What is the best life insurance for over 60s?
When it comes to life insurance for over 60 year olds, there are several options available to you.
Choosing the best over 60 life insurance policy will depend on your own personal situation and individual requirements. The amount of life cover required and over what period will also dictate which type of policy best suits your needs.
The following information explains the three different types of life insurance over 60 or 70 year olds may want to consider, typical costs and how you go about choosing the best plan for your needs.
What is over 60 life insurance?
Over 60 life insurance pays out a cash sum to your beneficiaries when you die. Typically they are whole of life policies, which means you are covered for life, however term insurance is also available to the over 60s too.
Is it worth getting life insurance at 60?
There are many reasons why over 60s life cover might be worth considering. You may want to help with funeral costs or pay off outstanding debts or bills, removing the financial worry from your family. Alternatively the money could be left as a gift for loved ones, to use how they want.
Life insurance does get more expensive the older we get, however that shouldn’t put you off. It just means comparing quotes and choosing the right type of cover is all the more important.
What are my options?
The life cover options available to the over 60s include over 50 life insurance, regular whole of life insurance and term insurance.
Over 50s life cover – although it is called a guaranteed over 50 plan, this type of life cover is available to 50, 60 and 70 year olds alike. You are covered for life and as there are no medical or health questions to answer. Your acceptance is guaranteed regardless of any health concerns you may have.
Whole of life cover – this type of insurance covers you for life. The application process is longer and includes health and lifestyle questions, so there is a chance you could be refused cover.
However, the cash sum paid out when you die is generally bigger compared to the over 50 plan, so it may be worth considering. Afterall, if your application isn’t accepted, there’s always the guaranteed plan to fall back on.
Term life cover – this type of policy covers you for an agreed number of years. Once the plan reaches the end of its term, the cover ends. Therefore, term insurance may be more suitable for those with dependents, who want to provide protection for a set period of time.
How much does life insurance cost for a 60 year old?
The cost of over 60s life cover will depend on your age, the type of policy you choose and how long you want it for. Whole of life insurance is typically more expensive than term insurance, as cover lasts for the whole of your life and guarantees a cash sum pay-out (subject to terms & conditions).
Your health and lifestyle also affects the cost of term and regular whole of life cover. However, as the over 50 plan has no medical questions, the state of your health has no impact on the price you pay.
The over 60 life insurance calculator
Whichever option you choose, it is worth using an online life insurance calculator to see how much cover you can get for your money. Simply by adding a few details, an over 60 life insurance calculator can provide you with a free personal quote in minutes.
What are Martin Lewis’ view on over 60 life insurance?
Money saving expert Martin Lewis thinks over 60 life insurance is a good idea as long as you have a genuine need for it, it’s the right type of life insurance and the right price.
However, Mr Lewis is not the greatest fan of over 50 life insurance, mainly due to the fact that depending on how long you live, there is a chance you could pay more in than the cash sum paid out. Having said that he does acknowledge that these plans could be a good idea for those with health issues.
Martin Lewis’ main piece of advice when it comes to over 60 life insurance though is to do your homework and compare to ensure you get the best plan that suits your needs.
Ready to compare over 60 life insurance quotes?
Comparing over 60 life insurance quotes is quick, easy and free to do. Just use the following links to get started: