The Truth About Lincoln Heritage’s Funeral Advantage Plan: Our Review

Life insurance is one of the most important aspects of any family’s financial plan.

If something were to happen to you, your partner would have to continue to provide for the family alone.

Without life insurance, they would have to take on enormous debt just to cover your living expenses for your children.

Life insurance can help offset those costs and give them some peace of mind knowing that their financial responsibilities will be satisfied even in your absence.

What is a Life Insurance?

Life insurance is a type of financial product that protects one’s dependents and provides funds to pay for illness and death.

The individual has a policy with an insurer, and in return the company guarantees payment to the policyholder or their beneficiaries should the insured die due to an accident or if they are diagnosed with a terminal illness before retirement.

What is a Funeral Policy?

A funeral policy is a type of insurance contract that pays the holder a sum of money either in a lump-sum payment or over time.

The policy can also pay for funerals, burial costs, and legal expenses.

Along with the death benefit, some policies include guaranteed cash value that builds up tax deferred until benefits are paid out.

What is Lincoln Heritage Life Insurance Company?

Founded by Jack Londen in 1963, the Lincoln Heritage Life Insurance Company (LHLIC) has become a major carrier in the burial insurance market.

LHLIC focuses exclusively on final expense insurance, also known as burial insurance and funeral insurance.

Owned by Londen Insurance Group, the company serves about one million customers.

Lincoln Heritage only sells one type of insurance: final expense policies (Funeral Advantage is essentially a whole life insurance policy designed to cover a limited set of funeral costs. It’s also referred to as final expense insurance).

These relatively small plans are designed to cover your burial expenses, and you can get coverage without undergoing a medical exam.

If you want a simple policy to ensure your family doesn’t have to struggle to pay for your funeral costs, Lincoln Heritage may be for you.

Click here to get a quote.

What is Lincoln Heritage’s Funeral Advantage Plan?

The Funeral Advantage Plan is an option for Lincoln Heritage Memorial Services customers who want to cover their arrangements with a prearranged, guaranteed funeral

If the customer selects the Funeral Advantage Plan, they will receive a certificate that can be redeemed at any time in the future.

The customer will also have a designated beneficiary who will be provided with a death certificate and funeral contract when they pass away.

It provides coverage that can be used to pay for funeral expenses.

The plan includes protection from the time the individual is first insured until he or she dies, and then pays a predetermined sum of money to a named beneficiary.

Lincoln Heritage’s Funeral Advantage program is a great option for final expense insurance if you’re healthy and able to qualify for immediate coverage.

The company has good prices and a strong focus on customer service.

And because the company accepts applicants with a wide set of conditions, we also recommend the Funeral Advantage program for seniors who want coverage but can’t qualify elsewhere.

Lincoln Heritage’s Funeral Advantage Plan Review

Lincoln Heritage only offers one life insurance plan.

All customers can submit their information online, but you have to wait for an agent to get back to you to get a quote.

Its policies do not require medical exams; instead, you answer a one-page health questionnaire.

Funeral Advantage whole life insurance policies offer up to $20,000 in coverage and have a cash value that grows over time.

Policyholders can borrow against this cash value for emergency expenses or to cover premiums, but it’s not part of the death benefit.

As with most whole life insurance policies, the death benefit and premiums are level for the length of the policy.

Lincoln Heritage’s application process is relatively simple and doesn’t require a medical exam.

Like we mentioned earlier, you just complete a set of questions related to your health, but honesty is important here.

If any of your answers are inaccurate, Lincoln Heritage may deny your beneficiary a payout.

So, based on your health responses, you’ll either qualify for immediate coverage or Lincoln Heritage’s “modified plan.”

Lincoln Heritage’s Funeral Modified Plan

You qualify for the modified plan if you were diagnosed with or treated for any of the following in the past two years:

·       Heart disease

·       Coronary artery disease

·       Cancer

·       Lung, liver or kidney disease

·       Alzheimer’s disease, dementia or ALS

·       Complications (such as amputation or blindness).

Lincoln Heritage’s Funeral Waiting Periods

Policyholders younger than 50 have a two-year waiting period that begins as soon as you purchase a policy. The waiting period rises to three years once you turn 50.

If you die during the waiting period, your beneficiary will receive a limited payout that’s equal to your premiums plus 10%–30% interest.

Waiting periods are common for final expense insurance, particularly when there’s limited underwriting.

Insurers want to limit the risk of a sick person buying coverage and passing away shortly after.

Cost of Funeral Advantage Life Insurance

The average premium for a final expense insurance policy was $719 in 2015, according to an industry survey.

Lincoln Heritage’s rates are average if you’re middle-aged or healthy.

However, if you only qualify for the modified plan, their prices are significantly higher than competitors.

Lincoln Heritage’s Add-on Policies and Riders

An insurance rider is a contract through which the owner of an insurance policy requests an additional premium to cover specific risks.

Riders are often used to provide coverage for risks not covered by the base policy, or increase the limit of liability on any one risk.

The rider is attached to or packaged with the base policy, and requires an additional premium.

Most insurance companies allow you to add multiple riders, also known as insurance endorsements, to your policy for an additional cost to customize your coverage.

However, Lincoln Heritage only has one rider.

·       Accidental Death:

You can add up to $100,000 in accidental death coverage to your policy with an additional premium.

With this rider, your family can receive an additional death benefit if you pass away due to a covered accident.

Looking to get a quote from Lincoln Heritage Funeral Company? Click here to get a quote.

Lincoln Heritage Funeral Advantage Plans Recap

Lincoln Heritage Funeral Advantage Plan

The Lincoln Heritage Funeral Advantage program offers immediate coverage with additional riders and benefits available.

This is a life insurance plan designed for seniors:

·       Age Eligibility: 40 – 85

·       Coverage Amount: up to $20,000

·       State Availability: 49 states (excluding NY)

·       Medical Exam: No

·       Health Questions: Yes

·       Waiting Period: No

·       Permanent Coverage: Yes

·       Builds a Cash Value: Yes

·       Smoking Rates: Yes

Lincoln Heritage Modified Plan

The Modified plan has a waiting period that restricts full coverage for the first two or three policy years, depending on age.

·       Age Eligibility: 40 – 85

·       Coverage Amount: up to $15,000

·       State Availability: 49 states (excluding NY)

·       Medical Exam: No

·       Health Questions: Yes

·       Waiting Period: Yes

·       Permanent Coverage: Yes

·       Builds a Cash Value: Yes

·       Smoking Rates: Yes

Lincoln Heritage Funeral Advantage Customer Reviews, Cancellation Policy and Complaints

Lincoln Heritage sells its policies through independent contractors who work on commission. To get a quote, you must go through one of the company’s agents.

Lincoln Heritage has decent financial ratings.

Their A.M. Best Rating is A-, or Excellent, and the company’s NAIC Complaint Index is the same as the national median for life insurers.

That means the number of complaints it receives is exactly what would be expected for an insurer of its size.

While Lincoln Heritage’s in-house customer service team receives glowing reviews, particularly when it comes to claims, the company’s captive agents are equally criticized for being too aggressive with potential clients.

If you’re considering Lincoln Heritage, we recommend bringing a friend or relative to any in-person consultations with an agent.

Like other insurance companies, Lincoln Heritage offers a 10-day free look period.

During this time, you can decide to cancel your policy and get a full refund of all premiums paid.

After that, you can cancel your policy at any time, and you may receive the surrender cash value of your account.

However, Lincoln Heritage may charge you a cancellation fee, so review your contracts carefully before signing.

Looking to get a quote from Lincoln Heritage Funeral Company? Click here to get a quote.

Lincoln Heritage’s Funeral Advantage Plan PROS

·       No medical exams required.

·       $100,000 accidental death benefit available.

·       Good for People below 70 with no health complications or those with issues that disqualify them from coverage elsewhere.

·       Policies include a membership to the Funeral Consumer Guardian Society.

Lincoln Heritage’s Funeral Advantage Plan CONS

·       Only one type of insurance available.

·       Low coverage amounts.

·       Bad for people with a single health condition, such as a recent heart attack.

·       Not recommended if you need over $20,000 in coverage.

·       Agents have a financial incentive to sell you a policy.

Lincoln Heritage Funeral Advantage Frequently Asked Questions:

Is Lincoln Heritage Funeral Advantage a good life insurance company?

Yes, Lincoln Heritage is a good life insurance company, and the Funeral Advantage plan has many benefits.

he company gets good reviews across the board and is strong financially.

With the Funeral Advantage plan, you can get comprehensive coverage at a low monthly rate.

Coverage is guaranteed for almost everyone who applies regardless of health.

Does Lincoln Heritage Funeral Advantage require a medical exam?

Lincoln Heritage does not require a traditional medical exam for individuals who apply for Funeral Advantage coverage.

However, the policy application does include a few basic health questions that are required.

According to Lincoln Heritage’s website, most people qualify for the Funeral Advantage plan, even with some health issues.

What is the average life insurance cost per month with Lincoln Heritage Funeral Advantage?

The company doesn’t disclose pricing for the Funeral Advantage plan, but it’s not a fixed cost.

Final expense insurance premiums are based on a few factors, including your state, your age, and the amount of coverage you need.

For instance, a 70-year-old who needs $10,000 in coverage will pay less than an 80-year-old who needs $20,000 in coverage. The only way to determine how much you will pay is to get a quote.

Click here to get a quote.

Looking to get a quote from Lincoln Heritage Funeral Company? Click here to get a quote.

Can you cancel Lincoln Heritage Funeral Advantage life insurance?

Lincoln Heritage does allow policyholders to cancel their coverage.

In order to start the cancellation process, you’ll need to contact an agent either over the phone or in person at a local office.

Note that you may be charged a cancellation fee.

Lincoln Heritage’s Funeral Advantage Plan – Final Thoughts

Funeral insurance can be helpful in providing peace of mind for families who do not know how they will pay for the funeral if their loved one does pass away.

It provides a guarantee that the family will not have to worry about the cost of a funeral if their loved one passes away. There are many different rates and coverage options available for funeral insurance, so it is best to speak with an agent before committing.

If you are looking for a basic life insurance policy to cover only your funeral and burial expenses and don’t want to go through a medical exam, Lincoln heritage may be a good fit for you.

You can get up to $20,000 in whole life protection by answering a simple questionnaire.

However, Lincoln Heritage only has one policy option and very limited coverage amounts

If you need more substantial protection, you’ll need to get insurance through another insurance company with more plans and higher coverage maximums.