We have had a few recent inquiries about getting life insurance over 60. Hopefully this article will shed some light on why someone would need life insurance over 60, and the availability of such coverage. Life insurance after age 60 can start to become a bit difficult for some people to work their head around, but it really doesn’t need to be.
Many senior citizens still see the apparent benefits of insuring their own lives and continue to do so well after turning 60.
In fact, it is not uncommon even for people in their 70s to take out a new life insurance policy of some sort.
For seniors looking at life insurance policies, there are a few questions that are commonly asked, which we will be addressing today. The answer to this question is largely dependent upon the person asking it. For instance, a man or woman who lives alone and doesn’t have any close family or debts may not need life insurance over 60 at all. While on the other side of the spectrum, seniors who still have mortgages on their houses, have dependents or other people who would be burdened if they pass away will find a lot of value in a life insurance policy. For some people, it is less about the money, but simply about making sure their passing doesn’t put anyone through any financial hardships.
Am I Eligible For Life Insurance Over 60?
Many seniors believe that, due to their age, they are ineligible for a life insurance over 60. This couldn’t be farther from the truth though, with seniors well into their 70s and 80s taking out life insurance policies every day. The thing to keep in mind, is that the older you are, the more the insurance companies will see risk and your plan will be priced accordingly. For most seniors looking to get life insurance, it is better to act quickly and get a better rate, rather than wait a couple years when the rates may become significantly higher. We offer tools, like this one that can give you an instant quote of what your life insurance plan might cost you
What Life Insurance Plans Should I Consider?
It really depends on your own personal needs. For people buying life insurance over 60, term life insurance and small whole life insurance policies are very common options, as they allow you to pay a fixed amount for a certain amount of time being insured.
Many seniors will take out a term life insurance policy to cover them during the years when they are still working and earning money. Then they stop paying once they retire and go on a fixed income. This is a good option for seniors who are still working and don’t plan to retire in the immediate future.
Others take out a small whole life insurance policy, also known as “burial insurance”. This is usually for $10,000 – $25,000 of whole life insurance and is perfectly suited for seniors on a fixed income. This amount is released when the person passes away and is used to cover the costs of their funeral and outstanding debts, so as to not burden the family financially.
Many seniors will do a combination of both, taking out a term life insurance over 60 AND buy a burial insurance policy. They let the term life insurance policy lapse when they retire and they still have an inexpensive burial policy when they hit their fixed income years. This protects most people’s best interest at both stages of life.
Buying Life Insurance Over 60
When you age, the longer you take to get life insurance, the more expensive it can become. With life insurance over 60, we always recommend people to do their research, and not rush into any decisions, but we also recommend not waiting too long to get insured. The price will probably not be drastically different between this month and next month, but the difference from this year to next year will be noticeable.
Your health condition can also decline quickly after 60, so if you are fairly healthy now, it is best to apply sooner rather than later, in case of any sudden medical issues.
It is important to keep one thing in mind when shopping for life insurance over 60 – it will be more expensive compared to your younger years. How expensive will depend on many factors, but you need to make sure you can afford it. You need to approach the buying experience with the knowledge that it will cost more.
To keep your costs down, consider working with an independent life insurance agency like us. We have access to over many life insurance carriers and can do the research and shopping around for you, to get you the best rate. For the average person to reach out to all the companies we represent would be very time-intensive to say the least.
As you can see, there are still many plans for life insurance over 60 available for seniors, many of them fitting right into where they are in life at the current moment.