Are you thinking about your financial portfolio? Life insurance for seniors over 75 is needed for your financial freedom and mental peace. It doesn’t matter how old you are, if you have life insurance, you can live in peace and happiness.
However, let us remind you that being 75 years of age, there can be some road bumps in your way of getting the life insurance plan.
Life insurance over 75 might seem more expensive than life insurance over 70.
When an individual is at the age of 75, by nature s/he has to face some health issues, it could be major or minor.
In this article, we will address the life insurance needs, getting affordable policies, possibilities, and opportunities for seniors who have touched the age number of 75 years and above.
Life Insurance Options for Seniors Over 75
It is crucial to understand the various available insurance options for you when you reach such an age.
In this part, you will learn of multiple life covers you can go for with details of how they work, benefits, obligations, and why you should consider each of them.
Term Life Insurance
Term life insurance is a type of cover that is designed to cover you for a specific period of time hence the name term.
As a result, the cover is only active within that specified time. Term policies work by allowing you to get death benefits in case you die within the term indicated in the policy.
In cases where you die past the agreed time, then you do not get any benefits from the protection.
Taking a term life insurance policy is not a case any different from all others in terms of requirements. Any insurance company will require you to meet standard requirements.
Several factors will also be considered when offering you the cover. Such things will include health, age, lifestyle, among others. However, term life insurance is the cheapest when compared to other cases.
For seniors over 75 years old, many insurance companies will allow you to take a term life cover of around 20 years.
At this age, you do not see yourself being alive past 20 years, and then it is an excellent option to work with. You will leave your dependents with some benefits.
Pros
- More affordable than other types of insurance policies.
- You do not have to pay premiums for the rest of your life.
- Suitable for people who do not have a long time to live.
- Low premiums.
Cons
- No benefit in case you die outside the specified time.
Whole Life Insurance
As the name suggests, it is a type of life insurance that will work for the rest of your life.
Here is how whole life insurance works.
When you take the policy, you attain protection for the rest of your life until you die. However, one condition is that you must be paying your premiums throughout to keep the policy active.
Whole life insurance is a good option in many circumstances. If you think you may live longer than you can predict even at over 75 years old, then this is the best option to go for. You are sure that you will get the death benefit irrespective of when you die.
Whole life cover, unlike term life insurance, you will be required to pay the premiums continuously for the rest of your life. As a result, this makes it more expensive as compared to other options such as term life cover.
Whenever you intend to take a full life cover, you have to consider several factors to make sure that it will work for you. The first and most crucial thing is that you have to evaluate your ability to pay the premiums for the rest of your life.
For a senior above age 75, it may not be the most appropriate option unless you have huge financial obligations that you would like to take care of when you die. If you are having lots of debts, it is an excellent choice to make to help you settle the debts when you are gone.
Pros
- There are death benefits.
- Whole life insurance comes with a cash value you can utilize.
Cons
- You must be prepared to pay premiums for the rest of your life.
Modified Whole Life Insurance
Many people end up confusing whole life insurance with a modified whole life insurance policy. However, here is what you need to know about the modified whole life insurance policy and how it works.
Modified whole life cover is almost the same as a whole life insurance cover in several ways. It works by offering life protection for the rest of life.
However, as the name suggests, it comes with modified terms of the agreement. In many cases, there are modified premiums.
For modified whole life protection, you will find out that you can pay low premiums at the beginning of the policy, and they can increase with time.
Many companies will allow you to discuss with them how you want to pay your premiums based on your abilities.
However, in many cases, you will be able to pay low premiums during the first 5 or 10 years, and they will start increasing after that period.
For modified whole life protection, the benefits you get are after your death as long as you have been paying your premiums. The only difference you find between a whole life cover and a modified one is being able to alter the premiums.
Pros
- Ability to modify premiums.
- You can pay low premiums during the first few years.
- It covers the rest of your life.
Cons
- You are required to pay premiums for the rest of your life.
- Premiums increase later in life.
No Medical Exam Policy
If you are suffering from health issues, it may not be easy for you to get any standard life insurance policy. In this case, you can choose no medical exam, no waiting period life insurance.
As the name specifies, you will not have to go through the hassle of medical exams and running around the insurance company office as there is no need for any documentation.
Although the price for such insurance policies is higher for elderly people, it is a convenient and feasible option.
You will not be asked any questions about your health or family records, and it is a guaranteed issue- which is the biggest advantage.
It saves time and effort too. The higher cost is the only major disadvantage of such insurance schemes.
Simplified Issue Policy
Another option with slightly lower prices than ‘no medical exam’ is to buy a “simplified issue policy.” You need to qualify for a ‘simplified issue policy’ by filling up a medical questionnaire.
There is no exam other than this questionnaire. Although the premiums are lower than the guaranteed issue, they are higher than the standard policy premiums.
Burial Insurance Policy
If you have specific needs such as you want to arrange only for the burial expenses, then you can buy another policy that specifies the demand- “final expense insurance” or “burial expense insurance policy.”
This policy enables the senior citizens to leave behind their profound legacy for their loved ones. This allows you to specify the choices of your funeral, from flowers to casket.
Being alive, you can plan for your cremation in a certain way and lay down the terms for your children.
Rising funeral expenses due to high pricing often prompt the senior citizens to cut down their desires for their final adieu.
‘Final expense policy’ enables them to fulfill their last wish and thus gives a sense of contentment while being alive.
Guaranteed Universal Life Insurance
Guaranteed universal life insurance a type of policy that covers for the rest of life but it is different from whole life insurance in several ways. GUL is mainly considered to be a type of policy that works as a combination of both whole life and term life insurance.
Here is why, when you get the GUL, you will be getting permanent protection just like the whole life option. This means that you will get death benefits in case of demise.
At the same time, it offers very affordable rates that can be compared to those of term life insurance. This means that it is a good option for someone who is interested in getting a permanent and affordable life protection plan.
Another characteristic of guaranteed life insurance is that it comes with guaranteed death benefits. This is different from the case of a term policy.
As long as you are paying your premiums, it does not matter when you die. You will receive the benefits.
So, in case you are a senior over 75 years, and you are worried that a term life cover may fail you, this is the best policy to take. However, with this type of cover, there is no cash value.
Pros
- You get affordable premiums for a long period. You are getting a permanent cover at low premiums.
- It is possible to adjust the death benefits. Which gives you a chance to decrease the premiums.
- You have guaranteed death benefits as long as you are paying the premiums.
Cons
- The policy does not come with any cash value.
Which One is the Best Life Insurance Over 75?
Which is the best life insurance cover for seniors over 75 is a question of what works best for you. Nevertheless, with all factors considered, it is possible to come up with, which is better for you at this age.
Is it whole life insurance?
When you take a whole life cover, you will be required to pay the premiums for the rest of your life. Which maybe 20 or 30 years remaining. This can be a difficult task for you since you do not know when you will die.
Whole life insurance will also be more expensive as compared to term life cover. At 75, it is difficult to have any debts you need to take care of.
So, it is a No.
Is it a modified one?
No. The only difference from whole life cover is modified premiums, which will increase later in life, which is not suitable for a senior.
How about term policy?
Yes (a great option if you are healthy).
This is a better option when compared to a whole and modified whole life insurance. With a term life cover, a senior at over 75 will receive many benefits that will make the whole experience easy and worthwhile.
Here is why:
- It is the most affordable life protection policy when compared to others, such as whole life cover.
- At this age, you do not have income; hence, you should not have huge additional bills on your shoulder.
- Maybe you are ailing, and you still need something to give your dependents benefits once you are gone.
Guaranteed Universal Life Insurance – Is it the Best?
Yes, it is.
When you come to guaranteed life cover, you will find out that it has the highest benefits. It is a policy that will get rid of all the cons brought by other policies. The policy gives you a permanent cover with low premiums.
- It the perfect option if you have medical issues at an age above 75.
- You will get a permanent cover.
- Premiums will be as low as those of term life insurance.
- You can modify the amount of death benefits you want hence lowering the premiums further.
- You have guaranteed death benefits.
A Piece of Advice: Life Insurance Over 75 with Health Issues
Having health issues at the age of 75 years is common. The state of health affects the life insurance premium a lot, so you have to decide if you go for an exam policy or no exam life insurance policy. ‘No medical exam policy’ costs much higher.
On the other hand, if you have a major health problem, your application may get denied by the underwriter.
If you are self-confident that you can show a reasonable health condition, you can lessen the premium by up to 50% definitely. So, evaluate your health condition first.
No exam whole life insurance can obtain coverage of $25,000 for over 75. If you need larger coverage, you have to go through the medical exam procedure.
You have another option if you don’t want to face a medical exam, which is guaranteed acceptance life insurance, as we discussed above.
No question, no harassment, & no waiting period; simply purchase. It costs too high, but acceptance is guaranteed. People with major health issues generally go for this.
Finding the Best Life Insurance for Seniors Over 75
So, finally, it is your time to take the decision. It is too late to purchase life insurance, but you can do it now.
If you would have bought life insurance when you were 30 or 40, you would get a much better policy. No more thinking, request for free quotes right now as many as you can.
Take Quotes and Compare
The best way is to collect information from all the relevant sources around you and do the homework. You can sit back and decide which insurance policy suits best to your needs and pockets.
Being a senior citizen, you have to make sure that you save enough for your medical bills and other redundant expenses as the sources of income get limited at this age. If that is not the criterion with you, go ahead and buy a policy with maximum benefits.
Use the Internet to Your Aid
The Internet has become a great medium for imparting useful information in any dimension. You can sit back at home and search through various insurance company websites.
It will give you wholesome information with a transparent approach to each and every policy and pertaining clauses.
Seek help from the forums on various sites that solve the queries of people about insurance policies. These forums are really helpful in finding meaningful answers as people with personal experiences in the same field answer them for you.
Give a Call to the Insurance Agent
Once you have finalized 2-3 options for buying an insurance policy, give a call to a local insurance agent.
Insurance agents are the representative of the companies to help the customers in purchasing insurance policies. You can take personal consultation and seek their help in doing the documentation work on your behalf.
Why Seniors Over 75 Need Life Insurance?
Life insurance may seem valueless if you don’t do in-depth research. For your financial state, you must have life insurance. The day to day living expense is increasing too fast.
American family expenses are around $7000 per month on average. This means there is a lot of financial pressure on an average American to make ends meet and give a quality life to their loved ones.
Can you imagine what will happen to your family after your death? As a responsible person, you must do something for your family’s financial security. Although it is late, you should have life insurance.
Let us elaborate on some of the reasons that cause people over 75 years of age to invest in life insurance policies:
Rising Funeral and Burial Expenses
Besides funeral expenses, the burial expense is also increasing too rapidly. Nowadays, hardly a burial package is available at less than $10,000. People always want to stay financially independent because they don’t want to become a burden to the family.
Especially when it comes to senior citizens, the feeling of being a “burden” to their own children is very common. They spend their lives playing the role of being a “provider” in the family, which they want to sustain for their whole life.
Buying life insurance policy helps them in retaining their pride even after their death. Burial and funeral expenses get covered in the life insurance scheme.
Paying Off the Debts
There may be some pending mortgage or other debts that must be paid! Elderly people have a keen desire to arrange for everything so that their family can pay easily for them. The debts can be in various forms, such as pending medical bills, piled up home rent, monthly loan installments, etc.
For a senior citizen, the sources of income get limited too. Life insurance over 75 is helpful in this case because it will save your family from the burden of paying the debts.
Also, you will play the role of a significant contributing member of the society that will help you in living a confident and contented life.
Sharing Gifts and Love
As people grow in age, they want to share their experiences and love with the younger generation. Their desire to give gifts to their younger children mostly gets suppressed due to a lack of funds and fear of the future.
If you own a life insurance policy, you feel secure for the future. This will help you in keeping aside a relevant sum of money for buying gifts for your children from time to time.
Also, you can always put aside a crucial part of your insurance lump sum to be given away to charity or cause after your death.
Securing the Future of Their Life Partner or Other Dependents
It is one of the crucial most reasons for senior citizens to buy a life insurance policy. They want to get life insurance to secure the future of their dependent loved ones after their own death.
The post-death benefits from the life insurance policy claim help the dependent survivors to lead a life of comfort and self-reliance.
Now since we have discussed the need for senior citizens to have a life insurance policy, let us discuss what options are available for seniors over 75 in the life insurance field.
What are the Steps Towards Buying Life Insurance?
In order to simplify the process for you, here is a brief outline of the steps that are involved in purchasing life insurance:
Get the Quote
As we have mentioned above, you can use the internet or the help of an insurance agent to get a quote for your insurance policy. As soon as you get the quote, you can apply for the policy. Seek help through online or personal assistance wherever you feel stuck.
Even phone counseling option is made available by insurance companies for facilitating the customers. The telephonic helpline numbers can be availed from their phones. We offer FREE quotes service that you should definitely try.
Get Your Medical Examination Done, If Necessary
If you are buying no medical exam policy, then you may not have to go through this step. However, if you are applying for a standard life insurance plan, then you need to get your medical examination done after filing an application for insurance.
Collect your reports in time and give them to the insurance company in the prescribed format.
Approval Period
It takes 4-5 weeks before the approval comes. In between, you can check with your insurance agent about the policy procession.
Time to Pay the Premium
As soon as the policy gets approved, you will get notified by the company sources. As the policy becomes effective, now is the time to pay the first premium of the policy.
Frequently Asked Questions
Many people usually have tones of questions about life insurance and everything revolving around insurance for seniors. Here are some of the frequently asked questions and answers.
Can You Insure a Senior Over 75 Years?
Yes. It is possible to insure a senior at over 75 years old. All insurers will be comfortable with this. All you have to do is make sure that you provide proof of insurable interest before insuring them. This means that you can insure your parents.
Is it Possible for Seniors Above 75 with Disabilities to Get a Policy?
Yes. There are many policies available for people with disabilities. It does not matter whether you are a senior or not. All you have to do is meet the requirements of the insurer. It is important to understand that being disabled can affect your premiums.
Do a Senior at 75 Need to take Medical Exams?
A medical exam is one of the most important requirements of many insurers. As a result, you will have to go through a medical exam irrespective of your age. However, in cases where you do not want to go through a medical exam, there is always a way out of this.
You can decide to go with no medical exam type of policy.
Can Couples Over 75 Years Old Take Joint Policy?
Yes. It is possible, and it is very much more affordable as compared to other types of insurance covers. If you are a couple and you want to insure yourself, you can consider taking this type of policy. All you have you have to do is consult the right advisor to find out more about joint life covers.
I Have Cancer at 76 Years Old. Can I Get Life Insurance?
Yes. You can definitely get a life cover. However, it is important to note that different insurers have different requirements. As a result, based on your cancer, some, but very few, may reject you.
However, the majority will give you a cover. All that you have to know is that you have to disclose the condition, and even after that, so many things will come into play to make sure that you are not a huge risk to the insurer.
The premiums may be higher than normal when you have such a condition.
Does My Age Affect Premiums?
To some extent, yes. This is because you are considered a high-risk client by an insurer. However, this does not play so much unless there are other factors attached, such as health conditions. Make sure that you contact an insurance agent to find out more.
What Affects My Premiums When I’m over 75?
The moment you are taking life insurance at over 75, many things affect your premiums. Age is one of them since you are considered a high-risk client to the insurance company.
Your health condition will also play a role. If you have a severe condition that can lead to your death easily, you will pay higher premiums.
Conclusion
There are various reasons that make senior citizens at the age of 75 to buy a life insurance policy. The options are available to meet their requirements in the best possible manner.
People can apply for these policies through standard forms available on their websites or company offices. The only thing one should have is the clarity of the clauses and terms that they want to get undercover.
According to their requirements, they can set aside a budget and buy from the available options. Internet and registered offices are the best sources of information.
Compare the quotes and find the one that suits you best. There is no alternative to finding life insurance without comparing quotes. If you still have problems don’t hesitate to contact us.