What Is The Most Appropriate Life Insurance Policy For Old People?

 Life insurance can be a good investment for seniors, especially if they have dependents. Carrying life coverage is the best way to secure your loved ones financially. At your death, the company will pay a death benefit to your name beneficiaries. The money can be used to pay for your funeral expenses, college education for your children or grandchildren, mortgage rates and many other expenses!

1335181510-Low-Cost-Term-Life-Insurance.jpg-300x200When it comes to choosing life insurance for seniors, there are many things which you should consider. Here are three of the most advantageous policies a retired person can buy:

1.       Universal life insurance

Universal life insurance provides an investment component which can help supplement your retirement income. By investing the money you pay as premiums into index bonds, the policy builds cash value over time. The main advantage of universal life insurance is its flexibility. As long as the minimum expenses are covered, you are free to decide how much money to pay as premiums. If the cash value has grown big enough, the policy’s cost will be covered through the extra investments, which means that you get free life coverage!

2.       Term Life Insurance

Term life insurance is a flexible and affordable policy which works great in any situation. It is simple and efficient, with a single disadvantage: it expires. However, when it comes to life insurance for seniors, this can also be a good thing. Most people do not need coverage up until they die, but only temporary. Also, since many term life insurance plans can cover you up to 30 years, you may not be able to outlive your policy. Term life insurance is very cheap and this counts a lot, because your age can make premiums expensive!

3.       Return of premiums life insurance

Return of premiums life insurance (ROP) is a temporary policy which pays back the money paid in premiums at the end of the term. This feature can be very useful if you outlive your temporary coverage as you will not lose the money paid as premiums. However, ROP is more expensive than term life insurance and because of inflation, the invested amount will not be of the same value as the returned premiums!

Seniors need life insurance to cover their funeral expenses and provide a better future for their families! Visit our website for quotes and more information!