When you’re older, it’s important to ensure your family is taken care of in the event of your death. But you can spend a little money on life insurance. There are several ways to save money while still getting the coverage you need.
Here are some tips for buying affordable life insurance seniors need:
➥ Consider term life insurance
Term life insurance is one of the most affordable forms of coverage for seniors. It’s also more flexible than your whole life because you can change or cancel your policy at any time. You will be asked to choose how much coverage you need and how long that coverage will last—this is called the term length, and it determines how much money gets paid out in the event of death.
If you have a 20-year-old child who is still in college, you may need ten years’ worth of coverage—or less! Conversely, if your spouse has many years left to live (and no health problems), then perhaps 20 years’ worth of protection would be more appropriate for them.
As per Ethos professionals, “When you’re shopping for life insurance quotes over the age of 50, you’ll probably find that term is more affordable.”
➥ Choose a low-risk lifestyle
If you are healthy, you can save money. This means that if you don’t smoke, exercise regularly, and maintain a healthy weight, then you can reduce your risk of heart disease and other illnesses, and you may get better coverage for less money than someone with a family history of cancer or heart disease.
➥ Pay annually instead of monthly
Insurance companies often offer a discount if you pay your insurance premium annually instead of monthly. So it’s not unusual for seniors to look for ways to save money, especially when it comes to paying for insurance policies that can be expensive.
If you have difficulty keeping track of your finances and budgeting every month, consider this option. Make sure you stay caught up on your payments because the penalty fee will be higher since the policy was originally meant to be paid annually.
➥ Look for red flags
You may find yourself in the fortunate position of being able to apply for life insurance without any red flags. But if you have a serious health condition or chronic illness, you should get a second opinion before applying.
Even if you do get approved, there are still ways to save money on your policy. For example, you can ask your doctor to fill out an “underwriting medical exam form” that will give more details about your condition and allow insurers more time to review it before making any decisions about coverage.
➥ Bundle your policies
If you already have life insurance, it’s a good idea to bundle your policies together. Bundling multiple policies into one will get you a discount on the overall cost, so if you need more than one policy, this is worth considering.
There are many ways to buy life insurance for seniors. The key is to find the right policy at a reasonable price, which can be tricky. But if you follow these tips, you’ll be in good shape to find affordable coverage that will protect your family and allow them to enjoy your legacy.