3 Types of Burial Insurance
Published on December 13, 2018 last updated on December 13, 2018
- Level – Level life insurance is a traditional whole life insurance policy that covers you your entire life. There is no waiting period and the plan is effective immediately once the policy is approved and paid for. Premiums generally never increase and coverage will last a lifetime. Keep in mind that these plans will ask a few medical questions to see how your health is but rates are lowest with a Level plan if you qualify.
- Graded – Most people will choose a graded plan if they don’t qualify for a Level plan due to health issues. There is a two-year waiting period after being accepted before the policy is active. Should something happen within the first two years of the policy, the insurance carrier will refund the premiums you paid (some may also pay you interest with it). Less coverage is generally offered through a graded insurance policy.
- Guaranteed – No questions ask insurance policies that are ideal for someone with health issues. These plans are similar to the graded policy with a two-year waiting period but you get the policy almost immediately. No medical questions asked or underwriting is needed and the plan coverage is usually capped at a maximum of $25,000.