How life insurance can benefit seniors

Contrary to popular belief, seniors can also benefit from life insurance.

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It is widely believed that life insurance is beneficial to a large number of American adults.

Whether young and single, older and married, or somewhere in the middle with kids, the benefits of life insurance are diverse and important. It’s even more beneficial if you own a home, are in debt, or expect to have large expenses in the future.

However, these benefits vary widely and are often specific to an individual policyholder’s personal financial situation and long-term goals.

One group that is often not thought of as benefiting from life insurance coverage is this senior citizens. Due to the sometimes high price of a (minimum) policy in old age, life insurance is not worthwhile.

But like all the other groups mentioned above, seniors can also benefit from life insurance. It may not be for the same reasons as other demographics.

If you are considering life insurance as a senior, get a free quote online first so you know exactly what to expect.

How life insurance can benefit seniors

The benefits of senior life insurance are often specific to each individual. However, here are three benefits that are universally applicable:

It can leave a nest egg to the beneficiaries

If you are a senior with little to no savings to pass on or have a home to leave your family, life insurance may be able to help. For a relatively low monthly cost (premiums vary by age and medical condition) you can potentially get a policy for tens of thousands of dollars. That could then be left to you beneficiaries in the event of your death.

Granted, a $20,000-$30,000 policy might not sound like much, especially when the payouts are up to and including the past $1,000,000. But it’s still better than nothing, and if it can be locked in at a low price, it’s probably worth pursuing.

Answer a few simple questions online now to get a free estimate.

It can cover end-of-life costs

A death in the family is difficult to cope with. But the financial strain caused by end-of-life expenses like wakes, funerals, and burials compound the problem.

Fortunately, for many seniors, conservative life insurance is available at a level that can cover these costs. Given that coverage is minimal compared to more robust, comprehensive policies, the premium attached to such a policy can potentially be affordable.

Know what you can afford, and then see if you can get coverage for that amount. It might not be a multi-million dollar policy, but you don’t need that for this kind of spending anyway.

It can help reduce debt

What will your financial situation look like after you die? If your loved ones have significant outstanding debts, you may want to consider purchasing life insurance to help make those payments.

Life insurance can be used for almost anything. So if you get a plan now and pay off the debt before you die, you can always cancel the plan — or keep it and let your beneficiaries use it for something else.

But what if you have significant debt with no clear repayment date? It can be wise to get a policy now so they know they aren’t stuck with costly payments.

Now compare tariffs and providers using the table below.

The final result

Life insurance for seniors is often considered expensive and not worthwhile. But as shown above, depending on your personal circumstances and goals, a policy can be both inexpensive and valuable.

Do the math, review your options, and speak to a life insurance provider to see if it makes sense for you.