A Guide to Your Senior Life Insurance Policy
Seniors citizens are most fragile members of the community and those that are almost the end of their lives. The benefits of seniors including social security and pensions will pay only so much which leaves their spouses and children to assume the balance. This is why a senior citizen still needs to get insurance. Debtors cannot take life insurance and most states do not levy taxes on inheritances.
There are insurance companies that make seniors take a medical exam but there are others that do not. With a whole life policy, once does not need a medical exam. The whole life policy has a large upfront payment but the senior is protected up to 120 years old depending on the insurer.
If a senior consider outstanding debts and funeral costs, it will give him great peace of mind if he has life insurance policy. When the senior dies, his family will not be burdened with funeral expenses and other costs. These other costs may include estate taxes, back taxes, and others.
It is only seniors who can take senior life insurance. Senior life insurance can be whole or term life insurance and is designed for the needs of the senior citizen. Final expenses insurance is attached to the whole or term life policy by certain insurers to provide extra benefits such as burial costs.
Affordable rates and high benefit amounts are given to senior citizens who are willing to take a medical exam and will score highly in it. You can find insurers that don’t require a medical exam but they just ask the senior a few health questions. Some don’t have any of these at all but will give lower coverage and higher premiums.
Guaranteed acceptance life insurance is a variation of permanent life insurance but does not require medical exam. Full benefits will be given if the insured dies within the first two years from an accident. Death from natural causes within the first two years of the policy will only receive limited benefit. They will receive the sum of the premiums paid to date and the accrued interest on the cash value. After two years has lapsed, the senior becomes fully insured against both natural and accidental death.
Seniors who live on a fixed income and who cannot afford a higher priced life insurance policy can get the term life insurance. The cash value investment options and whole and universal life offers are often disregarded by seniors who get term life insurance. They may not need this at their stage in life.
If a senior worries about outliving a term life policy, then he should consider a whole life policy. When the premiums are paid up, it cannot be cancelled and will be in effect until death.