March 06, 2018
A final expense plan that covers more than a funeral

Recently I was cleaning a gun and had a problem with a certain part. Working on the tailgate of a pickup truck, the only tool I had readily available was a pocket knife. Prying on the part, the knife slipped and I cut my finger. The blood flowed and it was deep, so here I go to the local “doc in a box” to get it fixed up. What a great way to spend a Saturday afternoon!

Thinking back on the situation, I should have been better prepared.

Life is like that. One minute everything is going along nicely, and then the next not so good. Are you prepared for the unexpected occurrences that life has to offer?

This past month we mailed a postcard to more than 25,000 members over the age of 50. The postcard outlines the features of our Senior Adult Final Expense Plan. This plan is designed to not only pay funeral costs, but to cover any need after the death of the insured. It also is a possible solution for those who, in their later years, may find themselves without adequate life insurance protection.

According to the annual Funeral Price Survey, the National Funeral Directors Association found that the average cost for an adult funeral in 2017 was $8,755. Although many pre-need funeral insurance plans will pay for the basic costs of a funeral, items like a cemetery plot and monument may not be included. If the pre-need plan does not cover these costs, the family will have to pay for them out of pocket. Such unanticipated costs, usually required up front, can place a financial strain on loved ones.

The Hermann Sons Life SAFE Plan can be the appropriate plan to not only cover funeral and burial costs, but associated medical bills, credit card debt, probate fees and other end-of-life expenses. Available to persons from 50 to 90 years of age who want additional life coverage, the SAFE Plan can be used to cover any expense and is payable to beneficiaries tax free. It can be a powerful tool for distributing wealth across family generations, or may be used as a legacy gift.

Although not a guaranteed issue plan, the SAFE Plan features modified underwriting requirements that can accommodate some medical issues. This single premium plan provides a “pay once and done” feature. Only annual lodge dues must be paid after the certificate is issued. Current Hermann Sons Life members only pay lodge dues on one product, so no additional lodge dues are required no matter how many products you have.

Certificate amounts between $5,000 and $50,000 are available in increments of $1,000, so the amount can be tailored to fit each individual need and budget. The plan features growth of 2.5 percent on the face amount of the certificate. For example, a $10,000 plan grows by $250 per year while the certificate is in force. Allowing for death benefit growth, the plan keeps pace with the rising costs of funerals and associated services.

Those with investments that are meant to be passed on to beneficiaries upon death may wish to consider the tax-free death benefit provisions of a life insurance policy. Placing funds in a life policy is an appropriate way to pass on wealth to succeeding generations outside of probate, assuring your wishes are followed and wealth is adequately distributed.

Give us a call at 877-437-6266 or contact your local Hermann Sons Life agent. We’ll be glad to discuss your life insurance needs and provide a no cost needs analysis. Know that your prepared for what life has in store for you. By the way, don’t work on a gun with a knife.

We’ll see you at the Leading with Heart member event on March 17, where it will be my pleasure to recognize those lodges that met their membership goals in 2017. Bring us a referral for a new member and we will contact them right away. You can refer a new member online. Thanks for being a Hermann Sons Life member.

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