If you are shopping for life insurance or even a final expense policy, you’ve probably seen the word beneficiary bouncing around. If you don’t know who the beneficiary is, well, it’s whoever you choose it to be. Technically, the beneficiary is a person who is entitled to receive benefits from your life insurance policy after you pass. You can select multiple beneficiaries or just one. The choice is yours.
To learn more about final expense insurance, our life insurance experts are here to help!
What is Final Expense Insurance?
Final expense insurance is a type of permanent life insurance that allows the policyholder’s beneficiaries to collect a death benefit at the time of their death. These policies are typically best for those who don’t qualify for traditional life insurance due to age or health reasons.
How Much Can My Beneficiaries Receive?
The amount of money provided by a traditional life insurance policy varies depending on what level of coverage you qualify for. Some life insurance policies can range up to millions of dollars, while final expense sits around $50,000. While the death benefit is lower, it provides just enough coverage to ensure your funeral, burial, medical, and other small debts will be taken care of.
Choosing Your Beneficiaries
Who you choose as your beneficiaries matters. You want the money to fall into the right hands after you pass, so always make sure you choose someone that you think will manage the money appropriately. If you expect the death benefit to be used to pay for your funeral or other end-of-life expenses, let the beneficiaries know. You can also choose to have someone else in charge of the money until younger beneficiaries are old enough to handle the income.
Setting money aside in a fund is also something that is commonly done. Contributing to funds to help pay for things such as education and medical bills are all possible with life insurance benefits.
Find the Right Policy Today
Now that you know who your beneficiaries are, let’s find you some insurance. Give Jersey Medicare Solutions a call now to get started with finding a final expense policy that fits you!
Thomas M. Brzezinski is one of the founding partners of WMAG William & Michael Advisor Group LLC and Jersey Insurance Solutions. He has been involved in the insurance industry for over ten years and specializes in developing client relationships that last a lifetime.
