Thankfully there are still excellent life insurance options if you know where to look and what to look for. In this article, we’ll outline the best life insurance policies for seniors and explain what makes them unique, so you can make an informed decision for your financial future.
A Look at the Options
First, let’s talk about your life insurance options. There are two main categories of life insurance: term life insurance and whole life insurance.
Term life insurance provides coverage for a set period of time, generally anywhere from 5 to 30 years. However, if you are over the age of 70, some insurance providers will not allow you to purchase a term longer than 20 years. Plus, the older you are and the more medical issues you have, the more expensive and difficult it may be to acquire term life insurance. For some seniors, this may rule out term life insurance entirely. However, if you’re in excellent health and the insurance company offers senior life insurance terms, term life insurance may be a good option for you.
The other main type of life insurance policy for seniors is whole life insurance. Unlike term, whole life insurance doesn’t have a set policy length – rather, it provides coverage for your entire lifetime. Finally, whole life insurance can carry high premiums, but it typically doesn’t require you to take any sort of medical exam. This, combined with its permanent coverage, can make it an excellent choice for seniors.
If you, like many other seniors, are living on a fixed income, you may not have room in your budget to accommodate a whole life insurance policy. When this is the case, there is a good option that could be thought of as the middle ground between whole and term life insurance: a guaranteed universal policy.
Guaranteed universal policies are considered to be some of the best life insurance policies for elderly people because they offer the lifelong coverage of whole life with the more affordable premiums of term. These policies are also incredibly flexible, allowing you to decrease your coverage rate if you find your needs changing over time.
Factors that May Affect Your Rates
Because life insurance premiums are typically based on your risk class, it’s important to keep in mind the things that could affect your life insurance costs.
Age. The older you are, the higher a risk you are considered to be and the higher your premiums may be as well.
Medical history. If you have ongoing medical issues or have had significant medical problems in the past, you will likely be in a higher-risk category.
Family history. Your family’s medical history may have an impact on your premiums as well, especially if there is history of cancer, diabetes or other major health problems.
Smoking status. Life insurance premiums for non-smokers are much lower than they are for smokers. All the more incentive to quit smoking if you haven’t already!
Senior Life Insurance Tips
When you’re shopping for life insurance, affordability is a big factor, but remember that it’s not the only factor.
Instead of looking primarily at the premium costs, look at the value of the policy as a whole. Lower premiums in some cases may mean less coverage options. Try to find a policy that offers the most amount of coverage for the lowest relative cost.
And finally, always be sure to look at a provider’s reputation before signing on with them. Trusted, experienced providers can not only provide outstanding rates and coverage options, but they are also expected to adhere to state regulations that protect consumers.
Get Expert Advice from Americo Senior Life
Choosing the best life insurance policy for seniors can be tough, but with the aid of life insurance experts like Americo Senior Life, you can find a suitable option that fits your needs and your budget.
Get a quote today for coverage up to $30,000, or talk to one of our representatives to get a better hold on your financial future.