Death is not the end, not by a long shot. You can fully expect the inevitability of our mortality to visit us all, but we can also trust that our memory and legacy will go and on in those that survive. This is why many seniors over the 85 mark have decided to seek a method of insurance to provide for their family when they are gone.
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Just because this was not started many years ago, is no reason to wait another day before taking full advantage of the life insurance for seniors over 85 years.
Table of Content
- Do You Need Life Insurance for 85 and Older?
- How Affordable is an Insurance Policy for Seniors Over 85?
- Should You Go for A Guaranteed Policy?
- How to Calculate Life Insurance Face Value at 85?
- Suitable Life Insurance Options for Over 85:
- When to Decide on a Suitable Life Insurance?
- Get Multiple Quotes Online and Compare the Rate with Us:
Do You Need Life Insurance for 85 and Older?
After you die, burial expenses can cost an arm and a leg. Appendages that you can’t supply after your demise and a bill that will be submitted to your surviving family. Certainly, an expense of this magnitude is not something you would hope for your family after you have passed.
But the problem is compounded by your age, a life insurance policy costs a significant investment and depending on others for livelihood makes this expense difficult to address. So how can you gather the resources for final expense, insurance premiums and taxes? The only way to do this is with an affordable insurance policy for seniors over 85.
How Affordable is an Insurance Policy for Seniors Over 85?
The life insurance options you will find for people over 85 years from most providers can seem a bit steep especially in today’s markets. But don’t you worry, you are not left with no alternatives. While it is more difficult to find an affordable premium plan, there are some options open to you.
Is there any limitation?
You may expect some limitations to the coverage provided if you are in poor health. Those over 85 commonly present some minor health concerns ranging from the not so serious like amnesia or arthritis to more serious condition including diabetes and high-cholesterol.
There is also a possibility that you had to undergo surgery within the past few years, which would not be surprising at all.
What the insurers look at?
Insurers are always looking for those people in good health and at a young enough age to present a thick profit margin before they offer affordable premiums. There are many times people with a drinking or smoking habit will be considered higher risk and offered higher premiums as well.
This is because people like this are prone to more sickness than those that live healthier lives. These conditions are likely to arise in the near future. These point are very important and can have a negative effect on the rates for some people.
Should You Go for A Guaranteed Policy?
You will find many providers offering a guaranteed acceptance and grant policies to those over 85 years old, it is a good idea to grab these options while you can. These feature a super fast underwriting process that won’t require paper work or many of the other formalities that are usually applied to this process. Many times you can be completely insured by the following day.
Many of these provider will ask some questions about your current health conditions but nothing scathing or obtrusive like a full medical examination.
The catch to this option is that you will have to pay a higher premium one that is typically much higher than the average. These medical examinations are important to the provider’s profits and waving them means they are shouldering a substantial risk, this warrant the considerably higher premium.
How to Calculate Life Insurance Face Value at 85?
When you are trying to figure out what you will receive in terms of face value for the policy, the face value is the amount of the death benefit provided.
Typically the face value can be transferred free of taxes because the premiums you were paying over the past years were taxable. With this in mind let’s look over a few important considerations you will need when calculating the face value of a policy for someone over 85.
This is important:
Whatever the fixed dollar amount is that you find listed on the policy, remember that the face value will be the amount the beneficiary will receive after the policyholder has passed away.
However the face value of the insurance policy can be supplemented by various other benefits that can make an advantageous addition to the primary coverage. This means that the face values can actually be different than what you find in the cash payout.
To fully understand the total benefit that will be paid you, you will want to look for the schedule of benefits listed in the policy itself. This includes riders that can increase the overall benefits of the policy should the policyholder pass away due to specific causes.
For instance, if the policy were to pass away from an accident caused by fire hazards the benefits of the policy are instantly doubled.
So, if an individual over 85 were to die of a particular type of accident the policy can be doubled due to the rarity of the situation.
Then there are several other events that can alter the face value of the policy, for example if the cash value increases so much that the face value must also increase. Another point is that loans that are left unpaid can also be deducted from a face value.
Furthermore, a slightly reduced amount of the face value can be paid to the insured if they suffer an accident. This of course reduce s the face value of the policy until that amount is paid back.
Suitable Life Insurance Options for Over 85:
If you are looking into a life insurance policy for elderly over the age of 85, you will have two options in the market – term life insurance and permanent life insurance. While there are other options, it is quite likely that one of these will be the best for you. You may find that term life insurance is best for you at least for the next 10 to 15 years, although you can never guess when you will go.
Then there is permanent life insurance also called whole life insurance. This policy types begins on the day it is purchased and runs its course until the day the policyholder dies. While this option can be considerably more pricey than the alternative, it also has specific advantages.
Compare multiple quotes for seniors over 85 years in order to enjoy the best rate in the market.
At 85, you are probably looking for a policy which covers the final expense at a minimum. Today the funeral cost is quite high averaging $10,000 in the USA. Due to the probable gradual increase in funeral cost over the next years, you will need much more than this. So, for those who are 85 years old, you are already late in taking the right decision. But as long as there are plans available in the market, you should not feel disheartened.
When to Decide on a Suitable Life Insurance?
Getting the best prices for your policy is not the long a horrendous comparing process we loathed in the past. With the advent of the internet all these prices and comparisons can be done online.
You won’t even need to be an expert to access and use the user friendly interface available on many websites.
Get Multiple Quotes Online and Compare the Rate with Us:
Life insurance quotes are completely free and non-obligated if you apply from us. You need life insurance not only for financial protection, but it provides a lot of mental satisfaction to you as well. Remember that life insurance for seniors over 85 has limited choices. But upon proper research in the right direction, you can find a decent one.