Lincoln Heritage’s Funeral Advantage Program: A Detailed Analysis

What Makes Funeral Advantage Different?

Lincoln Heritage’s Funeral Advantage program combines two key components:

1. Final Expense Life Insurance: A cash benefit designed to cover funeral costs and other end-of-life expenses
2. Family Support Services: Provided through their partnership with the Funeral Consumer Guardian Society

This dual approach distinguishes Lincoln Heritage from many competitors who offer only the insurance component without additional support services.

The Insurance Component

Lincoln Heritage’s final expense insurance offers:

• Age Eligibility: 40-85 years
• Coverage Range: Typically $5,000-$20,000 (varies by age and health)
• Underwriting Approach: Simplified issue with limited health questions
• Application Process: One-page application with no medical exam
• Premium Structure: Level premiums that don’t increase with age
• Cash Value: Builds modest cash value over time
• Benefit Period: Lifetime coverage as long as premiums are paid

The policy is designed to provide immediate funds to cover funeral expenses, which according to the National Funeral Directors Association can average $9,135 for a traditional burial service (excluding cemetery plot, headstone, flowers, and obituary).

The Family Support Component

The partnership with the Funeral Consumer Guardian Society (FCGS) provides:

• Price Comparison Services: FCGS representatives compare prices among local funeral homes
• Negotiation Assistance: Help in securing the best rates for funeral services
• Guidance Through Arrangements: Support for families navigating funeral decisions
• Documentation Assistance: Help with required paperwork and death certificates
• 24/7 Support: Available immediately upon the policyholder’s death

According to Lincoln Heritage, this service helps families save an average of $1,800 on traditional funerals and up to $600 on cremations compared to what they might pay without assistance.

Underwriting Approach and Qualification Process

Simplified Issue Philosophy

Lincoln Heritage emphasizes accessibility through their simplified underwriting process:

1. Limited Health Questioning: Basic health questions without extensive medical history
2. No Medical Exams: Physical examinations are not required
3. Acceptance Focus: Designed to approve most applicants, even those with health issues
4. Quick Decisions: Rapid underwriting determinations

This approach makes coverage more accessible for those who might face challenges with traditional underwriting requirements, though it typically results in higher premium rates compared to fully underwritten policies.

The Reality of Funeral Costs

According to the information provided by Lincoln Heritage and the FCGS, funeral costs have risen significantly over the past decade:

• The median cost of a traditional funeral with viewing and burial has increased to $9,135
• Basic services fees have increased by 37.6% over a recent 10-year period
• Transfer of remains to funeral home costs have increased by 50.2%
• Embalming costs have increased by 36.3%

The report also highlights significant price disparities between corporate-owned funeral homes and family-owned establishments, with corporate locations charging up to 180% more in some markets.

The Bottom Line: Is Lincoln Heritage Funeral Advantage Worth It?

Lincoln Heritage’s Funeral Advantage program offers a distinctive approach to final expense insurance by combining financial protection with family support services. Their exclusive focus on this market segment has allowed them to develop specialized expertise, though it comes with certain limitations.

For consumers prioritizing comprehensive support for surviving family members and willing to pay somewhat higher premiums for this service, Lincoln Heritage presents a compelling option. Their emphasis on rapid claims payment addresses a critical need in the final expense market, where funds are often needed quickly to cover funeral costs.

However, those primarily concerned with securing the lowest possible premium rates or seeking higher coverage amounts might want to explore additional options. The value of Lincoln Heritage’s offering largely depends on how much importance you place on the FCGS services and whether the potential funeral cost savings would offset any premium differences.

When evaluating Lincoln Heritage or any insurance provider, consider your specific protection needs, budget constraints, and the value you place on family support services. Consulting with insurance professionals who represent multiple carriers can provide valuable comparative insights and help identify the most appropriate coverage solution for your circumstances.