Life insurance in later life…
rd Jan 2017 |
For life insurance in later life, most people are surprised by the value that they can get with cover terms to age 91, for people taking out new policies before age 75.
With people working and living longer, having long-term mortgages and often getting married and having children later in life, it’s important for the older generation to understand and consider the full range of life insurance products available to them.
Expensive – Whole of life over 50’s policies
If you’re over 50 and only now considering life insurance, you may be attracted to the heavily advertised, over 50’s life cover. This is a sort of whole of life insurance that’s sold on the fact that there’s guaranteed acceptance with no medical required.
However, there are several downsides to such policies, in that there is no cover in place for the first two years, the level of cover is limited and it is more expensive than other options such as regular term life insurance.
So, in effect, unless you have a serious medical condition that would mean a medical would be required and as a direct result your premium would be substantially increased, then you should understand that term life cover may be more suited to your needs and budget.
Term life insurance for over-50’s
Term life insurance is the most common type of life cover arranged by younger age groups, but if you’re aged 50 or over and in reasonably good health then you should always consider this option.
Although term products end the cover at the end of your chosen policy term, you can still cover yourself up to age 91 and you can still obtain a quote up to age 75.
Couples Life Insurance
If you’re part of a couple, arranging one rather than two individual policies is typically cheaper and more convenient.
Broadly speaking, a joint policy may be suitable if a couple has no other dependants to think about, as it only pays out once on the first death.
However, if you have dependents, or want a pay-out should both people die during the policy term then dual life cover is most appropriate. In fact, surprising there is very little difference in cost.
Although OneQuote.ie compares and discounts all 6 leading life insurers operating in Ireland, you should still bear in mind that the older you are, the higher your premiums are likely to be, so it makes sense to take out your life cover as earlier as possible, especially if when still in perfect health.
Critical illness cover for over-50s
As with term life insurance, critical illness cover, better known these days as serious Illness cover is available to those of more advanced years.
Serious Illness policies offer a payout if you’re diagnosed with a condition specifically listed in your terms and condition.
You can either opt for an integrated policy that’s sold alongside life insurance, or an independent policy that’s a stand-alone product.
Again, the older you are and the more pre-existing health issues you have, the more difficult and expensive it will be to find cover.
Getting the right cover at the right price
Like with any purchase it pays to shop around, so don’t be fooled by any company offering 1 choice of product no matter who they are.
Even if you’re an existing customer for another product, using a comparison online broker website will ALWAYS offer up a better deal!
Also, as lifestyle and health can affect the cost of your life insurance even with an online discount, keeping fit, cutting down on alcohol, and not smoking, can also play a run in minimizing the cost
Remember that we offer free, impartial advice, so for more information and to speak to a Life Insurance Advisor, simply request a call back, or by phone: 01 845 0049