies'. Kinda like 'Mortgage' policies are typically just term policies.
Where?
Looks like you were looking at a GUL on a excellent health female. And yeah, typically that may be much more appropriate for her than FE policy.
Several reasons - Who they are, health, knowledge and how they were put in contact with the agent. - The agent.
Are they middle class and referred by their middle class friends to a Traditional Life Insurance Agent or are they lower income and contacted by a mail in FE card or referred to a full-time FE agent? Even in the different type agents you are going to have biases.
Client knowledge and agent knowledge.
Not remotely true. I had a JNL $1million claim paid in under two weeks of mailing in the DC. I had little Oxford FE policy take about 6+ weeks. While there are some FE companies that pay very quickly you can not make that blanket statement.
$10,000 is said to be the norm but that is definitely is regional. There are many places that $10,000 won't buy the hole. In my non FE Agent option the typical $25,000 max issue amount is out dated.
For your example of a very healthy 70 year old female a traditional par whole life or GUL very well may be the better option. IF, she will go Fully Underwritten.
All IMohsoHO
Edit: I started this reply an hour or so ago but got a call and just got back to it. Looks like everyone else already said what I said.
So = What those guys said.
Final Expense is or was just a marketing term. We used to call them 'Burial Policies'. Kinda like 'Mortgage' policies are typically just term policies.
Where?
Looks like you were looking at a GUL on a excellent health female. And yeah, typically that may be much more appropriate for her than FE policy.
Several reasons - Who they are, health, knowledge and how they were put in contact with the agent. - The agent.
Are they middle class and referred by their middle class friends to a Traditional Life Insurance Agent or are they lower income and contacted by a mail in FE card or referred to a full-time FE agent? Even in the different type agents you are going to have biases.
Client knowledge and agent knowledge.
Not remotely true. I had a JNL $1million claim paid in under two weeks of mailing in the DC. I had little Oxford FE policy take about 6+ weeks. While there are some FE companies that pay very quickly you can not make that blanket statement.
$10,000 is said to be the norm but that is definitely is regional. There are many places that $10,000 won't buy the hole. In my non FE Agent option the typical $25,000 max issue amount is out dated.
For your example of a very healthy 70 year old female a traditional par whole life or GUL very well may be the better option. IF, she will go Fully Underwritten.
All IMohsoHO
Edit: I started this reply an hour or so ago but got a call and just got back to it. Looks like everyone else already said what I said.
So = What those guys said.
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