Everyone has heard the phrase ‘if it’s too good to be true, it usually is’. A new robocall scam has been discovered where older adults are being offered final expense insurance that is just that.

Final expense insurance covers costs that accrue after death, usually funeral expenses, burial fees and sometimes outstanding debt. It is also known as burial insurance or funeral insurance. Unfortunately, elderly people are being targeted in a new robocall scam where fraudsters are using final expense insurance to gain access to unsuspecting victim’s wallets.

Final expense insurance is not for everyone, although many adults may want peace of mind that their funeral costs will be taken care of for their beneficiaries. Therefore, a convincing call about no-questions-asked final expense insurance can be extremely dangerous for people looking for that assurance.

This scam works very similar to car insurance or health insurance scams where the fraudsters will claim to be working with a ‘legitimate company’ that has an offer that is too good to be true. In this case, many scammers are promising a ‘no questions asked’ insurance policy that will cover 100% of funeral expenses. It is often a robocall recording which will connect to a live agent if you request a quote.

Below is a transcript of a real robocall attempting a final expense insurance scam.

“Hi, this is Cynthia with senior care. We are calling to let you know about a new low-cost final expense insurance plan that has just been approved in your state. This life insurance plan is designed to cover 100% of your funeral expenses. To get a quote right now, please press 2.”

One of the warning signs that this is a scam is that final expense and life insurance companies do not typically cold call. It is wise to be suspicious of any unwarranted calls from someone claiming to sell insurance, as their intention is most likely to sell you a faulty insurance plan with problematic terms and conditions or to simply steal your financial information.

If you believe you are the victim of a final expense insurance scam, you can report it to your local police, state Attorney General’s office and the FTC.

Call-blocking apps, including those powered by TNS Call Guardian®, are also a great resource for reporting and blocking unwanted robocalls. Stay vigilant and share information about scams with others.

Jim Tyrrell is Vice President of Enterprise Product Management at TNS with specific responsibility for TNS’ Communications Market solutions.

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