Final Expense/Burial Insurance In Illinois Overview
last updated on March 7, 2022Are you currently living in Illinois? Have you started thinking about covering the cost involved in your funeral?
Funerals can easily cost $10,000 today and the price rises every year. Did you know, the local government will bury individuals who cannot afford their funeral in a paupers grave?
To avoid making your family go into debt or being buried in a pauper’s grave you can make preparations now. How so?
Read on to learn more.
NOTE: For a free burial insurance quote specific to the state of Illinois click the Get A Quote Button or call 888 626 0439 and one of our friendly life insurance specialists would be happy to provide you with answers and a free quote in less than five minutes.
Quick Navigation Article Links
- How Does Burial Insurance/Final Expense Insurance In Illinois Work?
- What Does Burial Insurance Cover?
- Final Expense Insurance Versus Life Insurance
- Average Funeral Cost In Illinois
- Funeral Price Inflation In Illinois
- If I Live In Illinois Is Funeral/Burial Insurance Worth Having
- What Happens If I Do Not Have A Burial Plan In Illinois
- Is There An Age Limit For Burial Insurance
- Our Favorite Burial Insurance Providers in Illinois
- What Is The Cheapest Burial Insurance Plan In Illinois
- How Much Burial Insurance Coverage Should I Get
- How Do I Buy A Burial Insurance Policy
- FAQs
- Terms To Understand When Talking About Insurance
How Does Burial Insurance/Final Expense Insurance In Illinois Work?
Burial expense insurance is a type of insurance policy that covers burial expenses and other end of life expenses involved when someone passes. This kind of policy is meant to protect the surviving family members from debt and allow them to bury the person as they would have wanted. In Illinois, there are many end of life expenses to cover when someone passes.
Having a burial insurance plan can spare your family from stress and debt when they are grieving. I’m sure you can agree, added stress after losing a loved one is the last thing anyone needs.
Final expense insurance can also be called burial insurance or funeral insurance. All three of those terms will be used in this article to describe an insurance policy that covers burial expenses.
A burial insurance policy can cover a whole family or just one individual. Many families choose to stay with the same provider to keep things simple.
In Illinois, burial insurance is usually sold through brokers or insurance agents. In some cases, funeral homes are licensed to sell burial insurance. Also, we at BuyLifeInsuranceForBurial.com can help, of course!
After selecting the burial plan you want, you must select and name a beneficiary. When you pass, the beneficiary is the only person authorized to use the insurance benefits to cover your expenses. Choose a trustworthy and capable person as your beneficiary.
What Does Burial Insurance Cover?
Final expense insurance is meant to cover the funeral, memorial, and other end of life expenses of the policy holder. The benefits can be used to pay off left over medical bills or debt if there is enough.
Having burial insurance gives the beneficiary peace of mind and allows them to take care of any financial loose ends.
Each plan has different requirements and coverage limits. Make sure to read through each plan you are considering carefully. Ask the agent if you do not understand something.
Final expense insurance plans may cover:
- Cremation costs
- Burial costs
- Casket/Urn
- Preparation Of The Body
- Funeral expenses
- Service Expenses
What’s The Difference Between Final Expense Insurance Versus Life Insurance?
Final expense insurance and life insurance are VERY similar, practically the same thing. The only difference is that life insurance plans pay out a much higher benefit and the beneficiary receives the money.
Funeral insurance pays out a lower benefit, usually between $7,000 – $25,000. Life insurance pays out a much higher benefit. Life insurance is meant to cover your families daily expenses, mortgage, and other expenses.
If your life insurance plan offers final expense insurance it may be termed as a death benefit. Read through the policy to confirm your plan offers this option.
Final expense insurance usually has less face value than a life insurance plan because it is only meant to cover expenses involved in a funeral and burial.
Average Funeral Cost In Illinois
The national average funeral cost for the service, pre of the body, burial, and plot is $7,000 to $12,000. The national average for cremation and a simple funeral service is $6,000 to $7,000.
Now compare the average funeral in Illinois in 2021 which was $8,176. In Illinois, the average cremation funeral in 2021 cost $6,697.
Keep in mind the casket, urn, headstone, burial plot, flowers, and transportation are separate from the service fees. These other expenses will cause your final price to go even higher.
Reference this chart to find out the specific products and service costs.
| Item | Average Cost |
| Transporting the body to the funeral home | $350 |
| Hearse | $340 |
| Preparing the body | $255 |
| Embalming | $750 |
| Casket (simple wood casket) | $2,000-$20,000 |
| Cremation | $350 |
| Urn (simple urn) | $140 |
| Flowers | variable |
| Burial Plot (basic) | $3,915 |
| Headstone (basic) | $199 |
| Funeral Facilities For Ceremony | $500 |
| Printed Materials | $175 |
Other expenses to consider when someone passes are travel expenses for the family and legal expenses if your family needs to hire a lawyer.
These prices are the average or lower end of the spectrum, if you want a higher quality casket, a larger service, or other upgrades you need to add $5,000 to $10,000 to your estimated funeral cost.
Average Funeral And Cremation Service Fees In Illinois By Area
Peoria-Pekin
| Service Choice | Average Cost |
| Direct Cremation Service Fee | $2,767 |
| Immediate Burial Service Fee | $4,290 |
| Cremation Memorial Service Fee | $7,857 |
| Full Burial Service Fee | $9,263 |
Bloomington
| Service Choice | Average Cost |
| Direct Cremation Service Fee | $2,861 |
| Immediate Burial Service Fee | $4,985 |
| Cremation Memorial Service Fee | $6,697 |
| Full Burial Service Fee | $9,092 |
Kankakee
| Service Choice | Average Cost |
| Direct Cremation Service Fee | $2,594 |
| Immediate Burial Service Fee | $4,490 |
| Cremation Memorial Service Fee | $7,905 |
| Full Burial Service Fee | $9,081 |
Chicago
| Service Choice | Average Cost |
| Direct Cremation Service Fee | $2,411 |
| Immediate Burial Service Fee | $3,885 |
| Cremation Memorial Service Fee | $6,805 |
| Full Burial Service Fee | $8,503 |
So, to calculate your estimated funeral cost you select your service choice above. Those prices include the funeral/cremation, memorial service (if specified), and a few other expenses. Remember if you upgrade any of the products or services, the overall cost will be higher.
However, there is another factor that affects price.
Funeral Price Inflation In Illinois
Each year the costs involved in a funeral, burial, and cremation rise. Prices continue to rise because the cost of materials and labor continues to increase each year.
Funeral expenses rise at an average of roughly 3.5% to 6.4% a year. So if a very basic funeral costs $8,000 in 2021, in 2031 it would cost roughly $13,000.
However, since the pandemic, the cost of caskets has increased 20% to 30%. This is because they are usually shipped from overseas, if that supply is disrupted demand increases while supply is low. The rate of inflation can jump very quickly.
Take a look at this chart which shows the estimated average inflation we expect to see in the next 30 years.
With average yearly inflation of 5%, by 2050, you can expect to pay roughly $32,900 for a funeral!
The point? Inflation is a yearly factor that raises the cost of everything, even a funeral. Prepare to meet this rise in price. Good preparation and planning mean you are ready for tomorrow’s problems!
If I Live In Illinois Is Funeral Insurance Worth Having?
As we have considered, the cost of funerals and cremations in Illinois can easily reach $8,000, or more realistically.
Having burial insurance can give you peace of mind. Having an insurance policy will reduce the burden and stress on your loved ones in the case of your death. You can rest assured that your family will not have to go into debt to cover your funeral expenses.
If you already have a sufficient amount of money saved, you may think “I’m covered, I don’t need to purchase an extra insurance plan!” But keep in mind, as mentioned above, the cost of funerals and burials rises every year. The amount that would have sufficiently covered your funeral now will probably not cover everything in 10-20 years.
$8,000 dollars today will barely put a dent in a funeral in 30 years!
Consider the following factors when deciding if you want burial insurance:
- Your current financial situation
- Any current life insurance plan you may have
- Your family members financial situation
- The services and items you want at your funeral. As mentioned before a very simple funeral will easily reach $6000. A large funeral with many upgrades will easily reach $20,000.
- The money you have already saved/set aside
- Legal and estate settlement costs
- Unpaid debts
- The unknown expenses and fees you are not aware of. These can catch surviving family members by surprise.
Once you know a ballpark number for your funeral expenses you can consider the financial impact your funeral would have on your family. Preparing to cover inflation as well as the unknown is necessary!
What Would Happen If I Do Not Have A Burial Insurance Plan In Illinois?
So what happens if you do not save for your funeral or buy a burial insurance plan? Well, it’s not good but for the sake of considering all your options lets consider it.
So, you pass, you have no money saved, your estate has no cash value, and you have no insurance plan. If you have family, they will be left scrambling to cover the basics. They will need to collect at least 4,000 to 6,000 dollars just to cremate to immediately bury you. No memorial service included!
If your family cannot collect that amount needed to cover your funeral expenses then they will have a few options.
- They could cremate the remains and the funeral home would dispose of them. They would have to forgo a service and any upgrades. The family would have to leave your remains with the home to take care of.
- What if they do not have the money, well, they could go into debt, maybe tap into a child’s college fund. That may solve the problem now, but the family is left with thousands of dollars of debt to carry. They could take out a loan or a funeral loan. A funeral loan has high-interest rates.
- They could find an assistance program in their state that helps cover the cost of your funeral. This would be a very stressful time and not the survivors would have to spend days or weeks trying to get assistance.
In some cases, the family chooses to abandon the remains and the funeral home is left to take care of everything. Obviously, this is unfortunate and can cause the family much stress and regret. If the body is abandoned, the county or state of Illinois would decide what to do with the body.
Burying your loved one the way they would have wanted can help the family to grieve and process the loss. It is best to avoid leaving your family in this situation.
What Is A Pauper’s Grave?
If your family needs to use an assistance program or abandon your body, most likely you would be buried in a pauper’s grave. What’s this? Well, “pauper’s” or poor person’s grave.
Your family would need to sign a release form to give your body to the local government. The body will either be buried in a plywood casket or cremated and the remains disposed of. This is a highly undignified and impersonal burial. It provides no opportunity for a grieving family to visit the body and reminisce.
A person buried by the public may have to share the same burial plot with someone else! Not something anyone would want!
The county could also decide to bury the body in a mass grave. Unfortunately, mass graves can still be used if the local government decides to. This is by far the worst way to bury any loved one.
Click this link to read more about a pauper’s grave.
Is There An Age Limit For Burial Insurance?
The age that you can buy burial insurance and receive coverage is different for each carrier.
Generally, you can purchase burial insurance between 45-85. However, there are providers in Illinois that will insure an individual from the age of 0 (the day they are born) to age 90. If that is something you need, contact us and we can provide you with specific information.
There are plans available to individuals outside the ages of 45 to 85. There are life insurance policies available for children that may include a death benefit.
Our Favorite Insurance Providers In Illinois
Our favorite insurance providers in Illinois are:
- American Amicable
- Royal Neighbors
- Prosperity
American Amicable offers full first-day coverage for any clients who can qualify. The benefits limit is between $2,500 to $35,000.
They have an age limit of 50-85. They accept bank draft payments only.
You receive an instant decision once you have completed and submitted the application. You can call them by phone to complete the interview.
They offer conditional coverage for those who have health issues or illnesses. Their pricing for smokers is very competitive. They also offer good coverage for those with mental illness, heart conditions, and blood thinners. You will need to provide some medical information to see if you qualify.
This is a good option for smokers and people who are relatively healthy, and our agents can definitely help you get coverage with this company.
Royal Neighbors offers a coverage limit of $7000 to $30,000. The age limit they have is 50-80 and they accept bank draft payment only.
They offer First Day Full Coverage. This means that if approved, you are covered fully from the first payment date for both natural and accidental types of deaths. Most people go for this plan because it provides total peace of mind and protection.
The application process is very convenient and comprehensive. You can fill out an e-app with an instant decision. You could also call the company to complete the application.
Royal Neighbors are diabetes-friendly and offer coverage for those using blood thinners. They will cover you if you take insulin as long as you started after age 30. They have a 2-year look back on cancer or cardiac conditions.
This option is great for very healthy people who have had no recent condition, hospitalization, or other issues in the last 18 to 24 months. And of course, we have access to this carrier and can help you get qualified if you’re health eligible.
Prosperity has an age limit of 50 to 80 years of age and they give a benefits range of $1500 to $35,000.
Prosperity accepts bank draft, debit/credit, and Direct Express payments. The application can be filled out on paper or through an e-app or v-app.
They offer first-day full coverage and partial first-day full coverage. You get the decision when the virtual application is submitted.
They have a two-year look back on certain medical conditions. This could affect your coverage or insurability if you have had any serious illnesses or hospitalizations in that time.
Fun Fact: You can vape, chew, dip, smoke a pipe, or smoke weed and still have coverage.
This is a good provider for moderately healthy to very healthy people or anyone who dabbles in weed or chewing!
What Is The Cheapest Burial Insurance Plan In Illinois?
The cheapest burial insurance plan will depend on the carrier, your health, and age.
Our agents have access to over 15 different insurance providers. This allows us to do the shopping for you to find the best plan for you at the most reasonable price.
Click the Get A Quote Button to find out the cheapest burial insurance available to you or call 888 626 0439 and one of our agents would be happy to provide you with answers and a free quote in less than five minutes.
How Much Burial Insurance Coverage Should I Get?
The best burial insurance plan will cover what a funeral/cremation and all other expenses involved would cost today and in the future. As mentioned before, burial costs rise every year.
We have seen prices jump as high as 30% for some products and burial-related expenses.
In Illinois, it is a smart idea to have coverage between $10,000 to $20,000, if you are older than 60.
If you are younger, you need to factor in more inflation. So a plan starting at $20,00 and increasing a bit every few years is wise. As we saw in the chart, by 2050 it is very likely funerals will cost around $32,900.
Your plan should cover all the products and services you want, a bit extra for any leftover debts, and yearly inflation. The best plan covers you today, tomorrow, and 10-20 years in the future. That way you have peace of mind knowing your expenses are covered and your family is protected.
How Do I Buy A Burial Insurance Policy?
All companies in Illinois require that you deal directly with an agent. The insurance agent will do the shopping around for you.
We provide insurance assistance and our agents are available to answer any questions you have. Give us a call to get a free quote and learn the options that are available to you.
For a free burial insurance quote specific to the state of Illinois click the Get A Quote Button or call 888 626 0439 and one of our friendly life insurance specialists would be happy to provide you with answers and a free quote in less than five minutes.
FAQs About Getting Burial Insurance In Illinois
What If I Have Pre Existing Health Issues, Can I Still Be Covered?
100% Each provider has different requirements, but burial insurance is a smaller benefit policy. It can be much easier to qualify for coverage. There are also plans that guarantee you will be accepted. Read on to find out more about those plans.
Even if you have had health issues recently, you will qualify for some kind of final expense insurance.
There are Guaranteed Acceptance policies. These policies ask no questions and guarantee coverage acceptance. Contact one of our agents by clicking the Get A Quote Now button or calling 888 626 0439.
What Questions Will I Be Asked?
Each company may require different kinds of medical information. Some companies have no questions at all. Each application and carrier is different.
Some applications have as little as two questions while other application forms ask upwards of 10 questions.
What Is The Free Look Period?
The free look period is a time frame you have after purchasing a plan to decide if you like it and want to keep it.
If you decide you do not want to keep the plan and you request a refund within the free look period you will receive a full refund.
In Illinois the free look period starts 10 days after you purchase your plan and lasts for 30 days.
What Is Guaranteed Acceptance/Guaranteed Issue?
A Guaranteed Acceptance policy means you will be covered when you apply. You are “guaranteed” coverage with no extensive questions asked.
Not every provider offers guaranteed acceptance. Guaranteed Issue is a good plan for someone with many health issues. They can cost a bit more because the insurance company is accepting more risk by guaranteeing acceptance and not asking medical history questions.
What Policy Never Cancels?
A whole life insurance policy will never cancel or expire. This is a good policy to get if you do not want to have to worry about constantly changing or upgrading your coverage. It is also a great policy for young people to start with because the premium may be lower the younger you are.
Donsides: the death benefit amount remains the same. So if the death benefit is $15,000 when you purchase it, 30 years later it will still be $15,000 and as we have seen that will not cover inflation!
Another downside is, these whole life policies can be more expensive than other choices!
What Else Should I Prepare For In The Case Of My Death In Illinois?
When someone passes the family has to take care of so many little details. Cleaning up the residence, getting rid of assets, selling items/furniture, deleting online accounts, closing bank accounts, paying off debts, and talking to a lawyer.
That’s not even the HALF of it! We could talk all day about the details the survivors must take care of.
But let’s focus on a few more foundations that will help your family get off to a good start.
Make sure to visit a local lawyer so your legal documents meet the Illinois laws.
The basic things to consider are:
- Will, clearly delegate assets.
- Funeral Expenses, provide savings, burial insurance, or pre-need insurance.
- Estate settlement costs and legal fees
- Assets you currently own and the upkeep involved.
- Collect your passwords and important documents in a safe place that can be located by a trusted family.
Can I Have Multiple Burial Insurance Policies At The Same Time?
Short answer: YES.
Long answer: Yes, but it can affect your approval for more plans in the future. How? Well, the carrier may wonder why you are continually applying for more coverage and get nervous.
Normally people can have 3-5 insurance policies. You can own a whole life insurance policy, an additional policy to cover your income and family’s needs, as well as a final expense policy. The amount of policies you hold is up to you.
The only factors you will need to consider are the amount all your policies add up to. You need to financially qualify for the level of combined coverage you have.
You may decide to purchase a policy rider instead of a completely separate insurance policy. This can reduce the hassle involved and increase the probability of receiving the extra coverage.
Terms To Understand When Talking About Burial And Final Expense Insurance
Death Benefit – a one-time payment from your life insurance provide upon the policy holder’s death. In some cases, this can be considered Final Expense insurance but not always.
Beneficiary – the person you designate the benefits and payouts to go to.
Lapsed – when the policyholder fails to pay the premium.
Term – the period you are covered by your insurance policy. This could be 2 weeks for travel insurance or 45 years for life insurance.
Premium – the amount you are required to regularly pay the insurance provider to keep your coverage.
Policy Rider – extra coverage you can add to an existing policy. If your circumstances change, getting a policy rider will allow you to increase your coverage.
Term Life Policy – this is life insurance that provides insurance coverage at a fixed payment rate for a set period. You lock in the premium you will pay for an agreed-upon amount of time.
Whole Life Insurance – a life insurance policy that will stay in force for the entire life of the policyholder. The premiums are fixed and death benefits are not usually offered with this insurance plan. Sometimes called straight life, ordinary life, permanent life insurance, or whole of life assurance.
Universal Life Insurance – this is a type of insurance policy mainly sold in the United States. This is permanent insurance that stays active as long as the policyholder pays the premiums. This policy offers flexible premiums and death benefits. This insurance also has a cash value factor.
Pre-need Insurance – this is an option where an individual pays a funeral home for their funeral costs before they pass. The individual can choose their service, casket or urn, and other details.
Insurability – this refers to whether or not an individual qualifies to be insured under a policy.