CNN Underscored rates financial products like credit cards and bank accounts based on their overall value. We may receive a commission through Policygenius if you sign up for and are approved for a policy, but our reporting is always independent and objective.
By overall demographics, the elderly are the group most likely to need life insurance over the next decade, yet the uninsured will find slim options when they start shopping around. around. Many life insurance companies only offer policies to the younger age group – up to age 65 or in some cases as little as 55 – and those that offer senior life insurance charge high premiums. much more to explain the increased risk.
Fortunately, you can get life insurance as a senior citizen if you’re flexible and know where to look. In fact, the best senior life insurance may even be more affordable than you think, and you can buy coverage that lasts until the day you die.
Our guide aims to explore the options for the best life insurance for seniors, as well as the limitations you’ll find with each plan type. So if you’re an elderly person hoping to leave money to your heirs for eventual expenses or another reason, keep reading to learn more.
Check your life insurance rates from multiple insurers now at Policygenius.
While some types of life insurance are permanent, Term life insurance for seniors only lasts for a specific term or time frame, usually 10 to 30 years.
Remember that term life insurance for the elderly often requires a medical exam, although the amount of coverage you may be eligible for with term policies may be higher. life insurance no exam alternatives. Also, keep in mind that term life insurance will eventually lapse if you extend your policy term, meaning that if your policy expires, your heirs will not receive any benefits. What are your rights when you die?
Term life insurance for seniors also tends to come with specific limits. For example, you can only buy insurance with a relatively low death benefit, such as up to $100,000 or $300,000. Maximum age restrictions may also apply.
Get term life insurance quotes from multiple insurers at Policygenius.
You can also buy Lifetime insurance as a final year student in the form of policy issue guarantee. This means acceptance is guaranteed and you won’t have to undergo a medical examination to qualify, but your premiums may be higher and your death benefit will be lower.
For example, with DreamSecure Premium Life Insurance policy from American Family Insuranceyou may qualify without a physical exam if you’re between the ages of 50 and 80. Your policy also builds cash value, and your premiums will never increase.
But keep in mind that life insurance for the elderly is very expensive for what you get. American Family Insurance quote over $40 per month with only $10,000 in coverage of a 60 year old male. If that 60-year-old man lives to be 80, they will have to pay close to $10,000 in premiums and will need to continue to pay monthly so their heirs can finally receive death benefits.
Find out the cost of a whole life policy at Policygenius.
No life insurance exam for seniors the same as guaranteed problem insurance. You will be able to secure life insurance regardless of your health, but you will only be able to get a small amount of coverage and you will pay higher premiums as a result.
For example, with guaranteed problem life insurance for the elderly from Gerber Life, you can be accepted with an easy application process and no medical examination required. You can buy insurance until you’re 80 years old, and you don’t even have to provide information on a health questionnaire.
But in the case of Gerber Life guaranteed problem life policies, you can only buy coverage up to $25,000, which is a relatively small amount compared to life insurance. A policy like this is probably best used to cover your final expenses when you’re gone.
Click here to compare free life insurance plans at Policygenius.
Guaranteed general life insurance is a popular choice for older adults with existing term life insurance policies that have expired or are about to expire. Although this type of insurance is permanent – meaning it lasts your entire life – it does not generate cash value like Lifetime insurance and other types of permanent insurance. That makes premiums significantly more affordable, especially for the elderly.
While you won’t generate cash value with guaranteed universal coverage, it does come with benefits like a flat premium until the age you choose and a guaranteed death benefit. However, you often have to pass a medical exam to qualify for universal life insurance, which may not be possible for seniors in poor health.
Save money when you compare life insurance policy quotes at Policygenius.
Final cost of life insurance is another type of policy that provides a death benefit large enough to cover your eventual expenses, such as funeral expenses. While these policies are marketed to seniors with limited assets, there are many companies that offer affordable policy options.
According to Ray Barragan Jr., president of the ultimate cost agency Golden Memorial Insurance, a typical final cost policy can cost anywhere from $15 to $30 per month, or about $180 to $360 annually. However, most cost policies end up having a death benefit the maximum amount is only $35,000.
With ultimate cost insurance, the premium never increases and the policy stays in effect as long as the premium is paid monthly. Meanwhile, the death benefit never goes down. Some cost policies eventually build cash value as well, although it depends on the provider and the plan.
Buying life insurance as an older adult may sound expensive, but it’s possible that an ideal policy can accomplish more than you think. Just remember to compare different types of senior life insurance and consider if you want coverage last for a particular term or the rest of your life. While permanent coverage will cost more as a senior citizen, you can rest easy knowing that coverage will be there when your family needs it most.
Learn more about senior life insurance at Policygenius.
Want more life insurance options? Read CNN Underscored’s guide to the differences types of life insurance.
Get all the latest personal finance deals, news and advice at CNN Suberscored Money.
