If you are like most senior citizens, you’ve probably paid off the majority of your debts by the time you retire. Besides, your children are all grown up and financially independent, and you even have retirement savings. So, why should you still consider life insurance?
In this post, we take a look at one of the most recommended life insurance types for seniors named over 50s life insurance. This cover is designed for individuals aged between 50 and 80 and helps to ensure that your loved ones are protected in the event you pass away.
The following are six compelling reasons why you should take out this policy if you’re over 50.
1 Life expectancy has increased
With the advancement of medicine, people are now living longer. According to multiple studies, women’s life expectancy is 85 while that of men is 83. This is a significant improvement from the numbers in the 1950s which stood at 71 and 66 respectively.
What this means is more and more life insurance companies are now accepting applications from seniors as they’re convinced that they will live longer. Other insurers are also creating special covers to cater for the elderly who would otherwise not qualify for the mainstream life policies.
2 You have dependents
The biggest reason for taking out life insurance is to provide financial support to your loved ones if the inevitable happens. If you have people who depend on you, purchasing a policy will ensure that they’re well cared for if you pass away unexpectedly.
Most over 50s life insurance policies come in the form of life assurance; you pay regular premiums, and your family receives a payout when you pass away. Your dependents can use the lump sum payout to soften the financial blow caused by your death.
3 You want to cater for your funeral expense
Funerals can be quite an expense especially if death strikes without enough warning. Luckily, having a life insurance policy can spare your dependents from using the little inheritance you leave them to pay for your funeral expenses.
With this policy, your dependents will receive a payout upon your passing away which they can use to pay for your funeral costs.
4 You want to leave a gift for your loved ones
We are living in extremely uncertain times. For example, the current pandemic has affected everyone and led to the loss of jobs and the closure of millions of businesses worldwide. A life insurance policy will give you the much-needed peace of mind knowing that your loved ones’ financial future is secure.
This cover can serve as a gift and legacy for your loved ones when you pass away. If you’re like most aging people, knowing that your family will be well taken care of once you are gone is a significant achievement.
5 You have outstanding debts
Outstanding debts such as student loans, car loans, and mortgages can quickly drain your retirement savings. Worse still, should you pass on before clearing them, the burden falls squarely on the shoulders of your loved ones who are forced to inherit them.
Luckily, life insurance can help to pay for any outstanding debts and avoid burdening your loved ones with your expenses if the inevitable happens.
6 You want to leave a legacy
A life insurance cover allows you to identify beneficiaries for the fortune you leave behind. Naming a beneficiary gives you an opportunity to leave a noble legacy. Upon your demise, the beneficiary receives the amount you set aside for them in your policy. A beneficiary can be a person or an organization.
If you name your grandchildren as your beneficiary, they could use the proceeds to complete their studies or pay off their student loans. If you value philanthropy, the beneficiary can be a charity organization that upholds your vision.
Life insurance is structured in such a way that it allows you to provide and take care of your loved ones even when you are long gone. Everyone regardless of age is advised to take out life insurance; after all, no one can truly predict when they will pass away.
There are several policies designed for individuals in their 50s and beyond to help them leave some form of legacy or inheritance to their dependents. Taking out an over 50s life insurance policy allows you to rest easy knowing the needs of your loved ones will be taken care of after you’re gone.