Life Insurance for Seniors!
Tips Seniors Should Know Before Purchasing Life Insurance
Purchasing life insurance for seniors may be difficult but it’s not impossible. We all strive to have the peace of mind that our loved ones will be taken care of after we are gone. When I speak to my senior clients, they want to make sure that their final expenses are taken care of, as well as health care bills and they wish to leave a little something behind for their families. They are very sincere and it’s touching to hear them talk about their families and listen to their stories. As for myself, I have aging parents and elderly grandparents so I understand the need and importance of having coverage for our seniors.
If you are a senior or an adult child looking to purchase life insurance for yourself or your aging loved one, here are a few tips you should consider before purchasing a policy.
- Selecting the appropriate amount and type of coverage is important. As we get older our coverage is more expensive and the face coverage can be limited due to insurance carriers coverage limits. Take into consideration whether you still have a mortgage, or if you still have loved ones that are financially dependent on you. What percentage of retirement benefits will your family receive when you pass? Also, you will need to determine how long will you need the coverage for; it is for a limited time or for a lifetime?
- Do you have to take a medical exam to purchase life insurance? In most cases, you do not. The insurance carriers can limit the face amounts and term lengths that they are willing to offer to different age groups. For example: up to age 65 you will be limited to a 10-year term, up to age 60 you’re limited to a 15-year term and up to age 55 you’re limited to a 20-year term policy. If you’re in your upper 60’s to age 70 then you can receive smaller benefits from $25,000 to $50,000. Also, for seniors with health issues that are significant, you can qualify for graded senior term insurance or whole life insurance policies.
- Improve your health! Keep healthy by having yearly physicals and exams. By keeping fit you might be able to receive a better rate from the insurance company, which will, in turn, lower your premiums for your life insurance.
- HONESTY IS THE BEST POLICY! Being honest about your health conditions with your agent is the BEST way to secure the best policy for YOU. No fibbing! The insurance company WILL find out about it and if so they might not payout to your loved ones.
- Work with an experienced independent agent or broker! These agents will have access to many top insurance carriers that cater to seniors. They will be able to shop for the most affordable rates and provide you with the best coverage for you or your aging parents.
- Purchase sooner than later! Life insurance policies become significantly more costly each year as we get older. Don’t put off purchasing coverage any longer than you have too.
How do I know when a senior doesn’t need life insurance?
Purchasing life insurance for seniors might not always make sense. Here are a few questions to help you make that determination.
- Are the funeral expenses already paid for?
- Do they have a sufficient amount in savings for their elderly years?
- Is anyone financially dependent on them?
- Do they have any financial obligations?
- Do they have long-term care insurance?
If you’d like to discuss your particular situation, please reach out to us for a no-obligation life insurance quote today!