Over 50 Life Insurance

Most people tend to put off getting a life insurance when they are younger. They are much more concerned on building a career or business, providing for their family and acquiring assets to prepare for their family’s future. As we grow older, we come to realize that we will soon leave our loved ones and we want to find a way to ensure that they will be able to cope financially even after we’re gone. This is when a lot of us would start to consider getting a life insurance. However, if you started out late, the premium for a standard life insurance can be very expensive and some insurance companies provide coverage only until age 65. Good thing a few insurance companies now offer Over 50 Life Insurance. Here is some information about it:

What is Over 50 Life Insurance?

It is a life insurance designed for people who are over 50 years old. The policy pays out a lump sum to your beneficiaries in the event of death. This amount is tax-free however, once paid to your estate, it will be subject to inheritance tax as mandated by law.

How long do I need to pay the premiums?

You have the option to choose between a capped or uncapped policy. A capped policy will only require you to pay the monthly premium until the total amount paid reaches your chosen coverage. For the uncapped policy, you need to pay the premiums as long as you live.

Does the premium I pay have a cash-in value?

No. You cannot get your money back should you wish to cancel your policy or if you won’t be able to pay your monthly premiums. This policy pays only in the event of death. Some insurance companies provide a “cooling-off period” wherein you can cancel your policy and get your money back, normally within 30 days from the date you took out the policy.

What if I have pre-existing medical conditions, can I still be covered?

Yes. Anyone who is between 50-80 years old is guaranteed acceptance. Medical check is not required.

What are the things that I need to consider?

First, you need to consider your affordability. Will you be able to pay the premium regularly? Second, you must also consider the inflation rate. Depending on the economic trend, your money’s buying power may be reduced by the time your estate receives the cash lump sum. It is important to think about this before you choose the level of cover that you want to take out.

Who are most likely to benefit from Over 50 Life Insurance?

The Over 50 Life Insurance is recommended for those who have a poor medical history since anybody who is 50 and above can be insured regardless of his health condition. People who have dependents and have outstanding debt to pay off should also consider taking this policy to ensure that their loved ones are not left penniless when they are gone.

All of us want only the best for our loved ones. We want to provide them a comfortable lifestyle not only while we are alive and can provide for them, but most importantly when we are gone. The Over 50 Life Insurance policy is the easiest and cheapest protection you can get. The lump sum amount that your beneficiaries will receive can be a great help to them.