Many people think that they cannot get affordable coverage past their 60s, but there are actually many options available. Those who are at or nearing retirement are actually one of the biggest and most important customer bases for life insurance companies.
It’s possible to get reasonable life insurance rates at 62 years old, but it requires doing a little research and comparing options for different carriers.
Just because you’re in your 60s doesn’t mean you no longer need insurance or you can’t afford a policy. This article is going to look at some of the ways you can save money and get the best policy at age 62.
In this article:
How Much Is Life Insurance for a 62 Year Old?
When it comes to life insurance costs, there are dozens of factors that impact how much you pay. Obviously, your age is one of those factors, but it’s only one of the many.
For example, the carriers are going to account for your health, any medications you use, your lifestyle, your job, gender, and much more.
Without knowing your situation, we can’t give you exact rates on how much you’ll pay. We can only give you rough ideas.
To get an idea of the kinds of coverage that are possible, here are some sample quotes for 62-year-old customers from various top carriers:
Sample Life Insurance Rates For A 62-Year-Old Male
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Sample Life Insurance Rates For A 62-Year-Old Female
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The rates above are for a 10-Year Term Life Insurance policy offering $500,000 of coverage.
Looking at this chart, you can get a basic idea of what it might cost to secure this kind of coverage at the age of 62.
All of these are for non-smoking applicants. Tobacco usage drastically changes how much life insurance costs. Smokers are going to pay a lot more for their life insurance compared to anyone else. At 62, being a smoker could cause your rates to go sky high.
If you smoke an occasional cigar, you aren’t going to automatically be slapped with those rates, but if you smoke or use chewing tobacco, go ahead and disregard the quotes above.
How to Lower Life Insurance Costs
Obviously, getting life insurance for 62-year-olds are going to be more costly than it would be for a much younger person. Here are three of the ways that you can control the amounts that you’ll spend on life insurance over the term of a given policy.
How Much Coverage Do You Really Need?
One way to control costs is to change the amount of coverage. Where the above results will provide half of $1 million in coverage, coverage amounts can go a whole lot lower.
In some cases, you might be able to get coverage as low as $50,000 to get extremely small monthly payments. It’s all about what the customer can afford — because having a smaller policy is better than being completely uncovered.
To manage this, you will need to figure out an EXACT amount. Don’t just buy life insurance on what you think you need. Do the math beforehand. You might find you can get by with a much smaller plan, like a final expenses policy.
Add up some simple numbers before you shop can save you thousands of dollars in the long run. All you have to do is see how many debts you have, add in a couple of years of your salary, and toss in burial fees.
How Long Do You Need Life Insurance Protection?
Another way is to change the term of the policy. For example, some customers just want a life insurance policy that will last until they reach a certain pension or retirement income age. With that in mind, shortening from a 20-year term to a 10-year term will get a lot of cost savings in a policy. It’s also possible to look at options like guaranteed universal coverage to figure out your industry options.
Before you buy a policy, talk to your agent about HOW long you’ll need insurance protection. You may not need insurance until the day you die. Don’t pay for longer than you need to.
No Medical Exam Policies Are More Expensive
One more strategic way to handle insurance costs is to look at both ‘exam’ and ‘no exam’ policies. The traditional life insurance policy will require a medical exam, where a nurse or other medical professional comes to your home and does a series of tests. Many of these tests measure basic vitals.
This helps the insurance company to be able to lower your risk and apply a better policy cost to you as an individual. However, it’s an uncomfortable intrusion, and a lot of people would rather get no exam policies. By choosing a policy where a medical exam is conducted, you may be able to get a lot of savings on your monthly policy premium payments.
No exam options are great for some people who don’t want to be bothered with the exam or they need coverage fast, but for everyone else, the exam is necessary. It takes longer, and it can be bothersome, but it will save you money.
Get Help Finding the Best Life Insurance at Age 62
Above all, it helps to utilize a qualified insurance broker to scan the market for you. With the above chart, you saw three different alternatives for policies from different carriers. But there is a long list of carriers that will cover elderly customers.
In fact, there are THOUSANDS of insurance carriers out there.
You don’t want to have to call all of them yourself. Just imagine all of the terrible hold music you’ll have to listen to. Instead of putting yourself through all the torture, let us do it for you.
Just because you’re in your 60s doesn’t mean you have to go without life insurance.
The older you get, the more expensive insurance coverage becomes. Getting life insurance at 62 isn’t the easiest to do, but it can be done. You don’t have to be an insurance expert to secure a policy you can afford.
To get our professional and free help, all you have to do is use the contact form or use give us a call.