Senior life insurance policy
None wants to live his last life as a burden to his children. Senior life insurance policy is especially designed for elders. The best premium rates are offered to seniors by the insurance companies, who pass a health exam, while many companies offer insurance with no exam required. These policies are popularly known as Guaranteed Acceptance Life Insurance. These plans will pay a full death benefit in case of accidental death as soon as the policy comes into effect. However, the policy will pay a limited death benefit if the policy holder dies of natural causes during the first two years of the making of the policy. The partial death benefit usually consists of the premiums paid plus interest. Once the two-year waiting period is over, the policy holder gets fully insured.
There are many life insurance plans for seniors:
Term Life Insurance for seniors: It has been seen that some elderly persons with fixed incomes, do not look for a life insurance, which will give him an investment opportunity. Their primary look out is decreasing the burden of their death on their survivors. For them, term life insurance policy is best.
Whole Life Insurance for seniors: With the advent of improved medication, diet and healthcare, seniors are actually enjoying a better life expectancy. With this, there is always a risk of outliving your term life insurance policy. A whole life insurance will cover the elders for their whole lives. The best feature of this plan is that it has a fixed premium. But even if it offers a fixed premium for the entire life, whole life premiums are higher than term life premiums.
Single-pay Insurance policy for seniors: If the policy holder has accumulated more than enough wealth and is planning not to use it for living expenses, he may consider single-pay insurance policy. This plan allows him to leverage his money for his heirs. With this plan, a $100,000 policy, paid for with a single premium can turn double or even triple in value overnight. The death benefit can also be structured to be paid tax-free.
