Do you want to be able to get affordable life insurance for seniors? Follow these 8 do's and don'ts to get life insurance that gives you what you need at the best price:
1. Do Know What You Need
How much insurance do you want? How much can you afford to pay? The most affordable life insurance isn't necessarily the cheapest; it is the one which gives you the coverage you need at the best possible price. If you want a policy for your lifetime, although term coverage will probably be less expensive, it doesn't fulfill your goal.
2. Don't Expect the Best Rating if Your Health is Not Perfect
Be realistic. If you have health issues, then your insurance will cost more. Seniors often have more health issues than younger people. The more health issues you have, the more complex the insurance underwriting will be. The rates you see advertised on TV are for the best health category and usually younger than seniors! (You can't get insurance for $20 a month when you are 65!)
3. Do Use an Independent Agent
Because independent agents work with many companies, not just a few, independent agents can give you a more complete quote than an online search engine or captive agent(who only has one company available).
Independent agents have more resources to help you, including an in-house underwriter who can help discuss your case with the insurance carrier underwriter. Moreover, an independent agent knows about programs that can improve your rating and thereby lower your premium.
4. Don't Necessarily Choose the Agent Promising the Best Cost
The life insurance company will give you the best rating they can based on your application information, health history, medical exam, and medical tests.
So work with an agent who gives you the best information. Your best choice in agent is someone you know you can trust, who answers your questions and who will continue to give you service after your policy is in place.
If one agent gives you a higher price than another, ask why. And if it's because of health issues, that agent is probably telling you the truth. They will put you with the company most likely to give you the best rating you can expect at the best price. If you go with an agent who "low-balls" the price just to get your business, when you get rated, they probably won't be the least expensive at that higher rating.
Remember if the insurance underwriter can give you a better rating (based on their underwriting guide) they will.
5. Do Tell the Truth
Wish you weighed 10 pounds less? Blood sugar not quite under control? You might not tell the truth to your friends, but you do need to tell the whole truth to your insurance agent.
When your agent knows your issues, they can explain them to the insurance carrier in the most favorable light. The truth also helps the agent recommend the carrier whose underwriting policies will be most favorable to you.
6. Do Expect 6-8 Weeks for Processing the Application
You may be impatient for the application to be approved. However, especially for senior life insurance, the carrier will most likely order medical records, which takes a while for them to get, so this makes the process take a bit longer.
7. Do Prepare for Your Medical Exam and Tests
In order to get the most affordable life insurance, you will need to take a medical exam and blood and urine tests (and maybe an EKG). Prepare for these tests so that you can get the best results.
Your independent agent will explain what to do. There are some simple steps you can take to ensure getting the best test results, and getting the best results helps your rating.
8. Don't Wait
One factor you have complete control over is when you apply. The older you are, the more expensive your life insurance will be. You know what your health issues are now...but you don't know what they will be in 6 months or a year.
If you can't get all of the insurance you would like right now, get what you can afford. Your beneficiaries will thank you.
The Bottom Line
You can get affordable life insurance for seniors, and following these do's and don'ts can only make it easier! For the best help in getting the insurance you need that is within your budget, talk with an expert in the field, an independent life insurance agent- and find one that specializes in seniors and their particular issues.