Do People who Buy FE

[robertrr]

normally not have any other life insurance? The reason I ask is 1. because I'm a newbie. and 2. I just cant get it into my head why a person with a Term or WL policy would not have the benefits from either of those be used to take care of their funeral and other responsibilities they would have when they die.


Thanks again,
RRR

 

[Newby]

normally not have any other life insurance? The reason I ask is 1. because I'm a newbie. and 2. I just cant get it into my head why a person with a Term or WL policy would not have the benefits from either of those be used to take care of their funeral and other responsibilities they would have when they die.


Thanks again,
RRR

Their term will run out long before they die in most cases. Most lower income people do not own any whole-life. Or they own very little and need more.

A lot of people never buy insurance because they think what they have through work is fine. When they retire or lose their job, they are older, broker and less healthy. Now they just want a small whole-life policy.

 

[trustandadvice]

It is my understanding that final expense policies are guaranteed issue, have low face amounts to cover funeral, and have a pay to 100 structure with no cash build up? Basically GUL / 100 year term???

What companies are competitive?

 

[WinoBlues]

It is my understanding that final expense policies are guaranteed issue, have low face amounts to cover funeral, and have a pay to 100 structure with no cash build up? Basically GUL / 100 year term???

What companies are competitive?

Most of that is incorrect.

 

[scmb]

It is my understanding that final expense policies are guaranteed issue, have low face amounts to cover funeral, and have a pay to 100 structure with no cash build up? Basically GUL / 100 year term??? What companies are competitive?

Did you take that description of Wikipedia or something??

FE is not guarantee issue with the majority of the policies, but it's simplified underwriting that helps place policies quickly with all sort of health conditions.

It builds cash value but it's non-participating policies mainly so less cash is build up vs. other whole life/UL policies.

too many to list, I know Settlers and Transamerica would both be well balanced companies to keep in your kit.

 

[Tearmann]

It is my understanding that final expense policies are guaranteed issue, have low face amounts to cover funeral, and have a pay to 100 structure with no cash build up? Basically GUL / 100 year term???

What companies are competitive?

Your understanding is mostly incorrect - most FE policies are smaller faced WL; although some are GI depending on health conditions, but those should be very few.

Depending on income a FE policy can and often is used to provide some monies over the cost of funeral expenses albeit not much.

Term, in my opinion, is not a very good choice to cover final expenses as most will live beyond the term period and they do he wonderful thing and live beyond that period, the annual renewal options to 95 for most term policies make it cost prohibitive to folks on low fixed incomes.

As to what companies are competitive - there are too many to list here; it really depends on the clients you'll see. Since those are mostly 55+ I use several different companies to fill the goals of the client based on health criteria.