What to Look for in Life Insurance Over 65
As you near retirement age, it’s important to evaluate your life insurance benefits. The need for updating your life insurance at age 65 or over can be important. After all, needs change as you grow older – from your health to your home to your retirement funds. What you looked for in a policy when choosing life insurance at age 50 is different than what you might need at age 65. While choosing or changing coverage can be costly later in life, consider these important notes about your benefits.
Duration of Policy and Duration of Benefits
The duration of your policy and your benefits is always a key factor to look at when choosing your coverage. There are a few options!
Healthy individuals up to age 70 can typically get a life insurance policy for up to 20 years. Known as a term life insurance policy, this is a great option for many.
If you are thinking about purchasing a term life policy, consider your health and family history. Because the term is 20 years, a healthy individual may face the risk of outliving this policy’s coverage.
A second option is to choose a permanent policy. You can either select it when you turn 65, or you may be able to convert your term life policy to a permanent policy. If you already have a term life policy, call your agent and ask about your options!
A permanent policy – like universal or whole life insurance – is a type of coverage that builds cash value over time. These types of coverage could deliver the benefits to your loved ones or the cash value could serve as additional income for you at a later date. While choosing a whole life insurance policy at age 65 may have higher premiums, it would eliminate the risk of outliving your policy.
Peace of mind vs. cost
It’s true that life insurance premiums get more expensive as you age. But, what price can you put on peace of mind? Term and whole life insurance benefits can provide for your loved ones long after you’ve passed.
Additionally, a permanent life insurance policy provides cash value that grows over time, helping to diversify your investment portfolio. This policy would remain stable even if something happened to other investments. Plus, you and your loved ones would have the cash value to fall back on!
Additional coverage needs
You may already have a life insurance policy. But do you know if it is enough? Life insurance policies can cover things like mortgage payments, medical bills and final expenses. Things that might burden your loved ones in the event of your death could be made much easier with the right type of coverage.
While it’s ideal to secure life insurance coverage earlier in life, choosing a plan at, or over the age of, 65 can still make financial sense. You just need to know what to look for given your unique life insurance needs so that you choose the right benefits.
This insurance features a Graded Death Benefit.
During the first two years, if you die from natural causes (any cause other than accidental), your beneficiaries will receive all premiums paid, plus 10%. After two years, the full benefit is paid for death due to all causes. For accidental death – independent of sickness and all other causes – full benefits are paid from the first day your policy is issued. (All benefits will be paid less any outstanding policy loan.)
PLEASE NOTE WHAT IS NOT COVERED: The death benefit will not be paid if the insured’s death results from suicide, while sane or insane, within the first two years from the date the policy is issued (one year in ND).All premium payments, however, would be returned.
United of Omaha Life Insurance Company is licensed nationwide except in New York. United of Omaha Life Insurance Company is solely responsible for its contractual obligations. United of Omaha Life Insurance Company, 3300 Mutual of Omaha Plaza, Omaha, NE 68175.
Policy Form ICC15L647A (T110LCA15A in CA; T111LCT15A in CT; T112LDC15A in DC; T114LKS15A REV 0416 in KS; ICC15L653A in ME; T115LMN15A in MN; T113LFL15A in FL; T118LMT15A in MT; T119LNC15A in NC; T120LOK15A in OK; T121LVA15A in VA; T122LVT15A in VT; T109LNA15A in DE, SD and ND
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