Life Insurance Options for seniors
Truth be told, it is costly to buy a life insurance policy at the age of 60 than buying it at the age of 30. This is because life insurance actually might have to pay out sooner than they want to. There are many term life insurance quotes for seniors to choose from keeping in mind their budget constraints.
No matter what policy you pick, in order to find the best price, you will have to get multiple quotes from various insurers and compare their premiums.
There are 6 life insurance policy options with different term life insurance quotes for seniors.
- Term Life Insurance
It is the best option for many people because it provides most coverage at a lower cost. It offers coverage for a specific number of years at same premiums every year.
- Annually Renewable Term Life Insurance
They are same as term life insurance; the only difference is that there is an increase in premiums every year. There are some seniors who need short-term coverage, annually renewable term can save you money over buying a 5 or 10-year term policy. You will only be paying for current risks with a yearly renewable term policy.
- Whole Life Insurance
It offers coverage for the rest of your life, and they give you guarantee for same premiums every year. Along with death benefits, they will provide you with cash value that you can borrow against.
- Guaranteed Universal Life Insurance
It bridges the gap between term life insurance and whole life insurance. This policy can end when you choose to do so, or it can last until you die. They provide same premiums every year but don’t have cash values. It is a useful option for seniors in various situations like leaving a legacy fund, maximizing pension benefits, and repaying adult children (who will provide care for you when you are older).
- Universal Life Insurance
This policy lasts until you die and it also accumulates cash values. You can borrow against cash value, but if you die with a loan outstanding, the policy’s death benefits will be reduced by the amount of the loan.
- Burial Insurance
This insurance is also called Final Expense Insurance. It is a type of whole life insurance with small death benefits, specifically to cover your funeral expenses. They are relatively expensive for the amount of coverage they provide, but it can be a good option for seniors with serious health issues who are not looking to burden their family and friends financially with the funeral costs.
There is no particular term life insurance cost for seniors. It only depends on one factor, and that is which type of policy suits you best. It may also depend on which company offers you best rates for given amount of coverage. So make sure to get various quotes on term life insurance from different insurance companies and carefully measure them before making a decision.