Getting Term Life Insurance When You’re Over 60

life insurance over 60Many people have life insurance policies in place by the time they reach middle age, seeing as most have their first child by this point, get married, and/or get mortgages and other things that would need to be taken care of if anything should happen to them. After all, life insurance is not really for the individual policyholder when you get down to it, but rather for their loved ones who will survive them when they die.

There are a lot of people that are getting close to retirement, or they are already retired, that assumes that they don’t need life insurance. In some cases, not having life insurance is one of the worst mistakes that you could ever make for your loved ones.

But what happens if you reach age 60 and are still in need of a life insurance policy? What if you are older? Some may be under the false impression that it is too late to get coverage at this point, but the truth is that you are still eligible in many cases.

Term Life Insurance at Different Ages

While you can typically get a term life insurance policy at age 60 and beyond (usually up to age 80), your options narrow as you get older. Let’s take a look:

  • Ages 60 through 65— Eligible for 10, 15, 20, and 25-year term periods.

  • Ages 66 through 70— Eligible for 10, 15 and 20-year term periods.

  • Ages 71 through 79— Eligible for 10-year term periods.

  • Age 80— Eligible for 10-year term period.

Now, there are exceptions to these guidelines. For example, Transamerica offers 15-year term options to people up to age 78. You should also know that longer-term options tend to be more costly than the shorter ones, so even if a longer term period is available to you it may not be the best choice financially.

The Best Companies for Term Life Insurance Over 60

Obviously, some companies are better than others when it comes to working with people of your age. We work with 30 of the top companies and have years of experience in the life insurance industry. The best companies often come down to which ones offer the best rates, so we have provided an example to give you a better idea of what to expect.

Let’s say that Beverly is a 60-year-old woman applying for a $250,000 policy for a term of 15 years. She is in great health and qualifies for Preferred Plus rates. Here are the rates she is likely to be offered from some of the best companies:

Banner Life: $54 a month

SBLI: $54 a month

Protective Life: $57 a month

Genworth Financial: $58 a month

North American Company: $58 a month

Prudential: $63 a month

Transamerica: $65 a month

Fidelity Life: $74 a month

As you can see, the quotes that you get are going to vary drastically depending on which one that you contact. It’s important that you find the perfect company for you. Banner Life tends to be the most affordable plan for older applicants, but every applicant is different and each person is going to get different rates depending on their health and pre-existing conditions. Before you decide which company is best for you, get dozens and dozens of quotes before you decide which one is best for you.

There are over 800 companies on the market, and all of them are going to offer different premiums. Instead of wasting hours and hours calling different companies, let one of our independent insurance agents do all of the work for you. We can gather all of the lowest rates and bring them directly to you. Working with one of our independent brokers will ensure that you have the most affordable insurance policy without having to spend days looking for it.

The ‘No Medical Exam’ Option

You probably already know that most life insurance companies require a medical exam as part of your application. However, this often makes the process last longer, which doesn’t help if you need an insurance policy right away. Fortunately, there are a few different options available to you if you are 60 or over and would like to get an insurance policy without getting a medical exam. Here are some companies that offer such options:

American National Life Insurance

First up is American National Life Insurance, better known as “ANICO”. Applicants for life insurance up to age 65 can apply with no medical examination for policies between $50,000 and $250,000. ANICO may choose to order your medical records instead of having an exam done, though they do not do so in every case.

Fidelity Life Insurance

Like ANICO, this insurance provider also makes senior no medical exam life insurance available to those over 60, though only until age 65. Also like ANICO, their coverage options for no medical exam life insurance go up to $250,000, though they start at $25,000. With Fidelity Life, you can also get a decision on your application in just 24 hours, whereas others can take anywhere between a week and a month.

Transamerica Life Insurance

Transamerica is different in that it provides no medical exam life insurance up to age 70, though the coverage amount is limited. People who are age 60 can apply for as much as $99,999 of no medical exam life insurance coverage, while those who are older can get anywhere between $25,000 and $50,000. You should know that Transamerica will order your medical records as part of your application in lieu of a full exam.

How Much Life Insurance Do You need?

Before you buy life insurance, you need to determine how much coverage that your loved ones will need. As an older applicant, you’re in a unique stage of life. As seniors get close to retirement, they may no longer have a mortgage or anyone that relies on their income. If that’s the case, then you can consider getting a much smaller life insurance plan.

On the other hand, even as a senior applicant, there is a chance that you still need a larger life insurance plan. There are several financial categories that you need to add up when you’re shopping for coverage.

The first thing that you should look at is your debts and final expenses. The first goal of your life insurance is to give your loved ones the money that they need to pay off your debts and other final expenses.

The next factor to consider is your salary. The second goal of your life insurance is to replace your income if something tragic were to happen to you. If you’re the main income earner in your home, and you were to pass away, your family would struggle without that stream of income anymore.

Burial Insurance Plans

Another option for life insurance is to buy a burial insurance policy. These plans are also known as final expense plans, and they are designed to give your family the money that they need to pay for your burial and funeral related expenses. These policies are much smaller, most companies only offer around $25,000 worth of coverage. For older applicants, this might be all that they need.

One of the advantages of these plans is that there is no medical exam or health questions. That means that anyone can buy one of these policies, regardless of health or any pre-existing conditions that they may have. If you’re in poor health, this might be the best choice for you.

Another benefit of these policies is that you can be approved for coverage much quicker than you can with traditional plans. In fact, with these policies you can get approved for one of these policies in a matter of minutes.

If you don’t have any major bills or expenses, then a burial insurance plan can be a great option for you, but if you still have a mortgage, then you will need to apply for a larger plan with more coverage. Not having enough life insurance is one of the worst mistakes that you could make for your family. It would leave them with a massive amount of bills and other debts.

What’s Next?

The most important thing is that you don’t wait any longer to get life insurance. Life can always throw a curve ball at you tomorrow. If you’re ready to get life insurance, contact one of our agents today.

You can start comparing rates today by filling in the quote tool on our page, but if you would like more details and/or would like to get started on an application, feel free to contact us.

You can give us a call at 888-552-6159. We look forward to getting to know you and helping you get the best term life insurance available!

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Doug Mitchell

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