life insurance for seniors over 70!This generation of people over 70 can anticipate living longer and being healthier than their parents. That means that they also have to be concerned about financial protection for their family for a longer period of time. Getting life insurance for seniors over 70 poses different issues than when we were younger.  Here are some things you should know.

Why Buy Life Insurance for Seniors Over 70?

When you were younger, you probably thought of life insurance as something you bought to protect your family in the event of losing the main breadwinner. Although some seniors do seek to protect spouses with life insurance,but they also may want life insurance for:

  • Special needs adult children
  • A family business
  • Estate settlement and taxes
  • Leave a legacy for children and/or grandchildren
  • Give money to charity

Unlike estate assets, life insurance settlements are generally not taxed, so senior life insurance can be an excellent way to help provide for the needs of others, even if you don’t have other assets to leave behind.

What Type of Insurance Should Seniors Get?

Generally, the least expensive and simplest option for younger people is to buy term life insurance which offers a specific amount of death benefit for a particular period of time like 10, 20 or 25 years.

If you’ve had term life insurance in the past, you may be thinking that is what you should get now. But seniors are a higher risk for insurers and the carriers make up for that risk with higher premium prices for term life insurance. In fact, when you are looking to get life insurance over age 70, you may find that permanent life insurance is close in price to a 10 year term (in fact it may be less expensive).  A 10 year term may be the longest term available at age 70. Since you may very well outlive that term, you should consider getting a permanent policy which will be in force for the rest of your life.

How Can You Choose the Best Policy?

Life insurance for people over 70 is a specialized market and you need someone who has experience and will be able to explain all your options. You need an agent who understands the challenges that more health issues present.

An independent life insurance agent who specializes in life insurance for seniors is probably your best choice. If your health is not perfect and you are looking at permanent insurance, you may qualify for a table shaving program which improves your underwriting rating and offeres substantial premium savings. However, you will need the assistance of an experienced agent to help you qualify for this unique program.

TheBottom Line

Life insurance after age 70 should be an important part of your financial plan. An independent life insurance agent is a good guide for helping you make the right choices for you and your family.

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