6 Excellent Ways to Save on Life Insurance for the Seniors

More than 4 out of every 10 people do not have life insurance policies. And the majority of life insurance is held by those who are 45 years and older. The only problem is that life insurance becomes more expensive as people age. Though this can be discouraging, this does not mean that your age is the only variable.

Have 2 Minutes in Hand? We Offer Affordable Life Insurance Quotes in 3 Simple Steps.

Click Here to Start

Senior Couple Joy and Jumping After Savings on Life InsuranceIn fact, life insurance companies consider several different factors when determining your premium and rating. Many take note of your state of health, hobbies, lifestyle, family history as well as what line of work you’re in.

However, if you’re on a fixed income and are looking for ways to save money on policy, there are a few different ways to control the costs. Let’s take a moment to discuss six of the best ways that you, as a senior citizen, can save on life insurance.

1. Take the Medical Exam

You’ll find that many companies offer “simplified issue” and “guaranteed issue” policies. This means that they are willing to provide you coverage without your having to take a medical exam. At first glance, this may seem convenient, but what most people don’t realize is that these types of policies cost much more than “underwritten” policies no matter the state of your health. So if you want to save money, then take the time to fill out an insurance application and take the medical exam; you’ll be rewarded with lower premiums.

2. Buy in Bulk

If you want to get more bang for your buck, then you should purchase a higher face amount of life insurance. In other words, you need to buy death benefit amount. It may seem counter-intuitive, but when you buy more coverage on the front end, the “cost per thousand” dollars goes down.

For example, if you purchase one $200,000 policy, it will be cheaper per thousand dollars of coverage than if you were to buy two $100,000 policies.

3. Take Advantage Of Employment

Group Employment PlansIf you’re still working outside of the home, then you may be able to participate in group plans that your employer offers. If they don’t offer plans, then you may take the initiative to suggest that they start a program like this. If they do then find out if you will be able to maintain the policy once you have retired from the company. Group plans are almost always going to be one of the least expensive options available to you.

4. Join Organizations

Your employer isn’t the only group resource. Several organizations offer discounts for their members, and this includes life insurance policies. In fact, AARP offers programs like this. Find out if the clubs and organizations you belong to offer group plans or join a few that do so that you can participate in them.

5. Secure Whole Life Insurance

For the most part, experts usually discourage people from purchasing whole life insurance. However, if you’re a senior citizen who is need of the least expensive options, then this one can come in handy. With whole life, you may be able to structure your policy so that it builds up cash value over the course of time. In essence, this will be like purchasing a term life policy. But unlike with term life insurance, you won’t have to worry about your coverage running out after 10, 25 or 30 years. Of course, how well this approach works will depend heavily on your age as well as the condition of your health.

6. Shop Around

As with all insurance products, one of the best ways to save money is to take the time to shop around. Never make your decisions based on television commercials or flyers that come in the mail. Each life insurance company calculates risks differently so get quotes from several different companies and then compare what each can offer you for your specific budget. Also, make sure the company is financially stable by checking out its ratings with Standard & Poor’s or A.M. Best. If you happen to find that the rates are too high for the amount of coverage that you need, you should buy what you can afford right now.

Click here to Request Multiple Life Quotes and Compare Rate Online with Us!

The Takeaway:

As you can see, you don’t have to be entirely dependent on the calculations of life insurance companies. By following the steps above, you can significantly reduce your premium while still getting the amount of coverage you need. It all comes down to doing the proper research, knowing about the spec.

It's only fair to share...Pin on Pinterest0Share on Facebook0Share on Google+0Tweet about this on Twitter