Not all insurance companies are created equally, nor will every insurance provider be the best option for you. In this article, we’d like to recommend our picks for the top 5 insurance providers to generally avoid, or those that may even be insurance frauds. Although some individuals may find that one of them may be their best option, overall we feel as though there are better choices out there.
Since 2019, Final Expense Benefits has been dedicated to helping seniors protect loved ones and themselves with trusted final expense solutions catering to their needs. Ensuring your peace of mind and what matters most to you is our top priority, so if you’d like to learn more about burial insurance, check out our free online quoting tool or call us at (866) 786-0725.
Key takeaways
Understanding underwriting, costs, benefits, and policy types is essential to picking the right life insurance provider.
Burial insurance for seniors can help cover the majority of your funeral costs and final expenses.
Colonial Penn, Lincoln Heritage, Globe Life, AARP, and Metlife are some of the worst life insurance companies.
We recommend Mutual of Omaha, Aetna Accendo, American Amicable, Prosperity Life, and SBLI final expense insurance.
Life Insurance Providers: What To Look For
There are many important factors to consider when choosing a life insurance provider you can trust. What’s most important depends on your priorities, so here are some general aspects to remember before applying for burial insurance.
1
Underwriting
Underwriting is the process insurance companies use to evaluate the level of risk you might bring to the provider if they insure you. Pre-existing health conditions, age, lifestyle, and many other factors affect this decision during your application process. Applicants with lower life expectancy are assigned higher risk and premium rates. From start to finish, underwriting takes an average of four to six weeks.
2
Costs and Benefits
Funerals are expensive, easily exceeding $10,000, with costs changing by location, funeral type (traditional burial, direct burial, direct cremation, green burial, etc.), and FTC regulations. Thankfully, one of the major benefits of having final expense insurance is that you can cover a majority of funeral costs ahead of time for as little as a dollar a day.
3
Policy Type
With so many coverage options to consider, it’s important to ensure you select the right type of insurance, especially the one that best suits your needs.
Types of Life Insurance
If you want to use life insurance to cover your final expenses, burial insurance is a great option, but your best choice depends on your budget and lifestyle.
Here are some of the most popular types of life insurance and how they work:
Whole Life Insurance
1
A popular choice for individuals seeking permanent life insurance coverage, whole life insurance provides coverage throughout the life of the insured individual (so long as monthly premiums are paid). This form of insurance is designed with seniors’ needs in mind, with rates locked at the policy start, tax-deferred cash value growth, and a guaranteed death benefit. It is also important to note that traditional whole life policies with large death benefits have high rates for seniors.
Final Expense Insurance
2
Also called burial insurance, final expense insurance is a type of whole life insurance used to cover funeral, cremation, and other final expense costs. Most final expense policies don’t require medical exams, accepting most applicants regardless of health. Average benefit payouts range from around $5,000 to $50,000 and can be used for whatever your beneficiaries need, making this a versatile coverage option.
To learn more about burial insurance, a policy that Final Expense Benefits specializes in, call us at (833) 759-3578.
Universal Life Insurance & Index Universal Life Insurance
3
Similar to whole life insurance, and not to be mistaken with index universal life insurance (IUL), universal life insurance policies offer more flexibility by allowing individuals to adjust their premiums within certain limits, as well as coverage amounts. However, underwriting requirements are strict for Universal Life Insurance and IUL, often excluding seniors from coverage.
The key difference between IUL and universal life insurance is in the way cash value operates. Both policies allow for adjustable/flexible premiums, but IUL policies specifically lend their cash value to a specific stock index, allowing for potential growth instead of locking the cash value to a static interest rate.
4
Term Life Insurance
Generally considered a good option for young adults for its cost-effectiveness, term life policies typically provide coverage for specified periods (~10 to 30 years). Additionally, this kind of policy has large death benefits ranging from $100,000 to over $5 million, which can be used as income replacement for beneficiaries. Seniors may find difficulty qualifying for this type of coverage due to the policy’s strict underwriting and medical requirements.
Life Insurance Companies to Avoid
Colonial Penn
1
You may have already heard about Colonial Penn’s 995 Plan—an appealing whole life insurance policy marketed for only $9.95 per month. However, Colonial Penn sells the 995 plan in units, each priced at $9.95, but policyholders can purchase a maximum of just 15. Plus, unit value decreases based on the applicant’s age and gender.
Aside from the confusing language, the Colonial Penn 995 plan provides a maximum of just $30,000. Most burial insurance competitors offer a maximum of around $50,000 in comparison, making Colonial Penn one of the worst life insurance companies to consider for final expense coverage.
Sonia H.
1/5
“Colonial Penn is the worst life insurance company. I have had [nothing] but problems […] it is a hassle to even talk to associates, they never answer my questions, and they are not honest and I had to call 3 times a week for months to get [a] claim. I would not recommend this to my worst enemy.”
Worst Life Insurance Companies - Colonial Penn 995 Plan
| Age | Coverage Per Unit (Male) | Maximum Purchasable Coverage (Male) | Coverage Per Unit (Female) | Maximum Purchasable Coverage (Female) |
|---|---|---|---|---|
|
50 |
$1,669 |
$25,035 |
$2,000 |
$30,000 |
|
55 |
$1,420 |
$21,300 |
$1,761 |
$26,415 |
|
60 |
$1,167 |
$17,505 |
$1,515 |
$22,725 |
|
65 |
$846 |
$12,690 |
$1,200 |
$18,000 |
|
70 |
$689 |
$10,335 |
$1,000 |
$15,000 |
|
75 |
$549 |
$8,235 |
$762 |
$11,430 |
Estimates based on 15 purchased units under Colonial Penn's 995 Plan.
Lincoln Heritage
2
Lincoln Heritage claims to offer an affordable final expense policy, but the Funeral Advantage plan costs about 26% more than competitors. Plus, many customer complaints cite the company as one of the worst life insurance companies for burial insurance coverage and mention pushy salespeople, unannounced house visits, and more. Lincoln Heritage’s Funeral Advantage program is also the only option offered for applicants.
Roxana G.
1/5
”Lincoln Heritage is a scam. [They] took advantage of my mom who is blind. Salesperson guided her through the signature. We found the footage in the home [surveillance]. It is illegal to take advantage of the elderly and disabled Elder and Dependent Adult Abuse Laws (Penal Code 368 PC): This law criminalizes abuse, neglect, and financial exploitation of individuals 65 years or older or dependent adults with disabilities. It covers various forms of abuse, including physical harm, emotional abuse, neglect, and financial exploitation.Undue Influence (Probate Code Section 86): California law recognizes excessive persuasion that overcomes a person’s free will, often affecting vulnerable individuals like the elderly or those with cognitive impairments. It can lead to the creation or alteration of estate planning documents like ***** or trusts to benefit the influencer.”
Worst Life Insurance Companies - Lincoln Heritage's Funeral Advantage Plan
| Age | Lincoln Heritage (Male) | Top-Rated Burial Insurance Provider (Male) | Lincoln Heritage (Female) | Top-Rated Burial Insurance Provider (Female) |
|---|---|---|---|---|
|
50 |
$41.16 |
$30.68 |
$33.96 |
$24.31 |
|
55 |
$48.36 |
$35.95 |
$38.56 |
$27.71 |
|
60 |
$59.26 |
$43.76 |
$44.86 |
$32.87 |
|
65 |
$68.06 |
$56.48 |
$57.46 |
$41.01 |
|
70 |
$86.46 |
$74.61 |
$75.36 |
$53.24 |
|
75 |
$123.56 |
$99.97 |
$101.16 |
$72.41 |
These figures are estimates only, based on a $10,000 final expense insurance policy with no applicant pre-existing conditions.
Globe Life Insurance
3
Globe Life’s burial insurance policies are just their term life policy rebranded for elderly customers. The company claims that “$1 buys $100,000 term life insurance for adults”, but that claim is only true for the first month. After that, the plan continues with the policyholder’s actual monthly rate which increases every five years (initial monthly prices and rate increases vary between states and sexes).
Term life insurance is not the best choice for seniors to cover end-of-life expenses as they risk outliving their insurance coverage. Plus, Globe Life burial insurance coverage ends at age 90, with no option for renewal or extension.
Brody
1/5
“If there was an option for a ZERO, it no doubt belongs to this company. They provide an absolute WORTHLESS cash value for insuring your child from a baby till the time he/she reaches 18. I then called in to surrender the policy and take the worthless couple hundred dollars of cash value [accumulation] only to find out I was charged (without my consent) a day prior. After being transferred 5 or 6 different times I couldn’t take any longer and just let them steal another $116 bucks and gave up. STAY FAR AWAY from this horribly run organization.”
AARP
4
With a small range of life insurance coverage options to choose from and policies underwritten and managed by New York Life Insurance, seniors can find much better options for burial insurance.
Aside from needing an AARP membership to even apply for this policy, there are no coverage options for seniors over 80. Despite their industry-standard rates, burial insurance service and flexible options are limited, making AARP less cost-effective when compared to others.
Leigh M.
1/5
“[T]hey have the worst healthcare plan. Their deductible is outrageous for your prescriptions. Then you get premiums. Somehow they put me on their system and I didn’t sign up for anything. Had the worst time talking to them. They lied to you. They tell me things transferred over to my other health insurance that I paid $800 for [and] they said […] it moves over […] then they charge me for premiums […] The worst part is when they lied to me they said it moved over and I knew it did move over and they told me it was for three months then they told me it was for a year the deductible […] They’re only helping their pockets, not the elderly.”
5
Metlife
Metlife is another well-known name in the world of insurance—and it seems like they’ve struggled to keep up with the competition in terms of customer satisfaction, flexible coverage options, and general accessibility for their application process. While they still offer term and universal life insurance options, it’s important to note that the company no longer offers individual policies as of 2010. Even in 2025, there aren’t any publicly accessible resources on Metlife Insurance’s guaranteed issue or final expense policies.
Carlitovalley M.
1/5
“I submitted my hospital [stay claim] on [June 24] thinking it would be resolved in a week but I did not expect it being queued for 10 days, [it’s now] the 22nd of July it’s still not settled. Customer service are trained not to be specific with claims date. [It’s July] 25th today and as per metlife it takes 3 to 5 days for the amount to reflect. In this age of technology, the delay tactics are so obvious […] maybe I should do another insurance for quick services.”
Our Recommendations
Final Expense Benefits can help you find a great final expense insurance policy from our top-rated life insurance partners. Check out these companies if you’re looking to get a policy that truly works in your favor:
- Mutual of Omaha (Best Overall)
- Aetna Accendo
- American Amicable
- Prosperity Life Insurance
- Savings Bank Life Insurance (SBLI)
These reflect estimated monthly rates for non-smoking applicants based on a $10,000 burial insurance policy:
| Company |
Male 50y/o |
Male 60y/o |
Male 70y/o |
Female 50y/o |
Female 60y/o |
Female 70y/o |
|---|---|---|---|---|---|---|
|
$31 |
$44 |
$75 |
$24 |
$33 |
$53 |
|
|
$34 |
$50 |
$70 |
$27 |
$40 |
$56 |
|
|
$32 |
$59 |
$105 |
$27 |
$46 |
$79 |
|
|
$34 |
$45 |
$79 |
$29 |
$35 |
$59 |
|
|
$34 |
$45 |
$79 |
$29 |
$35 |
$59 |
These figures are estimates only, based on a $10,000 burial insurance policy for a non-smoking applicant with no pre-existing conditions.
If you’re interested in these or any of our other great life insurance partners, contact Final Expense Benefits. Our expert agents can help you find a policy that best suits your needs.
Final Thoughts
Final Expense Benefits is here to help you make the best life insurance decisions for you and your loved ones. If you’d like more information about certain insurance providers or a free consultation, call us at (833) 759-3578, Monday through Friday, 9 a.m. to 5 p.m. ET, or check our free online quoting tool for a personalized pricing estimate.
FAQ
What are the worst life insurance companies?
Some of the worst life insurance companies for burial insurance include Globe Life Insurance, Lincoln Heritage, Colonial Penn, AARP, and Metlife.
For seniors seeking burial insurance, what are the most cost-effective life insurance companies?
Some of the most cost-effective life insurance companies for burial insurance include Mutual of Omaha, Aetna Accendo, American Amicable, Prosperity Life Group, and SBLI.
Does whole life insurance cover cremation?
Yes—whether an insurer refers to your policy as final expense insurance, burial insurance, or cremation insurance, they’re all whole life insurance policies.
Do I need final expense insurance?
If you want to ensure that you or your loved ones are taken care of and won’t have any financial stress added following someone’s passing, then you might want to consider investing in a final expense insurance plan.