Life Insurance Over 50 – Know The Basics Before Choosing Your Over 50s Life Insurance Policy

Life insurance is an insurance policy that your loved ones will benefit from, not you. Once you die, the life insurance company will pay the policy worth to the beneficiary of the policy. Generally the beneficiary will use the funds from the life insurance policy to pay for funeral costs and any other outstanding bills. At one point, life insurance was difficult to obtain if you were over the age of 50. Nowadays, life insurance over 50 is relatively simple to find. The price of the premiums will more than likely be higher than people younger than 50 years old.

Range of Life Insurance Policies Over 50

Life insurance over 50 policies will usually range for a $50,000 policy between $20 and $70 per month. This is strongly dependent on the type of insurance policy and if the insured has major medical problems. Term life insurance policies are usually cheaper than whole life insurance policies. The length of the policy is shorter if you are over 50 years old. Instead of offering a policy with a life of 30 years, most insurance companies will offer a policy with a life of 15 years.

Varying Factors

A person cannot be denied life insurance coverage unless there are extenuating circumstances. The price of the policy or the amount of coverage offered will be much different if you are over 50 years old and especially if you have physical and/or mental health issues. Almost all life insurance companies will require a person to fill out health information and several take it a step further and require a physical examination by a nurse or doctor to be submitted prior to the policy being approved. Most term life insurance policies will not pay out if the insured commits suicide within a certain time frame from the start of the policy, the norm is two years.

The policyholder of the life insurance policy is not always the insured. That is how spouses and adult children are able to obtain life insurance policies for their family member. Although there are still several companies that require physical examinations, there are more and more companies offering life insurance over 50 policies without the insured having to complete a physical exam or even answer health questions.

A person will need to determine the amount of life insurance that their loved ones will need in order to survive without them. The higher the policy amount, the more money it will cost per month for that policy. If a $10,000 policy is enough to cover expenses but the loved one needs a little extra to live on, then a $15,000-$20,000 policy would be sufficient.

Know the basics of life insurance over 50s

Why People Choose Life Insurance When They Are Over 50

Life insurance can be viewed as either insurance or an investment. For many, they see it as insurance and a way to protect those they love from high costs after they are gone. Some adult children will purchase a life insurance policy for their aging parent or parents even if there is already a policy in place that the parents are paying for. This is called an investment. The policy will be paid upon the death of the insured.

The policyholder of the life insurance policy is not always the insured. That is how spouses and adult children are able to obtain life insurance policies for their family member. There are more and more companies offering life insurance over 50 policies without the insured having to complete a physical examination or even answer health questions.

Filed in: Life Insurance

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