Burial insurance for 87-year-olds provides financial protection to cover end-of-life expenses. These policies are designed specifically for seniors and typically offer coverage without requiring a medical exam. The maximum coverage available for individuals over 85 is usually $25,000, though multiple policies from different providers can be combined for higher total coverage.

For 87-year-olds seeking burial insurance, options may be limited compared to younger applicants. However, several reputable insurance companies still offer policies tailored to this age group. Premiums tend to be higher due to increased risk factors associated with advanced age, but the peace of mind provided by having final expenses covered can be invaluable for both the policyholder and their family.

When considering burial insurance at 87, it’s important to compare quotes from multiple providers to find the best rates and coverage options. Working with an experienced insurance agent can help navigate the available choices and ensure the selected policy meets individual needs and budget constraints.

Understanding Burial Insurance

Burial insurance provides financial protection for end-of-life expenses. It offers peace of mind to seniors and their families, ensuring funds are available to cover funeral costs and related expenses.

Types of Burial Insurance

Burial insurance comes in several forms. Simplified issue policies require answering health questions but no medical exam. Guaranteed issue policies accept all applicants regardless of health status.

Some policies have graded death benefits, paying out a portion of the face value in the first few years. Others offer level benefits from day one.

Cash value accumulation is a feature of some burial insurance policies, allowing policyholders to access funds if needed during their lifetime.

Final Expense Insurance vs. Traditional Life Insurance

Final expense insurance is designed specifically for end-of-life costs. It typically has lower coverage amounts, ranging from $5,000 to $25,000.

Traditional life insurance often has higher coverage amounts and can be more complex. It may require medical exams and have stricter underwriting criteria.

Final expense policies are easier to qualify for, especially for seniors with health issues. They often have faster approval processes and simpler applications.

Permanent Coverage: Whole and Universal Life Insurance

Whole life insurance provides lifelong coverage with fixed premiums. It builds cash value over time and offers stable, predictable benefits.

Universal life insurance offers more flexibility. Policyholders can adjust premiums and death benefits as needs change.

Both types provide permanent coverage, ensuring the policy remains in force as long as premiums are paid. This makes them suitable options for burial insurance needs.

Cash value components in these policies can serve as a financial resource during the policyholder’s lifetime, if needed.

Eligibility and Coverage Details

Burial insurance options for 87-year-olds have specific eligibility criteria and coverage details. These policies aim to provide financial support for end-of-life expenses without extensive medical underwriting.

Insurance for Seniors Over 80

Final expense insurance is the primary option for seniors over 80. These policies typically offer coverage ranging from $2,000 to $50,000. The exact amount depends on the insurer and plan chosen.

Most companies require applicants to work with insurance brokers rather than purchasing directly. This ensures seniors receive guidance in selecting appropriate coverage.

Premiums for these policies are fixed and will not increase over time. The death benefit also remains constant throughout the policy’s duration.

Policy Features and Limits for 87-Year-Olds

At 87, whole life burial insurance is the only available type of life insurance. These policies are permanent, meaning they never expire as long as premiums are paid.

Coverage limits for 87-year-olds typically range from $2,000 to $25,000. Some insurers may offer up to $50,000, but this is less common at advanced ages.

The funds from these policies can be used for funeral costs, outstanding medical bills, or other final expenses. Beneficiaries have flexibility in how they allocate the payout.

Case for No Medical Exams and Health Questions

Burial insurance for 87-year-olds generally does not require medical exams. This simplifies the application process and makes coverage more accessible.

While medical exams are not needed, applicants may need to answer some health questions. These questions help insurers assess risk and determine eligibility.

The no-exam approach allows seniors with pre-existing conditions to obtain coverage more easily. It also speeds up the approval process, often providing same-day or next-day policy issuance.

Choosing the Right Policy

Selecting an appropriate burial insurance policy for an 87-year-old requires careful consideration of several factors. The choice can significantly impact coverage, costs, and peace of mind for both the insured and their loved ones.

Assessing Different Insurance Companies

When evaluating burial insurance providers, consider their financial stability and reputation. Companies like Mutual of Omaha, State Farm, and AARP offer policies tailored for seniors. Compare their coverage limits, premium rates, and customer service ratings. Some insurers specialize in policies for older adults, potentially offering more competitive rates or lenient underwriting.

Look for companies with high financial strength ratings from agencies like A.M. Best. This indicates their ability to pay claims reliably. Read customer reviews and check complaint ratios with state insurance departments to gauge satisfaction levels.

The Role of Cash Value in Burial Insurance

Cash value can be an important feature in burial insurance policies. It allows the policy to accumulate value over time, which can be borrowed against if needed. This feature may be less significant for 87-year-olds due to the shorter accumulation period.

Some policies offer immediate cash value, while others build it gradually. Consider how quickly the cash value grows and any restrictions on accessing it. Balance the potential benefits against higher premiums typically associated with cash value policies.

Guaranteed Issue vs. Medical Underwriting Policies

Guaranteed issue policies accept all applicants regardless of health status. These can be attractive for 87-year-olds with pre-existing conditions. However, they often come with higher premiums and lower coverage amounts.

Medical underwriting policies require health information but may offer lower premiums for healthier applicants. Some insurers use simplified underwriting, asking fewer health questions. This can be a middle ground between fully underwritten and guaranteed issue policies.

Consider the trade-offs between ease of approval, coverage amounts, and cost when choosing between these options. Health status and budget will play crucial roles in determining the most suitable policy type.

Financial Considerations

Burial insurance for 87-year-olds involves careful financial planning to cover end-of-life expenses. Premiums, death benefits, and funeral costs all play crucial roles in choosing an appropriate policy.

Understanding Premiums and Death Benefits

Premiums for burial insurance at age 87 are typically higher due to increased life expectancy risks. Monthly costs can range from $100 to $300, depending on the coverage amount. Death benefits usually fall between $5,000 and $25,000, tailored to cover funeral expenses and other final costs.

Most policies offer level premiums, meaning the cost remains the same throughout the policy’s lifetime. This feature helps with budgeting and financial planning for seniors on fixed incomes.

Some insurers may offer graded death benefits, where the full payout is only available after a waiting period of 2-3 years. It’s crucial to understand these terms before committing to a policy.

Managing Final Expenses

The average funeral cost in the United States ranges from $7,000 to $12,000. Burial insurance can help cover these expenses, alleviating financial stress for families during a difficult time.

Policies often allow for the death benefit to be used flexibly, covering:

• Funeral services
• Burial or cremation costs
• Outstanding medical bills
• Legal fees

It’s wise to research local funeral costs and factor in potential inflation when choosing a coverage amount. Some policies offer additional riders for extra protection, such as accidental death benefits.

Ensuring Financial Stability for Loved Ones

Burial insurance provides peace of mind by preventing loved ones from bearing the financial burden of final expenses. This type of insurance is especially valuable for seniors who may have limited savings or assets.

The quick payout of burial insurance policies helps families avoid dipping into their own finances or relying on crowdfunding for funeral costs. Most insurers offer streamlined claim processes, ensuring funds are available when needed most.

Some policies allow for the assignment of multiple beneficiaries, enabling fair distribution of funds among family members. This feature can help prevent potential conflicts during an already stressful time.

Policy Acquisition Process

Obtaining burial insurance at age 87 involves a straightforward process designed for seniors. Insurance companies have tailored their procedures to accommodate older applicants, focusing on simplicity and accessibility.

Application and Purchase

The application process for burial insurance at 87 is typically quick and easy. Many insurers offer online applications or phone consultations. Applicants provide basic personal information and select their desired coverage amount. Policy options may range from $3,000 to $25,000, depending on the insurer. Some companies offer same-day approval, while others may take a few days to process the application.

Premiums can be paid monthly, quarterly, or annually. Electronic payment methods are often available for convenience. Once approved, the policy documents are usually sent by mail or email.

Health Questionnaire and Acceptance Criteria

Most burial insurance policies for 87-year-olds require answering a health questionnaire. This replaces the need for a medical exam. Questions typically cover recent hospitalizations, current medications, and major health conditions.

Acceptance criteria vary by insurer. Some offer guaranteed acceptance life insurance with no health questions, but premiums are higher. Others use graded benefit plans, where full coverage begins after a waiting period.

Pre-existing conditions may affect eligibility or pricing. However, many insurers are more lenient with burial insurance compared to traditional life insurance policies.

After the Policy Purchase

Securing burial insurance for an 87-year-old marks the beginning of a crucial financial arrangement. Policyholders must understand their ongoing responsibilities and rights to maximize the benefits of their coverage.

Maintaining the Policy

Regular premium payments are essential to keep the policy active. Most insurers offer flexible payment options, including monthly, quarterly, or annual installments. Policyholders should set up automatic payments to avoid lapses in coverage.

It’s important to review the policy annually and update beneficiary information if needed. Life changes, such as the death of a spouse or remarriage, may necessitate adjustments.

Keeping policy documents in a safe, accessible location and informing beneficiaries of their existence ensures smooth processing when the time comes.

Claims and Payouts

When the policyholder passes away, beneficiaries should contact the insurance company promptly. They’ll need to provide a death certificate and complete claim forms.

Most burial insurance policies pay out quickly, often within 24-48 hours of claim approval. This rapid payout helps cover immediate funeral expenses.

The benefit amount is typically paid directly to the named beneficiary. They can use the funds for funeral costs, outstanding debts, or other final expenses as needed.

Policyholders’ Rights and Dividends

Burial insurance policies for 87-year-olds are usually whole life policies, which may accumulate cash value over time. Policyholders have the right to access this cash value through loans or withdrawals if needed.

Some policies may be eligible for dividends, though this is less common with burial insurance. If dividends are offered, policyholders can choose to receive them in cash, use them to reduce premiums, or reinvest them to increase the death benefit.

Policyholders have the right to cancel their policy at any time, though this may result in surrender charges. They also have the right to receive annual statements detailing policy performance and any accumulated cash value.

Additional Benefits and Features

Burial insurance policies for 87-year-olds often include extra options to enhance coverage. These features can provide added value and flexibility for policyholders.

Riders and Additional Coverage

Many insurers offer riders to customize final expense policies. Common options include accidental death benefit riders, which pay out additional funds if death occurs due to an accident. Some policies provide living benefits, allowing early access to funds for terminal illness expenses.

Graded death benefit riders are sometimes available, providing partial payouts in the first few policy years. This can be useful for those with health issues who may not qualify for immediate full coverage.

Potential Discounts and Financial Ratings

Insurance companies may offer discounts to 87-year-old applicants. Non-smoker rates can significantly reduce premiums. Some insurers provide multi-policy discounts for bundling burial insurance with other products.

Financial strength ratings from agencies like A.M. Best are crucial when selecting an insurer. Higher-rated companies are more likely to fulfill future claims. Ratings of A or better indicate strong financial stability.

Policy features like guaranteed level premiums can protect against future rate increases. This ensures costs remain predictable for older policyholders on fixed incomes.

End-of-Life Planning

End-of-life planning involves making crucial decisions about burial or cremation options and associated costs. Understanding these choices helps families prepare financially and emotionally for final arrangements.

Considering Burial or Cremation Options

Burial and cremation are the two primary options for final disposition. Burial involves interring the body in a cemetery plot or mausoleum. This choice preserves traditional customs and provides a physical location for loved ones to visit.

Cremation has become increasingly popular due to its lower cost and flexibility. The ashes can be scattered, kept in an urn, or interred in a columbarium. Some families opt for a viewing before cremation to allow for a traditional funeral service.

Both options have varying environmental impacts. Green burials and biodegradable urns offer eco-friendly alternatives for those concerned about sustainability.

Costs of Headstones and Memorial Services

Headstone prices range from $1,000 for simple markers to $5,000 or more for elaborate designs. Factors affecting cost include:

• Material (granite, marble, bronze)
• Size and shape
• Engraving complexity
• Installation fees

Memorial services can vary widely in cost. Basic elements include:

• Venue rental
• Officiant fees
• Music or audio-visual equipment
• Printed programs
• Catering

A simple service might cost $1,000-$2,000, while more elaborate events can exceed $10,000. Families can control costs by choosing smaller venues, limiting guest numbers, or opting for a memorial at home.

Insurance Provider Comparison

Several insurance companies offer burial coverage for 87-year-olds. Each provider has unique benefits, costs, and policy features. Customer experiences can vary significantly between companies.

Comparing Major Providers

AARP Life Insurance partners with New York Life to offer guaranteed acceptance policies for seniors up to age 80. State Farm provides final expense insurance with simplified underwriting. Trustage Life Insurance, affiliated with CUNA Mutual Group, offers burial insurance for older adults. Senior Life Insurance Company specializes in coverage for individuals aged 50-85.

Policy limits range from $2,000 to $25,000 among these providers. Premium costs for 87-year-olds typically fall between $135 and $310 per month. Some policies have waiting periods before full benefits are available. Others offer immediate coverage upon approval.

Evaluating Customer Satisfaction and Reviews

Customer satisfaction varies among burial insurance providers. AARP and State Farm generally receive positive reviews for their financial stability and customer service. Trustage earns praise for its easy application process. Senior Life Insurance Company gets mixed feedback, with some customers appreciating their specialized focus on seniors.

Common customer complaints across providers include premium increases and confusing policy terms. Positive reviews often mention helpful agents and smooth claims processes. It’s crucial to read recent customer experiences and check ratings from independent agencies before choosing a provider.

Practical Tips Before Signing Up

Careful review of policy details and understanding health implications are crucial when selecting burial insurance at 87 years old. These steps help ensure the chosen policy meets specific needs and budget constraints.

Thoroughly Reviewing Insurance Contracts

Before signing up for a final expense policy, carefully read all contract terms. Pay close attention to coverage limits, premium amounts, and payment schedules. Look for any exclusions or waiting periods that may affect the policy’s effectiveness.

Compare multiple offers to find the best value. Some insurers may provide more comprehensive coverage or lower premiums for similar benefits. Consider seeking help from a licensed insurance agent who specializes in senior policies.

Check if the policy offers a grace period for missed payments. This feature can be valuable for those on fixed incomes. Ensure you understand how and when benefits are paid out to beneficiaries.

Understanding the Impact of Pre-existing Conditions

Pre-existing health conditions can significantly affect burial insurance options at 87. Many insurers may limit coverage or increase premiums for certain health issues.

Some companies offer guaranteed issue policies that accept all applicants regardless of health status. These often come with higher premiums or a waiting period before full benefits apply.

Be honest about health history when applying. Failure to disclose medical conditions can lead to claim denials. Some insurers may require a brief health questionnaire, while others offer no-questions-asked policies.

Consider how current medications or treatments might impact eligibility or costs. Certain manageable conditions may not affect rates as much as more serious ailments.