>> May 25, 2012
It used to be impossible to get life insurance as an elderly person. The obvious reason for this is that there is a huge risk involved. As the population has aged, however, this market has become a very large one and now an increasing number of insurers are reaching out to benefit from it. It now seems like it is never too late to get insurance, but you do have to expect larger figures for your life insurance quotes as you age. This article considers some of the options for elderly insurance to ensure that you are covered for any eventuality.
Deferred Life Insurance
The main reason that elderly people seek life insurance is to prevent themselves from leaving debts behind for the ones they love.
Debts, sadly, do not get wiped clean when you die and they can pass on to your children or even grandchildren if you are not careful. Deferred life insurance is one of the best ways to avoid this and it is a good system for the elderly.
To avoid high premiums, deferred life insurance works on the basis of repayment only to begin with. In the first three years of such life insurance a death will simply result in the repayment of premiums that have been paid to the company. This will not clear debts but a life that exceeds this three-year period will become fully insured and covered comprehensively.
Guaranteed Life Insurance
As we get older our health deteriorates and this can cause serious problems for the elderly and their premium costs. Guaranteed life insurance is for the elderly who expect that their health may deteriorate. Once you reach 50 you can get life insurance that is guaranteed. This means that you make a steady premium payment for 20 or 30 years in the knowledge that your benefits and premiums will remain the same regardless of your health deteriorating over this time.
Guaranteed life insurance is a great thing for those aged over 50 to opt into. It means that during the period wherein you are most likely to deteriorate in health, you will be secure in knowing that your premium will not change. This offers security and one less worry in your final years.
There are policies that are offered to seniors that simply aren’t worth applying for. It is important that all policies are scrutinised closely and it is worth discussing them with younger family members and beneficiaries for advice too. Be sure to get the policy terms in writing before agreeing to anything so that you can ensure that the deal is actually worthwhile.
It is vitally important to seek full disclosure of costs when opting for cover. This is particularly important when opting to change policies because there are usually costs involved in doing so. Often, the new company hides these charges and they will adversely affect your fund without you even realising it. Demanding full disclosure of all costs in writing will prevent companies from neglecting to inform you about this and can potentially save significant amounts in benefits.