Lincoln Heritage Funeral Advantage Review – Worst Insurance EVER
last updated on January 1, 2026
You’ve probably seen Lincoln Heritage ads promising to be the “number one final expense company in America.” They talk about quick approvals, simple coverage, and even toss in a Funeral Consumer Guardian Society membership to make it sound like a complete package.
Here’s the problem. Lincoln Heritage charges some of the highest premiums in the industry. Also, many people don’t even qualify for first-day coverage, which means you could pay top dollar and still be stuck with a two-year waiting period.
A 2-year waiting period…that’s possibly the worst deal in the world!
I’m Randy, the Final Expense Guy. In this article, I’ll break down what the Funeral Advantage program actually is, what it really costs, who qualifies for it, what the fine print looks like, and why better options are almost always available.
WHY LINCOLN HERITAGE IS SO EXPENSIVE
Captive sales and limited product choice drive premiums far higher than similar first-day coverage plans from other insurance companies.
The company uses captive agents, which means they can only sell Lincoln Heritage products.
They don’t have access to other carriers that might offer you lower rates or better coverage terms. That limits your choices and keeps your premiums higher than those of other, better insurance companies.
Independent brokers, like the Final Expense Guy, can compare rates from multiple top-rated insurance companies and find the one that best fits your age and health profile, so you get the best and lowest cost life insurance.
Captive agents can’t do that. Sad, but true!
The premium difference is significant. Lincoln Heritage’s prices can be 30% to 60% higher than comparable first-day coverage plans from Aetna, Family Benefit Life, or Mutual of Omaha.
Lincoln Heritage’s combination of higher premiums and often delayed benefits makes it one of the least efficient ways to buy burial insurance.
LINCOLN HERITAGE TWO-YEAR WAITING PERIOD
Many policyholders face a 2-year delay where the policy refunds premiums instead of paying the full benefit.
For some unfortunate applicants, the protection doesn’t fully take effect until two or three years after approval. Yeah, that’s a terrible plan to buy if you truly qualify for 1st-day coverage.
If you die from natural causes during that time, your family won’t receive the full benefit amount. They’ll only get a refund of the premiums you paid plus a small amount of interest, usually around ten percent.
That means if you’ve paid $1,200 in premiums during those two years, your family might get back about $1,320. That’s not a life insurance policy, that’s a refund policy.
Only accidental deaths are fully covered during the waiting period.
This setup is called a modified benefit plan, and it’s common in guaranteed acceptance life insurance. The problem is that Lincoln Heritage may sell this same plan structure to people who could have qualified for first-day coverage elsewhere.
Lincoln Heritage only sells its own life insurance products. So, if you qualify for a better policy with better pricing, they won’t tell you about it.
The truth is, roughly 97% of people qualify for first-day coverage with the Final Expense Guy. That’s because the Final Expense Guy is an independent broker who can compare multiple carriers for you all at the same time.
⚠️ The Waiting Period They Didn’t Hear About
A Lincoln Heritage Funeral Advantage only used limited health questions to place a retired couple into delayed coverage, although they though they had protection started immediately.
Gary and Linda were both in their early 70s. They responded to a postcard that talked about “immediate acceptance” and met with an in-home agent who moved quickly through the application.
The policy went active, documents arrived weeks later, and the phrase “modified benefit” sat buried in the paperwork. What was missing from the conversation was that a health or medicial wouldn’t pay the full amount for 2 years.
I reviewed the policy and walked them through the benefit chart line by line. Linda’s controlled blood pressure qualified Gary’s diabetes easily qualified them or better coverage elsewhere. We moved her into a $20,000 whole life plan with immediate coverage designed for funeral and burial costs, paying the full benefit from day 1.
WHAT IS LINCOLN HERITAGE FUNERAL ADVANTAGE?
Lincoln Heritage Funeral Advantage is a simplified whole life final expense policy wrapped in heavy marketing and priced higher than comparable options.
Funeral Advantage is just a whole life final expense policy.
It’s not a government program, a special state benefit, or regulated differently from any other private life insurance policy.
The plan is available to most adults ages 40 to 85, with coverage amounts typically between $5,000 and $35,000. Premiums are locked for life, and coverage never decreases as long as you pay on time.
When you strip away the marketing, Funeral Advantage is just another simplified whole life plan, often with a two-year waiting period and much higher pricing than comparable, lower-priced carriers.
HOW THE FUNERAL ADVANTAGE PROGRAM ACTUALLY WORKS
Approval depends on limited health questions that often push buyers into waiting-period plans instead of immediate coverage.
Here’s what happens when you apply.
A licensed Lincoln Heritage agent asks a few basic health questions.
Based on your answers, you may qualify for one of two policy types:
- Immediate (first-day) coverage if your health fits their narrow health underwriting guidelines.
- Modified or Guaranteed Issue coverage if you have health issues they don’t like, meaning a two-year waiting period applies before the full benefit pays out.
With their Modified or Guaranteed Issue plans, during those first two years, if the insured dies from natural causes, the family only receives a refund of premiums plus interest (usually 10%).
The company also heavily markets its Funeral Consumer Guardian Society (FCGS).
It’s marketed as a “free funeral planning benefit,” but it’s really a paperwork service that helps families compare funeral prices.
It doesn’t pay a dime toward the funeral itself. And since Lincoln Heritage plans can cost 30% to 60% more than better-priced companies, you are paying a healthy amount extra for this weak benefit.
In short, Funeral Advantage combines a small whole life policy with a call-center-style support service, wrapped in branding that attempts to sound impressive.
💡 Accidental Coverage Isn’t Full Coverage
Lincoln Heritage’s policy design treats accidental death different than full coverage, leading some buyers to assume all causes of death are handled the same way.
Maria was 61 and answered an online ad promising fast approval. The agent focused on how accidents were covered right away, which sounded reassuring during the call.
What wasn’t explained clearly was that illness-triggered death followed a different rule set. Cancer or heart-related causes during the early years would only refund premiums for the first two years.
I reviewed her health history and corrected the faulty underwriting assesment. She was then approved for a $25,000 immediate whole life policy intended for funeral services and remaining household bills, paying the full benefit from the first day of coverage.
WHY “FUNERAL INSURANCE” IS DIFFERENT FROM FINAL EXPENSE LIFE INSURANCE
Funeral insurance is marketing language for small whole life policies, not a special type of coverage.
In the United States, there are only two types of life insurance policies at the policy level: term life and whole life.
The phrase “funeral insurance” is marketing shorthand for small whole life policies meant to cover burial, cremation, or funeral costs.
There is also a separate category called preneed funeral plans.
These are prepaid contracts between a consumer and a funeral home, not life insurance.
They are regulated under state funeral or consumer protection laws, not by the state insurance department.
The National Funeral Directors Association (NFDA) reports that the average funeral with burial costs about $8,300 in 2024. Cremation averages about $6,300.
Those numbers prove why small, permanent life insurance plans exist, but they also show how misleading “funeral insurance” marketing can be.
When you buy a policy from Lincoln Heritage, you are not paying the funeral home directly. You are buying a life insurance contract that pays a death benefit to your chosen beneficiary, who then pays the funeral expenses after your death.
Final expense life insurance gives your family flexibility. Funeral insurance tied to a specific home does not. That flexibility protects families from being overcharged or locked into a single funeral provider.
THE FUNERAL CONSUMER GUARDIAN SOCIETY (FCGS): WHAT IT REALLY DOES
FCGS provides planning help only and adds no financial benefit to funeral costs.
It’s promoted as a “free funeral planning benefit.” However, remember that your Lincoln Heritage policy will likely be 30% to 60% more expensive than other, better options, so it is not a “free” benefit.
The company claims it will help your family negotiate lower funeral prices or handle arrangements during emotionally challenging times.
What FCGS actually provides is a basic information and coordination service. The family can call a representative who helps compare funeral home prices, record final wishes, and provide general guidance on funeral planning.
The FCGS does not contribute money toward funeral costs. It does not guarantee lower prices. It does not have legal or financial authority over funeral homes.
This “added value” is primarily a marketing feature used to make the overall program seem unique. But the same type of assistance can be found for free through local funeral homes or nonprofit consumer groups, or even here on my website at fexguy.com.
In short, FCGS is not a scam, but it’s not the financial safety net many buyers assume it is after sitting through a sales presentation in their home or over the phone.
CUSTOMER COMPLAINTS AND SALES TACTICS
Aggressive marketing and captive sales tactics lead many buyers to policies that don’t match their needs.
Once you respond to an ad suggesting a “government benefit for seniors” or similar language, you’re connected with a captive agent often trained to close quickly, not compare options.
Complaints filed with the Better Business Bureau (BBB) and the National Association of Insurance Commissioners (NAIC) have a high number of consumer complaints.
Customers often discover after purchase that customer service is lacking, or the policy they were sold does not meet their expectations.
Independent brokers are required to present multiple carrier options and clearly explain the differences between them. Captive agents or call-center models like Lincoln Heritage do not operate that way.
FINANCIAL RATINGS AND COMPANY REPUTATION
Lincoln Heritage is financially stable, yet its pricing and policy structure deliver poor consumer value.
The company holds an A- (Excellent) rating with A.M. Best, which measures the insurer’s financial strength and ability to pay claims. That rating is respectable, indicating that Lincoln Heritage has solid reserves.
It’s important to separate financial strength from consumer value. Lincoln Heritage has the financial resources to pay claims, but it also offers some of the most expensive and restrictive plans in the marketplace.
WHO REALLY BENEFITS FROM THIS POLICY?
The company and its sales structure profit more than the families buying the policy.
That structure leaves little room to reduce costs for consumers.
Families who buy these plans often assume the “funeral benefit” adds extra value. It doesn’t. The only people who consistently profit are the company and its sales organization.
The typical Lincoln Heritage policyholder pays thousands more over a lifetime for coverage that could have been immediate and affordable elsewhere.
Those extra dollars could have been invested in a comprehensive first-day coverage plan with a stronger carrier and more favorable pricing.
Lincoln Heritage has the financial strength to pay claims, but it also has a business model that profits most when buyers don’t compare pricing and features with other insurance companies.
The bottom line is simple. The company benefits from your loyalty. Your family benefits from your research and common sense.
RED FLAGS TO WATCH FOR WHEN SHOPPING FOR FINAL EXPENSE INSURANCE
Waiting periods, government-style ads, and no-health-question promises signal overpriced coverage.
If a company uses fear, urgency, or government-style advertising to sell life insurance, stop and read the fine print.
Here are the biggest warning signs to look for:
- Two-year waiting period – Plans with waiting periods often pay only a refund of premiums plus interest during the first two years.
- “No health questions” promise – This always means you are buying a guaranteed acceptance plan, which automatically includes a waiting period.
- Call-center or mail-based sales – Captive call-center agents are trained to close fast, not shop multiple companies.
- “State-regulated program” language – This is marketing copy designed to sound official. It has nothing to do with state or federal funding.
- Free add-ons that sound financial but aren’t – Services like the Funeral Consumer Guardian Society don’t pay benefits. They simply manage paperwork.
If you see any of these signs, you’re not looking at the best coverage available.
Real final expense protection should start on day one, use a level whole life plan, and come from a financially strong carrier reviewed by A.M. Best and accessible through an independent agent like the Final Expense Guy.
HOW LINCOLN HERITAGE COMPARES TO OTHER FINAL EXPENSE COMPANIES
Other insurers offer lower costs and first-day coverage that Lincoln Heritage often can’t match.
Lincoln Heritage is not among them.
Its plan is limited to one product line and often includes a waiting period.
Competitors like Aetna, Trinity Life, or Family Benefit Life routinely approve applicants for first-day coverage, even with common conditions such as diabetes or high blood pressure that Lincoln Heritage could deny.
Lincoln Heritage consistently lags behind other insurance companies in terms of flexibility, cost, and benefit timing.
BETTER ALTERNATIVES TO LINCOLN HERITAGE FUNERAL ADVANTAGE
Independent carriers offer cheaper whole life plans with immediate protection.
The best alternatives are simplified issue whole life policies from highly rated companies that offer immediate first-day protection. These carriers use short health questionnaires to determine eligibility but do not require medical exams.
Top-rated companies include Mutual of Omaha, Aetna, Prosperity Life, Royal Neighbors of America, and Liberty Bankers Life. Each offers strong A.M. Best financial ratings and flexible underwriting that can instantly approve many common health conditions.
A diabetic, for example, who might be forced into a two-year waiting period with Lincoln Heritage could qualify for full first-day coverage with one of these companies.
These insurers offer the same lifetime coverage that Lincoln Heritage promises, but without the inflated premiums or waiting periods.
HOW TO GET REAL FIRST-DAY COVERAGE
Independent brokers match health profiles to carriers that approve coverage right away.
A great life insurance agent will start by answering a few basic health questions.
Independent brokers then match those answers to the underwriting criteria of multiple top carriers.
This process helps you qualify for the lowest possible rate without sacrificing coverage quality.
Most first-day coverage plans accept applicants between the ages of 40 and 85. Common conditions like controlled diabetes, high blood pressure, mild anxiety, or cholesterol medication are usually approved immediately.
The key is to apply through an expert like The Final Expense Guy, who understands how each carrier views risk.
Captive agents can only offer one policy.
Independent brokers can find dozens of options to fit your specific health profile and budget.
Every plan recommended by the Final Expense Guy includes:
- Lifetime coverage that never decreases
- Level premiums that never rise
- Immediate protection from day one
Real protection starts the same day your policy is approved. It should never make your family wait two years.
IS LINCOLN HERITAGE REGULATED OR BACKED BY THE GOVERNMENT?
Lincoln Heritage is a private insurance company with no government funding, sponsorship, or special approval.
Being “state regulated” only means the policy must follow the same solvency and disclosure rules as every other insurer. It does not mean the government funds, sponsors, or endorses the policy.
The National Association of Insurance Commissioners (NAIC) confirms that all life insurance companies are regulated at the state level, not at the federal level. The Social Security Administration (SSA.gov) provides only one government funeral benefit: a $255 lump-sum death payment for eligible beneficiaries.
That’s it.
No state or federal office pays for, manages, or approves Lincoln Heritage’s Funeral Advantage program. Any advertisement implying otherwise should be viewed as misleading.
By law, companies must file their product forms with state regulators, but “filing approval” doesn’t make a plan safer, cheaper, or endorsed. It only means the company met minimum legal standards.
So when you see a Lincoln Heritage postcard or Facebook ad that looks like a government form, remember this: the marketing is private, the program is private, and the purpose is to sell you one specific policy from one specific company.
And that’s rarely the best way to get a good deal on this type of life insurance.
🔍 The “State-Regulated” Mix-Up
Lincoln Heritage advertising appeared to use official-style wording that implied a public benefit, causing a widower to believe enrollment was tied to government oversight.
Tom was 68 and living alone when he opened a mailer that looked like a benefits notice. The language pointed to state regulation and deadlines, which pushed him to call before asking questions.
What he misunderstood was that regulation doesn’t mean the state will pay for it. The policy was private, limited, and structured with a delayed 2-year benefit tied to any health or medical cause of death.
I explained how state filing works and showed him side-by-side options with better insurance companies. We replaced the plan with a $15,000 immediate whole life policy meant to cover cremation and final medical bills, paying the full amount as soon as the policy was approved.
HOW REGULATORS SEE PLANS LIKE LINCOLN HERITAGE LIFE INSURANCE
Regulators approve policy legality, not value, pricing, or marketing fairness.
Regulators focus on whether a policy meets state law requirements for solvency, disclosure, and fair marketing practices. Approval does not mean endorsement. It simply means the policy form and pricing passed legal review.
The National Association of Insurance Commissioners (NAIC) issues consumer alerts warning about misleading “state-regulated” advertising.
These alerts explain that all insurance is technically state-regulated, but that phrase is often used in deceptive marketing to create a false sense of government sponsorship.
Some state departments have published their own warnings. The Missouri Department of Commerce and Insurance, for example, states that any company implying a state-run benefit program may be subject to investigation for misleading advertising.
The Federal Trade Commission (FTC) and Better Business Bureau (BBB) also log complaints from consumers who thought they were responding to official mail when they were really contacting private agents.
This confusion persists because regulation is a behind-the-scenes process.
Consumers rarely see the difference between “state-regulated” as a compliance term and “state-sponsored” as a government benefit.
Regulators allow insurance products to exist, but they do not promote it, endorse it, or guarantee its value. That distinction matters more than anything else.
HOW TO FILE A CLAIM OR CANCEL A LINCOLN HERITAGE POLICY
Claims and cancellations require direct paperwork with Lincoln Heritage and offer little flexibility early on.
To file a claim, the beneficiary must submit the death certificate and a claim form directly to Lincoln Heritage.
The company’s website states that most claims are paid within 24 hours once all documentation is received. This is factually inaccurate, especially if a death falls within the first two policy years.
After 2 years, this timeline is possible, but it depends on completing all paperwork and verifying policies.
To cancel a policy, the owner must contact Lincoln Heritage customer service in writing. There is no cash value refund during the first few years, beyond any small amount that has accumulated.
Always request written confirmation of cancellation.
If you are replacing a Lincoln Heritage policy with a new plan (ideally from the Final Expense Guy), make sure the new one is approved and active before ending the old one. This avoids accidental lapses in protection.
FINAL EXPENSE GUY RECOMMENDATION
Lincoln Heritage isn’t competitive on price or coverage timing compared to first-day options.
The 2 or 3-year waiting periods, high premiums, and limited flexibility make it one of the least consumer-friendly options in the marketplace.
Simply put, you deserve better.
Most people qualify for first-day coverage at a significantly reduced cost.
The smartest approach is to compare policies side by side through a licensed independent broker who can access the top-rated companies nationwide.
For permanent coverage that starts immediately, please call 888-862-9456 or visit www.FEXGUY.com. You’ll speak directly with a licensed agent who works for you, not the insurance company.
Protect your family with the coverage you actually need, not the one that looks good in an ad.
FREQUENTLY ASKED QUESTIONS: LINCOLN HERITAGE FUNERAL ADVANTAGE
What is the Funeral Advantage Program Lincoln Heritage?
The Funeral Advantage Program is Lincoln Heritage’s version of final expense life insurance.
It’s advertised as a full “funeral plan,” but it’s actually a small whole life policy, ranging from $5,000 to $35,000. It includes a free service called the Funeral Consumer Guardian Society (FCGS) that helps families compare funeral prices, but it isn’t actual insurance. Most people end up paying more for a policy that has a two-year waiting period, even though many could qualify for first-day coverage elsewhere that starts right away and costs much less.
Is Lincoln Heritage Funeral Advantage legit?
Yes, Lincoln Heritage is a real company that’s been around for decades, but that doesn’t make their policies a good deal.
They often sell expensive plans that only refund premiums if you die within the first two years instead of paying the full benefit. Around 97% of people qualify for immediate coverage with better companies, but Lincoln Heritage rarely offers it. So yes, it’s legitimate, but you’re paying more money for less protection.
How much is Lincoln Heritage Funeral Advantage?
Lincoln Heritage often costs 40% to 60% more for the same benefit, making it one of the more expensive options for seniors.
The Final Expense Guy can run you rates to get you the lowest pricing.
Is Lincoln Heritage Funeral Advantage a reputable company?
Financially, yes. Lincoln Heritage is stable and can pay claims, but that doesn’t mean they treat customers fairly by giving them the lowest pricing.
If you value honesty and affordability, you’ll find better options elsewhere.
How long does it take for Lincoln Heritage Life Insurance to pay?
When claims are approved and all paperwork is done, Lincoln Heritage usually pays within 24 to 72 hours, but only if the policy has been active for more than two years.
Can I cash out my Lincoln Heritage life insurance policy?
The policy builds a very small cash value slowly over time. It’s not designed to grow like an investment, only to cover funeral costs.
If you want a policy that builds real value and costs less, you’ll get better results by comparing whole life plans from other top-rated companies.
2 Comments
Margaret
I'm interested in information re: borrowing against my policy and or cash value my policy has made!
Final Expense Guy
Margeret – We have an article about that on our website. Go ahead and review the article and if you have any further questions, just call us at (888) 862-9456 and we'll be happy to help you understand your options. https://fexguy.com/borrowing-against-cash-value-pros-and-cons/