Life Insurance For Seniors
Life insurance for seniors is a different ballgame than the life insurance products available to those under fifty. In fact, you can consider the products for younger consumers as family van type policies: big face values for small premiums, providing amazing coverage for the money. Life indemnity for seniors is more like a sleek Maseratti. Big money for small coverage, and costs for many of the policies keep going up every few years. Frankly, indemnity coverage for death benefits is really for younger demographics; the coverage was never intended for older adults. Growing older can be difficult to face, but take comfort in the God's Word if you are a Christian. "Heaven and earth shall pass away, but my words shall never pass away." (Luke 21: 33)
Those over fifty face a couple of obstacles to getting a realistic quote of life insurance for seniors. The first, of course is the age. True, people are living longer and insurance companies know that. But on general grounds, there are more deaths over fifty than under, and a lot of circumstances begin to creep into those years such as more home accidents, more tendencies for illness and other factors. The second reason is health issues. Life insurance for seniors will includes at least three medical questions pertaining to being in any kind of surgery in the past two years, any cancer in the family and treatment for heart disease or diabetes. Policies limited to small face amounts such as fifty thousand dollars and under will only need those three questions answered by mail, while larger face amounts will probably require a medical examination.
There are two types of coverage that are sold which are whole and term. Whole is a type of policy that builds some cash value over a long period of time. Should someone die, the policy does pay the face value of the plan, but at any time during the life of the policy the insured can cash the policy out for accrued value. The returns are not favorable and are not a suggested type of life insurance for seniors. The other type is term coverage, and this is referred to as pure insurance because term does not attempt to insure and provide some investment tool as well. Whenever one sees a specific insurance policy for seniors, this is the kind the coverage will be.
Many people seek death benefit coverage for themselves to offset losses in savings because of stock market upheaval and other issues. Many would like to make sure that the spouse has few financial worries or that the children are left with an inheritance that can help them with needs they might have. The death benefits of life insurance for seniors, or for anyone of that matter, are not taxable. One caveat would be that if, on a whole life policy interest dividends exceed the face value of the policy, those dividends would have to be reported. Check with a tax expert for guidance.
Many death benefit indemnity companies offer coverage for those over the age of fifty. So does the AARP through the association's own preferred insurance carrier. If a person is choosing to buy coverage from any company, the best advice is to first check with the insurance rating companies (there are two of them) to see how strong financially the company is. Some insurers have been known to collapse financially and be unable to pay the benefits promised. Policies of life insurance for seniors are not insured by the government the way bank holdings are through the FDIC. It is important that agents who represent the policies to seniors, who often can be quite confused over the legalese issues of transactions, let their clients know about the uninsured nature of the investment in a policy.
If a person cannot qualify medically for more standard premium policies, there are also companies that will provide no "medical questions asked" coverage but it is very expensive. These very high cost policies are built around one thousand dollar purchases, called units. Typically they are about eight dollars for each unit or thousand dollars of coverage and are intended to cover funeral expenses. These policies are often available for people up to the age of eighty, but their premiums may be higher in cost. Should a person want to leave children some money and they own a house, he might want to consider a non-insurance solution for doing so. One of the unique ways a senior can have access to money before his death is through a reverse mortgage.
A reverse type mortgage enables a person of retirement years to take money out of their house while they remain in the residence until death. While life insurance for seniors will provide the comfort of knowing that loved ones will receive perhaps much needed money after their death, a reverse mortgage can provide the ability to see their families enjoy money while they are still alive. It is not a plan without its flaws and should be considered carefully before engaging, but is an alternative to not being able to secure life insurance for seniors. The best advice for seniors is to first recognize that life insurance over the age of fifty is no bargain. The next thing to know is there may be better alternatives to providing money for loved ones than a high priced policy. A financial consultant who has no conflict of interest in selling a policy should be consulted before opting to buy and expensive indemnity plan.
Life Insurance Over Age 50Life insurance over age 50 and even life insurance over age 60 is available for those who have passed their prime and still desire coverage. It is good to invest in coverage so that loved ones, as well as the insured, are taken care of in the event that something happens. Being past one's prime does not have to eliminate the chances of finding coverage. Plan and be responsible when it comes to getting affairs in order and caring for the family. Life insurance companies can help establish these guidelines regardless of the age of the insured or the particular situation. For example, marriage in the later years and suddenly having to plan for new loved ones. If not sure what those benefits are or could be, arrange to talk with a representative who can share the differences of coverage for the different stages of aging and what it all entails.
Senior citizens and those owning their own businesses, will probably want to get affairs in order especially as years advance. When it comes to writing out a will, it is a good thing to have all the ducks in a row. The same is true for life insurance. Make sure there is proper coverage for life insurance over age 50, and even life insurance over age 60. "Without counsel purposes are disappointed: but in the multitude of counsellors they are established." (Proverbs 15:22) Getting these affairs in order will help the family be better prepared financially whenever passing occurs. Become educated about the policies available for any situation. Having coverage is essential to all as Social Security, if available, does not pay sufficiently to cover even just a burial, let alone debts and financial obligations that might be left behind.
An adult, whose parents are reaching their golden years, can look into what is available for them. Get information on the types of plans parents can receive at their age. What sort of benefits do they get from life insurance over age 50? What about benefits from life insurance over age 60? Is there a cost difference each month, depending on which policy chosen? Think about it and get together with parents to discuss which type of coverage would be ideal. Set up an appointment to talk with companies who specialize in providing life insurance and assorted plans. Ask them any questions there may be. The more insight had ahead of time will probably save time and heartache later.
Senior life insurance is important to consider for those who are over 55 and especially if they have not purchased any to date. It has been said that life insurance should be called death insurance because it really is a policy to provide benefits to beneficiaries in the event of the death of the one covered. Senior retiree life insurance is an almost necessity for those heading toward retirement or for those already in retirement. It is significant for beneficiaries, estate planning and future investments. For those who have not already purchased coverage, there are many companies that offer policies that can still be purchased near retirement age.
Purchasing the right coverage can be a difficult and complicated process unless seniors are careful to shop around and compare quotes, benefits and policy stipulations. It is possible to find reasonable senior life insurance between the ages of 55 and 70 or beyond. There are many insurers that specialize in providing senior retiree life insurance to the growing population of senior adults throughout the country. Many sources that offer coverage provide guaranteed benefits, static premiums and a no health exclusion policy.
Some coverage sources do have certain stipulations as to limited benefits within the first few years of coverage according to each company's policies. This protects the company from issuing policies to consumers who purchase policies and may be deceased before a year or two of coverage. Certain benefits will still apply in those cases, but some limitations are imposed for senior life insurance coverage in order to protect companies that heavily cover the retired community.
"For we know that if our earthly house of this tabernacle were dissolved, we have a building of God, an house not made with hands, eternal in the heavens." (2 Corinthians 5:1) It is a wise decision to purchase some sort of policy not only to provide for a living spouse, but also to cover estate taxes and other inheritance fees that may be necessary for the beneficiaries of estates. Senior retiree life insurance can provide for any charges imposed during the processing of an inherited estate and alleviate any difficulties in getting the estate resolved. For those who are interested in purchasing coverage, there are many coverage sources that are expert in providing customers with professional, courteous service in regards to various policies. For a free quote or a personal consultation, check with many online senior life insurance sources.