Life insurance is one of the most important purchases that you’ll ever make for your loved ones. It’s the best safety net to ensure that your family will be taken care of, regardless of what happens to you. There are a lot of people that assume that once they are seniors, they no longer have a need for a life insurance plan.
Sometimes, seeking life insurance for those who are in the older age category can be somewhat challenging. This is because one of the key factors that life insurance premiums are based on is a person’s age. For those who are in this age bracket, there are numerous reasons to have – or even add to – life insurance coverage.
While many people believe that advanced age is a reason to drop life insurance, needs such as final expenses, estate tax payment, and income replacement for a surviving spouse are all situations that make this important protection even more essential during this time in a person’s life. We can even help you compare funeral insurance companies to help you make the best decisions for you and your family.
Regardless of your age, you should consider having a life insurance policy. We know that finding insurance coverage can be a long and difficult process, but we are here to help make it as quick and painless as possible. Nobody should have to go without the insurance coverage that they and their family needs.
Types Of Life Insurance Available For Seniors Age 50 – 85
Although it may be thought that life insurance coverage choices are limited for seniors, there are a number of options for over 50 life insurance, burial insurance for seniors over 70 or even life insurance for seniors over 80 that are available. These include the following:
Term Life Insurance
Term life insurance is available for most seniors. With this type of coverage, you can purchase pure death benefit protection, without any other “bells and whistles” such as cash value or investment options. Because of this, term is typically the least expensive life insurance option.
As the name implies, however, “term” life insurance lasts only for a specified term or length of time. Depending on your age, this period may be ten years, 20 years, or even 30 years. Therefore, a term life insurance policy may be a good coverage choice for those who are wanting to cover certain needs such as paying off a mortgage or funding a child’s or grandchild’s future college education expenses.
Whole Life Insurance
Whole life insurance is also available to seniors. This type of coverage is considered to be “permanent” life insurance. With whole life insurance, a person will get death benefit protection along with a cash value component. The cash in the cash-value component of the policy is allowed to grow on a tax deferred basis. This means that there is no tax due on the growth of that cash until the time it is withdrawn – so, over time, the cash could grow exponentially due to this tax advantage.
The cash in a whole life policy can be either borrowed at a low rate of interest or withdrawn by the policyholder for whatever he or she needs. It is important to note, though, that any unrepaid loan or withdrawal will be charged against the death benefit if the insured dies before the funds have been repaid.
Whole life insurance is more expensive than a comparable term policy for the same amount of death benefit. However, once a person owns a whole life insurance policy, his or her policy and premium amount are typically locked in for life, provided that they continue to pay the premium.
Final Expense / Burial Insurance
Another popular type of life insurance for seniors 50 – 85 is final expenses insurance. This is also often referred to as burial plans because the funds from the coverage are typically used to pay for the person’s funeral, burial, and other related expenses.
The face amount on these policies is usually lower than that of a regular life insurance policy – and because of that, medical exams are typically not required for underwriting purposes. Rather, the applicant is required to answer just a few health questions on the application for coverage. Those who have minor, or even moderate, health issues can usually still obtain coverage with a final expense life insurance policy.
Because these plans are much smaller, they won’t require you to take a medical exam, and additionally the premiums are going to be much cheaper than a traditional life insurance plan. If you’re a senior that doesn’t have much debt, but still want to give your family protection from expensive funeral costs. These plans are a great way to do that and they won’t break your bank every month.
Guaranteed Issue Life Insurance
For those who may not be able to qualify for other types of life insurance due to health reasons, there is another potential option that could provide you with the life insurance coverage that you need. This is guaranteed issue life insurance.
With a guaranteed issue life insurance policy or no medical exam life insurance, you are guaranteed to qualify, regardless of age or health – provided that you continue making your premium payments. These policies are a good way for those who cannot obtain life insurance in any other manner to still obtain coverage and are often considered to be “life insurance of last resort.”
These policies do not require a medical examination, nor do they have any health questions on the application. Because of this, there is no lengthy underwriting process to go through, so coverage can usually be issued very quickly.
It is important to note that because the applicants for guaranteed issue life insurance are typically those who have health issues, the premiums for these policies are much higher than those of traditional life insurance plans. Therefore, if you can qualify for a regular life insurance policy that will typically be the better option for you in terms of premium cost.
If you’re looking to get the most affordable life insurance policy, these aren’t going to be the best option for coverage. You should choose a plan that requires you to take a medical exam before you get coverage. Because the insurance company get more information on your health, they understand the risk that they are taking by insuring and can give you lower monthly premiums.
There are a few advantages to these types of plans that you should be aware when you’re looking to buy life insurance protection. The obvious advantage is that you anyone can buy one of these plans, regardless of health or any preexisting conditions. Unlike a traditional life insurance plan, you won’t be declined for life insurance because of your health.
Another benefit to these kinds of plans is how quickly you can get life insurance. With a traditional plan that requires a medical exam, getting approved can take up to a month or more. Because you won’t have to wait to schedule the medical exam or for the insurance company to review the results, you can get life insurance in a matter of days, or even hours with some companies.
Where To Purchase Life Insurance For Seniors
When shopping for life insurance for seniors, we can help. We work with many of the best senior life insurance companies in the country, and we can help you compare policies and premiums. To get started, fill out the form on this page to look at a set of life insurance quotes. We also have detailed information on Gerber Life Insurance and Mutual of Omaha Insurance,to help you better understand what different insurance companies have to offer and at what rates for each persons specific needs.
Because every insurance company is different, all of them are going to view seniors differently, which means that you will get drastically different rates from separate companies. Every insurance company has different underwriting and requirements, it’s easy to see why it’s vital that you get quotes from dozens of companies before deciding which one is best for you. Instead of wasting your time calling all of the companies yourself, let us do all of the hard work for you. We can quick you all of the best rates in an instant.
If you have any questions regarding life insurance for seniors age 50 – 85, we’re here to help. Please feel free to contact us, toll-free, at 888-389-8676 and we will be happy to answer any question or concern that you may have.
If you have any questions about getting life insurance coverage as a senior, please contact one of our agents today and they will be happy to answer those questions and ensure that you’re getting the best coverage available to you. Don’t wait any longer get the life insurance protection that your family deserves.