It is a well known fact that the population is steadily aging due to the baby boomers reaching their twilight years and life expectancy increasing. This means Senior Life Insurance is a hot topic as retirees plan for their futures and ensure family members are financially protected at the time of their death. Senior Life Insurance is a great way for mature folks to have peace of mind as they transition from formerly held term life policies or employer provided life insurance to a replacement policy so some type of life insurance is in place. Surveys suggest that 74% of baby boomers have some type of life insurance and as they join the ranks of the retired, more and more are insured with Senior Life Insurance.
Why buy Senior Life Insurance?
The purpose of any life insurance policy is primarily to protect family members from having to pay final expenses upon the insured’s death and prior to retirement, life insurance also pays for lost income to help family transition to financial independence having lost some or all of the family income. Senior Life Insurance is a specific type of insurance for those who are past the kids at home stage and reaching the point of financial independence for the surviving spouse. This means that the surviving spouse will be financially secure when their spouse dies without needing monies from a life insurance policy to pay regular expenses. When this happens, Senior Life Insurance can provide just enough payout to pay for final expenses without needing to provide a financial bridge due to lost income.
What kind of life insurance is Senior Life Insurance?
Senior Life Insurance is a whole life insurance that is usually between $10,000-$50,000. It is intended to pay for final expenses upon death such as funeral cost, memorial expenses, remaining debts, and sometimes leaving a small sum of money to family members. Whole life insurance is a type of life insurance that lasts your entire life as long as monthly payments are made.This is different from term life insurance which is what most people have prior to retirement. Term Life insurance expires after a predetermined amount of time. The application and processing for Term Life insurance is lengthy and complicated which leaves many people with a misconception that all life insurance is difficult to obtain. That is actually a huge misunderstanding because Senior Life Insurance is easy to apply for and often approval is instantaneous or within just one hour.
Who offers Senior Life Insurance?
Many life insurance companies offer Senior Life insurance. Some of the better known companies are Mutual of Omaha, AIG, Liberty Bankers Life, Royal Neighbors of America, and Assurity Life Insurance. While the application process and approval is quick and easy with most Senior Life Insurance companies, the part that can be overwhelming is knowing which company to choose. It would add lots of time and stress contacting each one individually which is why most people use an independent insurance broker who represents many companies such as Assurance Life. Brokers like Assurance Life help clients go through the application process but instead of having to apply with each company separately in order to compare rates, they can apply one time with Assurance Life and get many quotes to compare, all at one time. That way you can see the different companies that offer Senior Life Insurance and see which plans they have that would fit your needs.
Every person is unique when you factor how much money they would like to leave their family for final expenses and you consider that the insurance companies base their rates on age and health. Combined together, there are thousands of outcomes when comparing death benefit amounts for every aged senior with their various health conditions both current and prior. That is where Assurance Life can point you in the right direction and help narrow things down to make the process smoother.
Is everyone approved for Senior Life Insurance?
Great news- EVERYONE is approved for some type of Senior Life Insurance. There are three levels of approval. The first level is preferred coverage. This means you are approved immediately and coverage starts on DAY ONE as soon as the first payment is received. Even with preferred Day One coverage, there are no medical exams needed and only brief yes and no medical questions on the application.
The second type of approval is graded. This means that graded benefits are not offered at 100% immediately. Usually, benefits are phased in over a two year period. For instance, in year one, the insurance company might pay out 40% of the death benefit and in year two, 75%, and after the first two years, the death benefit would be paid at 100%. This type of approval is for people with less severe past or present health issues that might be lingering and cause slight alarm for the insurance provider. As with preferred coverage, there are brief yes and no health questions and no medical exam to get graded approval coverage.
Finally, there is Guaranteed Issue Life Insurance where everyone is approved and under the right circumstances, some clients answer no health questions. When possible, you want to at least try for preferred or graded coverage, but some clients know based on health history or past life insurance applications that they will only qualify for Guaranteed Issue plans so from the start they are able to skip the health questions. Guaranteed issue plans have a 2 year waiting period regardless of which company you go with.
Senior Life Insurance Made Easy
If you are a senior who is in need of getting the life insurance your family needs, Assurance Life can help you with Senior Life Insurance Made Easy. It starts by requesting a free quote and once we get your brief questionnaire complete, approval usually comes either immediately or within an hour. Your senior life insurance plan will give you and your family a wonderful gift to kick off your retirement. Click the Get Quotes Now button on the left of the page to get instant Senior Life Insurance quotes from several top life insurance companies nationwide.