5 Tips for Seniors on Obtaining Life Insurance

On the subject of life insurance, most people assume they have to spend an arm and a leg to obtain it.  Most people don’t think to even look into it until, they are elderly.  To be frank, life insurance for seniors does not have to be expensive.  Risks to insurance companies are lower and prices for term life have dropped significantly.  People are healthier and living longer than in the past decades.  You might be surprised to see how inexpensive coverage can be.  Here are some tips on how to get your life insurance for even less.

1.    Obtain multiple quotes

Because different life insurance companies price age groups differently, it is best to obtain quotes from multiple carriers.  Insurance companies will be more competitive and offer better prices if they want to gain your business.  Be sure to read the fine print on the policies so you can make an informed decision.  If you have an Insurance Agent, make an appointment to sit down with him/her so they can better explain the differences in the quotes.

2.    Don’t Purchase Too Much

You can save money by simply not overbuying.  How much life insurance do you need?  Probably less than you think.  See this article as a guideline for calculating how much you really need.  Typically, as people age, they need less insurance because they usually have fewer financial obligations.  For example, the college loans are paid off.  The house might be paid off and your investments are growing.  If any of these describe you, you probably need less insurance today than you did a few years back.

3.    Employer Life Insurance

If you are employed, you might be able to participate in a group plan that your employer offers.  If your employer offers a plan, find out if you can maintain the policy once you separate from service.  Many plans offer that option.  Talk to your Human Resources or Benefits Administrator.

4.    Seek supplemental life insurance plans

Even if you are no longer working, look into groups that offer life insurance for seniors.  For example, AARP offers a plan and it might be worth looking in to.  However, do your homework.  Compare your term life insurance quotes and don’t be shy about asking questions.  If you are really unsure of your options, seek the help of an Insurance Agent.

5.     Last Resort Insurance

In cases where inexpensive term life insurance is not available, here are other options: whole life and guaranteed issue life insurance.  For the different kinds of life insurance policies, please read the following article.  Please note: whole life and guaranteed issue life insurance will likely be more expensive than term so, if you’re looking to obtain the least expensive, this might not be the route for you.  But once again, read the fine print.  If you’re looking to obtain life insurance, please contact us and we can work with you to find the best options for you.  We work with many life insurance carriers and will get you the best rates.