Those who are at or nearing retirement are actually one of the biggest and most important customer bases for a life insurance company. Many people think that they cannot get affordable coverage past their 50s, but there are actually many options available to policyholders in their 60s.
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. An insurance broker can help someone who is in their 60s to take stock of the situation and see what carriers are offering across the industry.
Just because you’re in your 60s doesn’t mean you no longer need insurance or you can’t afford a policy. There are plenty of affordable options and choices, regardless of your age. This article is going to look at some of the ways you can save money and get the best policy for your age.
A Few Sample Quotes
When it comes to life insurance costs, there are dozens of factors which are going to 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 we found for 62-year-old customers, from various top carriers:
coverage for a 62-year-old male, at a 10-year term, for $500,000
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coverage for a 62-year-old female, at a 10-year term, for $500,000
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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.
Managing 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 a life insurance over the term of a given policy.
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 in the $50,000 range, 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 years of your salary, and toss in burial fees.
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.
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 irksome, but it will save you money.
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 are a long list of carriers that will cover elderly customers. That’s why it pays to get an insurance broker to find all of those options for you.
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 the 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.
Keep checking this blog for the best ideas on using a professional broker to get the coverage you need, at the prices you can pay.
If you’re just looking to buy a very small policy to cover end-of-life needs and burial costs, check out our post on companies who specialize in final expense.
The most important tip we give to all of our customers is – don’t wait! Waiting is one of the worst things you can do.
Call us today for a quote at 1-888-552-6159.