Burial Insurance

When you apply for simplified issue life insurance you answer some questions about your health but you won't be required to take a medical exam. Additional information about you is usually gathered by the insurance company through third-party sources. This might include details about your driving record and prescription history.

Simplified issue policies typically have higher coverage amounts available compared to guaranteed issue policies, and premiums are generally lower for those who qualify.

Guaranteed issue life insurance requires no medical exam and asks no health questions. Coverage is guaranteed regardless of your health status, making it accessible for those with serious health conditions.

These policies typically have lower coverage amounts (often $5,000 to $25,000) and higher premiums compared to other types of burial insurance. They also usually include a graded death benefit, which means if you die within the first 2-3 years of the policy (except by accident), your beneficiaries may only receive the premiums paid plus interest, not the full death benefit.

Pre-need insurance is specifically designed to cover funeral expenses and is often sold by funeral homes. With this type of policy, you select your funeral arrangements in advance, and the policy pays directly to the funeral home upon your death.

This ensures your specific funeral wishes are carried out and can provide peace of mind that these arrangements won't burden your loved ones. However, these policies are less flexible than traditional burial insurance since the funds can only be used for funeral expenses with the designated provider.