Posts Tagged ‘Elderly’

7 Reasons Term Insurance For The Elderly Is The Best

September 24th, 2010 Christina Hall No Comments »

If your an elderly person you know how hard it is to get life insurance.  With age comes a declined physical health that could cost you big or even worse you may not even be able to qualify at all.

However when it comes to life insurance their is one type of policy that will fit an older persons budget and be more likely to help you get approved with easier and that is term life insurance for the elderly, in this article I’m going to cover seven reasons why term insurance for the elderly is the best route to go.

Premiums Are Cheaper

First off, one of the biggest benefits is that the premiums are much cheaper than permanent policies such as a variable universal life insurance policy.  As a former life insurance agent I’ve written term polices up for people as low as $15 a month.  On the other hand permanent policies run around $50 a month starting out.

You Don’t Have To Save

Next, with term policies you are not required to save any money because they have no cash value unlike a permanent policy.  With a permanent policy such as a whole life policy you are required to pay the normal life insurance fees but on top of that you will also have to pay an extra amount as a part of your premium that will go towards your cash value.

You Can Choose The Term

With a term policy you can also choose the term or length of the policy you want.  Typical term life insurance for elderly people can range from as long as 30 years or as short as 5 years.  The benefit to this is that shorter term life policies will cost far less than a 30 year term policy and it also becomes a benefit if you only need a life insurance policy to cover you for a couple of years.

It Will Give You A Return On Premium

Back several years ago an argument was made that term insurance is like throwing your money away and with whole life and other permanent policies it will allow you get that money back through the cash value.  Well now all that has changed since they’ve come out with a return of premium rider.  This is a rider you can add to you term policy that will pay you almost all of your premiums back after the term is up for the policy.

The Rates Never Change

Next, term insurance for old people also has the benefit that the rates will never change.  Unlike permanent policies the premiums may never change but the portion of money that will actually be saved towards your cash value will.  So if you have a medical condition you will actually end up paying more with a permanent policy.

Death Benefits Can Be Set Much Lower

Sixth, with a term policy you can set the death benefit much lower.  In fact many term policies can be set as low as $10,000.  With whole life or variable life insurance the minimum death benefit you can have a lot times is $50,000.  So if you only need $10,000 or $15,000 of coverage this would be a much cheaper route to go.

No Risk Involved

Finally, the last benefit term life insurance for old people is that it has no risk involved with it.  What I mean is if you have your money in a variable life policy you are at risk of losing money since the cash value is invested in the stock market through sub-accounts within the policy.  With term insurance their is no risk since they do not have a cash value.

However their is another risk as well.  Permanent life insurance polices also carry what is known as a deferred sales charge.  This is a charge that is imposed if you pull money out of your cash value before the deferred charge period is up.  The typical time period for a deferred sales charge is around 10 to 15 years and if you need the money within the policy before that you will be paying to get it back.

A Final Thought…

As a final thought to wrap up this article if I haven’t spelled it out clear enough for you term life insurance for the elderly is the real answer when it comes to your financial protection of your loved ones.  Start by contacting your insurance agent today and find out how cheap it really is.  Most insurance agents will be happy to run you a few quote to help you get started.

Tags: Elderly, Elderly Best

4 Options To Getting Affordable Life Insurance For The Elderly

August 8th, 2010 Christina Hall No Comments »

In a recent article I wrote about how to find cheap life insurance for the elderly.  In this article I want to go a bit further,and I want to show you where you can actually find affordable life insurance for older people.

In this post I am going to show you four different options that you can take to find life insurance.  All of these programs are offer through the AARP so you will need to affiliated with them in order to take advantage of this option but the cost is only $16 a year for  a membership.  These life insurance options are all provided through New York Life so you will have to check to see if this program is available in your state as well.

AARP Level  Benefit Term Life

This is affordable life insurance for elderly people who will need as much a $50,000 of coverage.  The best thing about this policy is that their is no waiting period, no medical exam, and getting accepted into the program is based on your ability to answer 3 simple questions.

However one big down side to this policy is that the insurance rates can increase over time as you get older.  On top of that you must be between the ages of 50 to 74 to get the policy and it will last no longer than age 80.  Finally, not everyone will be accepted, if you have a preexisting condition you may not get this policy.  Below is a list of rate you could expect to pay.

Extra Protection Term Life

This policy is exactly like the last policy but can offer you between $50,500 to $100,000 in coverage.  In order to qualify though you will still have to answer a few medical questions,  and rates can increase over time.

However you again will have to do no medical exam, and to get this coverage you will have to be between the ages of 50 to 74 to apply and coverage will be dropped after age 80.  Below is a list of rates that you could pay.

AARP Permanent Life Insurance

Now of the last two options the big down side each of them was that they only lasted until age 80 no matter what.  With AARP if you want affordable life insurance for the elderly till the day you die you will want one of the last two option.  First, the AARP permanent life insurance policy.

With this policy you will be able to get as much as $50,000 of coverage and you can apply between the ages of 45 to 80 years of age.  You will again have to answer a few medical questions and will not have to take a medical exam.

Most people who apply for this plan will be accepted and rates will not increase unlike the first two options.  To learn more about the rates check the chart out below.

AARP Guaranteed Acceptance Life

Finally, what if you need a life insurance policy to last till you die that will cover all of your final expenses but you have a preexisting condition that prevents you from getting coverage as in the last three options then you will like this option.

The answer is the AARP Guaranteed Acceptance Life Insurance Policy.  This a policy that offers up to $15,000 of term life insurance and will last as long as you live.

It’s also very affordable life insurance of old people who want don’t want to burden others with funeral expenses.  With this policy you will have no required medical exams or questioning.  Everyone is guaranteed to br insured.  On top of that rates will never change once insured and you can enroll between the ages of 50 to 80.

However their is one down side to this policy I should mention.  If you happen to die within the first two years of owning this policy from natural causes you will only be paid a portion of your coverage.  This is due the fact that nobody can be turned down and they don’t want people to buy coverage while lying on their death bed and still get the full benefit.

On the other hand if you happen to die from an accident of some kind you will receive the full benefit and the 2 year rule will not apply.  To learn more about the premiums and how much this type of policy could cost you look at the chart below.

Is AARP Life Insurance For You

Now that I’ve covered each plan did you spot one that works for you.  To enroll for coverage you can check out the AARP Life Insurance website to learn more.
Finally, I should mention if do enroll for a policy and you decide that it not right for you can cancel anytime in the first 30 days you will be refunded 100% of your premiums.  So get started now.

Tags: Affordable Life, Elderly, Life Insurance