Background: Elderly people can be exposed to a number of psychological disorders, including death anxiety, due to the many changes they experience during the aging process, which affects their quality of life. Objectives: The present study aimed to determine death anxiety and associated factors in the hospitalized and non-hospitalized elderly in Ahvaz in 2019. Methods: This descriptive cross-section study enrolled a convenience sample of 195 hospitalized and non-hospitalized elderlies in Ahwaz. Data collection tools included the demographic characteristics form and death anxiety questionnaire. Independent t-test, chi-square, and ANOVA analyzed data in SPSS v.16 software. Data collection was instituted after approval of the research ethics committee, and all ethical considerations such as informed consent were met. Results: This study was undertaken on 195 elderlies with a mean age of 66.06 ± 5.59 years (60 to 88 years), most of whom were male (61%). The mean death anxiety score was 111.98 ± 19.27 for hospitalized elderlies and 100.002 ± 25.12 for non-hospitalized ones. Statistical tests revealed that the two groups significantly differed in the total score of death anxiety and all its subscales except for the death of acquaintances (P < 0.05). Death anxiety had a statistically significant relationship with education level, gender, and marital status. Conclusions: The hospitalized, female, and low-educated elderly and those living alone had more death anxiety. Thus, it is imperative to offer social support to this vulnerable elderly group, perform periodical psychiatric evaluations, and utilize psychological interventions to improve the elderly's quality of life.