Why Burial Insurance Cost Varies by Health & Age

When planning for the inevitable, many people turn to burial insurance, also known as final expense insurance, to relieve their families of financial burdens. It’s a thoughtful and practical move, but as with most insurance products, burial insurance cost can vary significantly depending on individual factors. Age, health, and the type of plan you select all play critical roles in determining your premium.

How Age Affects Burial Insurance Premiums

Age is one of the most straightforward and influential factors affecting burial insurance premiums. Insurance is all about risk management for the insurer, and from a statistical standpoint, the older you are, the closer you may be to utilizing your coverage. That’s why insurance companies calculate premiums based on age brackets.

Sample Monthly Rates (Final Expense Non-Tobacco, $10,000 Coverage, includes $3 policy fee):
Age 50 – $42.20/month
Age 60 – $60.30/month
Age 70 – $88.10/month
Age 80 – $183.20/month
*Rates are based on the current LHLIC rate book and may vary by state.*

As you age, your life expectancy decreases, and the likelihood of the insurer having to pay out increases. Because of this, the cost of burial insurance goes up with each passing year. For example:

As you age, your life expectancy decreases, and the likelihood of the insurer having to pay out increases. Because of this, the cost of burial insurance goes up with each passing year.

For example:

• A 50-year-old may pay about $42.20 per month for a $10,000 policy.
• A 70-year-old could pay around $88.10 per month for the same coverage.
• Someone in their 80s might pay approximately $183.20 per month, depending on health and the insurer.
• A 70-year-old could pay $60–$100 or more for the same coverage.
• Someone in their 80s might pay $120 or higher, depending on health and the insurer.

For this reason, the best time to purchase burial insurance is when you’re younger—even if you feel it’s early—because locking in lower rates can save you thousands over the long run.

Health Conditions That Influence Your Policy Cost

Another major contributor to the cost of burial insurance is your current health status and medical history. Most burial insurance policies are simplified issue, meaning they don’t require a medical exam, but you will usually answer health-related questions on your application.

Common health conditions that can affect your premium include:

• Heart disease or prior heart attacks
• Cancer (past or present)
• Diabetes, especially insulin-dependent
• Chronic obstructive pulmonary disease (COPD)
• Stroke history
• Alzheimer’s or dementia
• Kidney disease or dialysis

The Underwriting Process

Insurers may group applicants into preferred, standard, or substandard risk categories. If your health is relatively good for your age, you may qualify for lower rates. However, if you have serious or multiple conditions, your policy may:

• Come with higher monthly premiums
• Include a waiting period before full benefits apply (see graded policies below)
• Offer reduced coverage amounts

The important takeaway: even with health issues, you can still qualify for coverage. Burial insurance is designed to be accessible—but the trade-off for greater accessibility is typically a higher cost if health conditions are present.

Why Younger Applicants Pay Less for Final Expense Insurance

It can’t be overstated: age is gold when it comes to buying burial insurance. Young applicants benefit not only from longer expected lifespans but also from typically better health and more policy options.

Benefits of Applying Early:

• Lock in a low rate that never increases
• Qualify for higher coverage amounts for a lower premium
• More likely to be approved for a level benefit plan (explained below)
• No waiting period for death benefits in most cases

Even if you’re in your 40s or 50s and in good health, burial insurance is worth considering. Why wait until you’re older and paying 2x or 3x the price? By applying early, you can protect your loved ones from rising funeral costs—which average $8,000 to $12,000—without stretching your budget later in life. According to industry data, funeral expenses have risen over 40% in the past decade, making early planning even more critical.

Choosing Between Level and Graded Benefit Plans

Not all burial insurance policies are created equal. Two common types are level benefit and graded benefit plans, and understanding the difference is crucial when comparing burial insurance cost.

Level Benefit Plan

• Available to those in good or average health
• Full death benefit available immediately
• Offers the lowest premium for your age bracket
• Ideal for those without serious medical conditions

Graded Benefit Plan

• Designed for those with moderate to severe health conditions
• Includes a waiting period—usually 2–3 years—before full death benefit applies
• If death occurs during the waiting period, a partial benefit or refund of premiums plus interest is paid
• Premiums are typically higher

Graded policies are often the only option for applicants with significant health challenges, but they still offer valuable protection and peace of mind. However, if you can qualify for a level benefit policy, it’s typically more cost-effective in the long term.

Tips to Lower Your Burial Insurance Cost

While you can’t turn back the clock on age or eliminate existing health conditions, there are still smart strategies to reduce your burial insurance cost and make your policy more affordable.

1. Apply Sooner Rather Than Later

As discussed, your age plays a huge role in determining cost. Every year you wait, the premium increases—not to mention the risk of new health issues cropping up.

2. Compare Multiple Insurance Carriers

Not all insurers are the same. Some are more lenient with certain health conditions or offer better rates based on region. Work with an independent agency like The Paul Group to shop the market for you.

3. Choose the Right Policy Type

Whenever possible, opt for a level benefit plan to avoid waiting periods and get lower premiums.

4. Avoid Over-Insuring

If your goal is to cover funeral and burial expenses, a $10,000–$15,000 policy is often sufficient. Higher coverage equals higher premiums, so be realistic about your needs.

5. Work With a Specialist

Some agencies specialize in final expense insurance and understand the nuances of underwriting better than general agents. They can place you with the right carrier and policy type for your unique situation.

FAQs

Can I still get affordable coverage with health issues?

Yes, many carriers offer guaranteed issue or graded benefit policies that do not require medical exams. While premiums may be higher and include a waiting period, coverage is still accessible and provides financial support for your loved ones when they need it most.

How does a graded death benefit work?

With a graded benefit plan, the full death benefit is not immediately available. Instead, if the insured passes away within the first 2–3 years, the policy may pay:

• A percentage of the benefit (e.g., 30% in year 1, 70% in year 2)
• Or a return of premiums paid plus interest

After the waiting period, the full benefit is available. This helps insurers manage risk while still offering coverage to higher-risk individuals.

Why is burial insurance cheaper at a younger age?

Insurers base premiums on life expectancy. When you’re younger:

• You pose less risk
• You’re more likely to be healthier
• You may qualify for immediate coverage
• Starting early lets you lock in a lower rate for life, regardless of future health changes.

Secure Peace of Mind with the Right Burial Insurance Partner

Why Choose The Paul Group?
• Exclusive focus on Final Expense Insurance
• Access to top-rated carriers nationwide
• Bilingual licensed agents serving Florida and multiple other states
• Same-day approvals and compassionate claims process

Choosing the right burial insurance policy is one of the most important financial decisions you’ll make for your family’s future. The key to getting the best rates and coverage lies in:

• Understanding how age and health affect premiums
• Choosing the right policy type (level vs. graded)
• Working with experts who understand the final expense market

At The Paul Group, we specialize exclusively in Final Expense Insurance. As one of the leading agencies in the state of Florida, our team is dedicated to helping you find a policy that fits your budget and ensures your loved ones are protected when it matters most.

We pride ourselves on unmatched service, deep product knowledge, and long-term relationships with our valued clients and partners. Whether you’re an agent looking to grow your business or a consumer seeking peace of mind, we’re here to guide you every step of the way.

Contact us today to learn more and get started with a personalized final expense insurance quote. Don’t wait—secure your legacy with confidence.