By the time most people reach age 65, they think it is too late to purchase life insurance.
After all, in past generations, most people did not live to this age, making life cover a risky offering for most insurance companies.
Extended lifetimes have created new opportunities for these businesses and as a result, new insurance offerings for older people.
Special policies designed for individuals older than 65 are less expensive than traditional life cover is.
With many people living into their 90s or 90s, insurance companies identified a gap in available life cover and decided to fill it. More companies now offer cover to people over age 65 and some even specialise in this age group. Life insurance policies designed for the over 65 crowd was developed for consumers who wanted life cover but did not want to pay the high premiums that traditional policies carried.
Over 65? Easily Compare Cover From The Leading Life Insurance Companies
Even though rates for conventional cover have decreased due to extended lifetimes, these policies can still be expensive, particularly for older individuals with health issues. Some companies that specialise in over 65 life cover provide guaranteed acceptance for particular cover levels.
This means that applicants need not submit to medical examinations. People over age 65 who have medical conditions will find it much easier to secure cover through these companies. Premiums are based on age, smoking status, and cover level, not health status. Individuals can reduce their premiums by quitting smoking at least one year before applying for an over 65 life plan.
Life cover for people over 65 operate similar to a traditional plan. The policy pays a lump sum benefit to named beneficiaries when the insured dies. This money is typically used to repay debts, cover some or all mortgage payments, and repay outstanding bills left by the deceased. With funeral and burial costs increasing by the year, many beneficiaries use a portion of the payout to cover these expenses. If the insured plans correctly, there may even be money left over for on-going expenses or savings.
When considering what level of cover to purchase, consumers should think about who their beneficiaries will be. A married individual may want to purchase enough cover for a surviving spouse to live comfortably throughout the retirement years. Many people are becoming parents at older ages so children may not be independent if parents die in their late 60s. Delayed parenting means that some people over 65 have young grandchildren.
Life policy limits should take the financial needs of these younger generations into account. Parents and grandparents can make the future much brighter for their offspring by providing enough money to cover educational expenses or a home deposit. Even leaving just enough to settle the estate will be appreciated.
Children or grandchildren will not need to use their own money to cover estate-related expenses. Each parent or grandparent should consider purchasing an individual policy because this will provide beneficiaries with two payouts.
Insurance is a complex product regardless of policyholder age. Most life insurance providers impose an initial claim blackout period of up to two years. If the policyholder dies during this time and the death is not accidental, no payout will be made. However, the company may agree to return premiums already paid, providing some financial relief during an otherwise difficult time.
Individuals purchasing life insurance over 65 must maintain cover by keeping payments up to date. This type of policy is designed to last for the lifetime of the policyholder but it will be cancelled if premium payments cease. Premiums already paid will not be returned upon cancellation and once the policy is terminated, claim payout will not be made.
This type of policy does not have a cash-in value and premiums could exceed benefits if the cover limit is high and the insured lives for 20 to 30 years.
Life insurance is an investment and not all policies are equal. Premiums can vary by up to 50 percent between providers and locating the best offer is not easy because several companies cater to the UK market. Insurance Hero has connections with these companies and is able to retrieve quotes from all of them, delivering them directly to consumers in a single location.
This eliminates the need to spend hours searching online and comparing quotes on different sites. Consumers spend less time looking for coverage so they can get policies in place more quickly for peace of mind.
The Insurance Hero site is easy for anyone to use. Simply complete our short electronic quote request form and let us search for policies that meet your needs. Within a short time, you will receive a list of suitable policies, with quotes for each. Compare the limits and review the terms and conditions to find the cover you want. There is never any pressure to make a purchase but when you are ready, we will help you complete the required paperwork.
Shopping on the Insurance Hero website is the fastest and most convenient approach when shopping for life insurance designed for individuals older than 65. However, we realise that some people within this age bracket may not be computer savvy.
Many of them do not have trusted individuals to help them use this technology. They need not worry because our experienced professionals are also available via telephone. A phone call will result in the same information available through our website.
Our representatives work extended weekday hours and are also available on Saturdays. If all representatives are busy at a given time, request a return call and you will be contacted shortly. The representative will gather some basic information and provide a list of insurance companies that offer suitable cover, along with premium quotes from each one.
Life insurance is an important consideration at any age and special cover is available for individuals older than 65. Insurance Hero makes it easy for consumers to find the most reasonably priced cover within the desired limits.