Final expense insurance, also known as burial or funeral insurance, is a type of life insurance policy that is specifically designed to cover the expenses related to one’s funeral or end-of-life expenses. The policy typically pays out a lump sum of money to the beneficiaries upon the policyholder’s death, which can be used to cover costs such as funeral expenses, burial or cremation costs, and other related expenses.

Unlike other types of life insurance policies, final expense insurance policies typically have lower benefit amounts and premiums, making them more affordable for those who only need coverage for final expenses. Final expense insurance policies are typically sold to older individuals who may not have other life insurance coverage or may have limited financial resources to pay for end-of-life expenses.