Senior Term Life Insurance

We all know that buying life insurance in old age is more expensive than buying it at a very young age. In an effort to offer affordable insurance to meet the life insurance needs of older policyholders, some companies are now offering guaranteed underwriting life insurance.

Guaranteed acceptance Life insurance rates are cheaper than traditional term life insurance policies. As the name implies, you are guaranteed to be accepted for this life insurance policy. There are no health questionnaires to fill out and no physical exams to take. As long as you pay the premium, the policies cannot be cancelled. In addition, you can lock in your premium rate for the desired policy amount. Your rates will not change as long as you are insured.

Where’s the catch you may be wondering. Well, the policy is written for a limited period of time. For example, Colonial Penn’s policy is for a limited benefit period of two years. They are available to people between the ages of 50 and 85 (this age range varies depending on the insurance company and state regulations).

In general, in the event of death during the first years, a reduced benefit is paid or the company can reimburse the premiums paid plus interest. For example, with a Gerber Life policy, if the death from natural causes occurs within the first two years (during the limited benefit period), the beneficiary will receive all premiums paid plus 10%. However, if the death is the result of an accident or if the death by natural causes occurs after two years, your beneficiary will receive the full amount of the benefit. In case of suicide (with certain state exclusions), the beneficiary will receive only the amount of premiums paid.

Most life insurance companies offer guaranteed underwriting life insurance for seniors. There may be differences from state to state, but the basic premise is the same. They all offer an affordable insurance option for senior citizens.

See also  Information on Colonial Penn Life Insurance Company and guaranteed underwriting term life insurance