There are two types of life insurance for seniors over 80 depending upon the amount requested and the health of the proposed insured. Final expense policies only require answers to health questions, while larger amounts are fully underwritten. Many final expense policies ask different questions so an independent agent can help you find the policy best suited to you.
When shopping for life insurance for yourself or if you're a younger family member looking for someone else there are things you need to know to make sure you receive the best value for your premium dollars. Did you know the cost of the average funeral today is over $7,000. Life insurance can take away the worry about what will happen when you or your loved one passes away. Here's how!
What's the purpose of the coverage? Will it cover the cost of a funeral? Will you leave behind any debts? Do you want to leave a lump sum to any family members? These are some things you will have to decide to determine the amount of insurance you will want to buy.
When you think about getting life insurance for seniors over age 80 you can only consider permanent life insurance as term insurance is no longer available at that age! You want a policy that will last for your lifetime, so that's a good thing!
There are a few different types of permanent insurance available. Here we will give you an overview so you understand the basic differences in the policies and the cost.
1. Simplified Issue Whole Life is often called Final Expense or Burial Insurance.
This type of insurance is a whole life insurance policy. It lasts for your lifetime. There is no medical exam needed. The face amount and the premium remain the same for the life of the policy. You can purchase as little as $2,000 of coverage. Most companies offer a maximum of $25,000 to $40,000 of coverage. If you want more insurance than what is available at one company, you would need to purchase policies from another company(s).
For more information see our Final Expense Life Insurance Page.
2. Universal Life Insurance has many different policy types.
This kind of coverage has face amounts that start at $25,000 and go up from there. For senior or final expense purposes we usually recommend a Guaranteed Premium Universal Life policy. As the title states, the premium will remain the same for the life of the policy and the face amount will too. When structured so that there is no cash accumulation, this is most often the best priced type of coverage you can buy. This is a fully underwritten policy, meaning you will have to take a medical exam and doctor records will be .
For more information see our Universal Life Insurance page.
3. Guaranteed Issue Life Insurance is coverage you can purchase that has no medical requirements. Every application is accepted. There is no coverage for death from medical reasons for the first two years, although accidental death is covered during that time. Generally your premiums are returned with interest if the insured dies in the first two years. These policies are available up to and including age 85.
Learn more about Guaranteed Issue Life Insurance on our Final Expense Life Insurance page.
Let's first discuss the relative costs of life insurance for seniors over 80 and then we will discuss the requirements.
The specific cost for your policy will be determined by the type of policy, the face amount and your age and your rating.
What if you can't afford as much insurance as you want to get? We will help you find the company that will give you the best value for your situation. We suggest you get the insurance that you can afford. If you ask any beneficiary, they will tell you that some insurance is better than no insurance at all! The plan is to protect your family and/or pay for your final expenses. It's easy to see that having even a little insurance will be helpful.
What are the requirements for life insurance for seniors over 80?
Rather than saying you want a certain type of insurance, we suggest you talk to an independent life insurance agent, especially one who specializes in seniors. The process seems straight forward, but you will do best with an agent because:
There are some decisions to be made when you are ready to get life insurance. How much to buy? Can I afford it? (If not, how much can I get for the amount I can afford?) Which policy type is best for me? Which company is best for me? You don't have to do this all alone. Talk with your agent because they are your best resource.
Use your agent to your advantage. Let them use their knowledge and expertise to help you get the most affordable life insurance you can buy. If you have an idea of how much coverage you would like to purchase, your agent can steer you to the best options for your situation. Give you and your family peace of mind knowing that your final expenses are well taken care of.