How Much Does Life Insurance Cost For Seniors?

Senior Life Insurance is generally referred to as “final expense insurance” or “burial insurance”.  These types of senior life insurance plans usually offer a limited amount of life insurance with no health exam required, but there may be some health questions for you to answer. Rates are lower for lower limits of coverage, and rates will vary based on the age you buy your senior life insurance policy.

Seniors are not restricted to getting burial life insurance policies. Seniors may be able to purchase any amount of medically underwritten life insurance coverage for which they qualify financially and based on their health.

Senior Life Insurance will not be as low priced as life insurance for younger persons, because rates for life insurance are based in part on your life expectancy, how long you are expected to live. That means, the longer you wait to buy your life insurance, the higher the rate for your policy.

However, shopping with a number of life insurance carriers you can find the most affordable senior life insurance available. Here’s how you can compare senior life insurance rates and plans online among several of the leading life insurance carriers.

What Are Some Questions To Ask When Purchasing Life Insurance?

Here are some questions to ask when purchasing a life insurance policy:

1) What is the rating of the company?

The financial strength rating issued by A.M. Best Company is an indication of the insurance company’s ability to meet their financial obligations.

2) How long is the premium guaranteed not to go up?

Term life provides guaranteed rates for up to 30 years, while whole life insurance has guaranteed level rates for the lifetime of the policy.

3) Will the death benefit stay the same for the entire length of the policy?

Some plans may have a decreasing amount of life insurance over time, while other plans may increase the amount of coverage after the first 2 or 3 years.

4) If the policy is permanent, ask for an illustration to show projected future cash values and guarantees of the policy.

5) If term life insurance, ask what options you have at the end of the term (and is it convertible before the end of the term). About what will that cost?

This means, will you have the option to convert your term life policy into a permanent life insurance plan, and what will that cost. Also, can you renew your term life policy for another term when the current policy ends, and what will the new rate be at that time?

6) Is there a waiting period (graded period)?

Will you have full life insurance coverage from the first day you are insured, or will there be graded coverage the first 2 or 3 years. Some policies do not provide full coverage until you have been insured for at least 2 or 3 years.

Here is a checklist for buying life insurance to help you with purchasing your life insurance policy.

Is Term Life Insurance Renewable?

Yes, term life insurance policies are renewable. You may however need to purchase the rider for relabel coverage.

With renewable term life insurance the insured person has the option to renew the term life insurance policy when the current term of the policy ends. So, if you have a 10 year term life plan, you could renew the policy for another term at the end of the 10 years.

Your renewal premium will be based on your age at the time of renewal. However, you are not required to take a physical exam with renewable term life insurance, and your health is not a factor in determining your renewal rate for your renewable term life insurance policy.

Learn more about how renewable term life insurance plans work.

What Blood Test Is Done For Life Insurance?

A Life Insurance Blood Test evaluates the risk you pose to the life insurance company based on your mortality, how long you are expected to live, which is measured in part with a blood analysis to determine if you have any health problems.

There are many areas measured, including your Glucose, Fructosamine Glycated Albumin (AGP), Blood Urea Nitrogen (BUN), Alkaline Phosphatase, Total Bilirubin, SGOT (AST), SGPT (ALT), Gamma Glutamyl transferase (GGT)Total Protein (Albumin and Globulin.)

The insurance company blood test will check for high cholesterol, diabetes, STD’s, tobacco, nicotine, continine, use of legal and illegal drugs, HIV/AIDS, alcohol levels in your blood, protein levels, etc.

In addition, there are plans that may offer term life insurance no blood tests which offer up to $350,000 of life insurance protection with no medical exam and no testing of your blood or urine.

Can You Get Life Insurance If You Are Ill?

Whether or not you can get life insurance if you are ill may depend on the insurance company underwriting guidelines for acceptance, your age, your health, and if you can afford the life insurance.

Many life insurance companies will not offer life insurance to people who have a health problem.

However, some insurers may offer a limited amount of life insurance at a high premium, and the full coverage amount will not take affect until you have been insured for at least two years – this is considered graded benefit life insurance.

So, if you are alive after two years, your full coverage will be in place, depending on the life insurance contract.

Some insurers offer guaranteed acceptance life insurance with no medical exam required. You can get an instant quote and apply online for your life insurance policy.

However, it may be cheaper to just invest the money you would have paid for your life insurance, depending on how long you may live. That way, you may end up with more money saved that would help pay for your final expenses, than the amount of life insurance you would have been able to purchase with that money.

Who Can Get Life Insurance?

Usually, in order to buy life insurance you may have to be at least 18 years old. I believe this is what is required in order to sign a legally binding contract, which is what life insurance is – a contract between the insurance company and the owner of the life insurance policy.

Also, in order to buy life insurance on another person, you will need the insured’s consent/approval, signature on the application, and the insured person may need to answer some health questions, and/or take a paramed examination.

In order to buy life insurance on another person you must have an insurable interest in that person, which means you stand to lose financially if the person dies, or you rely on the person for some means of financial support.

Here is a buying life insurance policy checklist to help you get affordable life insurance protection.

What Is Decreasing Term Life Insurance?

Decreasing Term Life Insurance is term life insurance coverage in which the face amount of life insurance protection decreases over time.

Mortgage life insurance operates on that principle, since the life insurance face amount decreases each year as the remaining outstanding mortgage amount goes down.

Most Term Life Insurance sold today is “Level” Term Life Insurance where the death benefit amount stays the same each year for the entire duration of the policy term.

With decreasing term life the life insurance coverage declines each year, while the premium paid remains level. Learn more about decreasing term life insurance coverage.

How much does life insurance cost for a 40 year old?

The cost of your life insurance policy may vary buy insurance company and type of life insurance plan you buy.

In addition, life insurance premiums will vary depending on a number of personal risk factors, such as gender,  family health history, your own health, occupation, hobbies, lifestyle, driving record, credit history, height-to-weight ratio, if you smoke, etc.

The insurance company consider the type and amount of life insurance, and your risk factors to determine your rate. Your risk factors and physical exam results will help the insurance company to determine your life expectancy – how long you are expected to live. This information will be used to develop the rate you will be charged for the particular type of life insurance and amount of coverage you need.

The healthier you are, the lower your rate for life insurance.

The lower the amount of life insurance you need, the lower your rate.

Also, term life insurance costs a lot less than permanent life insurance because it is temporary, providing coverage for up to 30 years, usually.

Here’s how you can compare instant life insurance rates online from over 70 highly-rated life insurance companies with no obligation.

Who Should Buy Term Life Insurance?

Term life insurance is for people that are looking for higher dollar amounts of life insurance coverage at a lower cost.

In addition, if you have a short term need for life insurance for a period of 30 years or less, then term life may be a good option.

Whole life insurance can be much more costly for the same amount of life insurance protection.

Normally it is suggested that most people carry a combination of term and whole life insurance coverages. The term life is affordable for maximum coverage at lower rates for a shorter period of time, up to 30 years. While the permanent life insurance can provide lifetime coverage for your funeral and final expenses.

Term life insurance provides the maximum amount of life insurance for the lowest cost, for a period of up to 30 years. Learn more about how term life insurance coverage works.

Who Can Take Out A Life Insurance Policy?

The first requirement for buying life insurance is the owner must be 18 or older as a life insurance policy is a contract and currently that is first requirement for a contract to be enforceable.

After that just about anybody can take out a life insurance policy on themselves or others provided they can show an insurable interest in the other person.

Also, in order to get life insurance you, or the person you want to insure, may have to qualify medically under the underwriting rules of the issuing life insurance carrier.

Some life insurance policies incorporate full medical underwriting while others follow a limited or short form underwriting process. Some life insurance plans require no medical exam or medical questions, but usually charge more and offer a limited amount of life insurance.

Most life insurance policies require you to be a US citizen but there are insurance carriers and insurance products if you are a legal resident of the US.

A parent can take out a life insurance policy for a child’s benefit, usually when the child is 2 weeks old.  The parent buys the life insurance to provide guaranteed insurability for the child and/or to provide a vehicle to accumulate money for the child’s future.  When the child is 18 or older, the parent can change ownership of the life insurance policy from the parent to the child.

The maximum age that I have seen to take out a life insurance policy is 90 years old.

Here’s how you may be able to buy life insurance online today, if you qualify.