by Indians are well-known worldwide for their strong family values. We never let go of our children and continue to be responsible for their well-being even as we grow older. However, in the midst of this, one’s future and financial stability may be jeopardized. In one of the researches, 35% of people who are in their fifties have no plans for retirement. 32% of parents don’t have life insurance. The lack of planning for retirement is a concerning statistic. However, it is never too late to plan for the future. Even at the age of 60, you can purchase a term insurance policy to protect yourself and your loved ones. You can accomplish this with the help of term insurance and by using a term insurance premium calculator to know how much the premium you will be paying as per your age. The reason why so many people in their 60s prefer term insurance is due to the fact it is one of the most affordable and basic types of life insurance. And yes, contrary to popular opinion, you can still get term insurance coverage after you turn 60. Although some may feel that term insurance is not practical after the big six, rest assured senior individuals can easily benefit from such plans.
Why one must think about getting term insurance for senior citizens?
Helps supplement income: Those who cannot afford to retire at the age of 60 continue to work long after the traditional retirement age. In the case that the breadwinners are absent, the family’s financial situation may be vulnerable. Thus, if you you see yourself needing to work after the age of 60, it is necessary to establish a solid contingency plan to compensate for a lack of income during your absence.
Support your dependents: If a senior person passes and leaves behind a non-working spouse and dependent children, they will face financial hardship. Life insurance for elderly people ensures that the family has enough money to live independently. How much sum assured you should leave behind depends upon your affordability and the same can be calculated using the term insurance premium calculator
.
Pay off your debts and liabilities: Let’s be honest, debt is not an ideal inheritance to give to your family. If you have a term insurance plan, your family may use the death sum assured to repay any outstanding obligations you have had. They can also be used to cover funeral fees and other costs associated with a family death.
Factors to Consider Before Investing in Term Insurance Plans for Seniors
It is easy to obtain senior citizen term insurance; nevertheless, there are a few factors to consider while selecting the best senior citizen term insurance plan in India.
Select the appropriate cover: When acquiring a term insurance policy, one of the most common mistakes we make is not selecting adequate coverage. The most important responsibility, however, is to select the appropriate amount of coverage, which should always be done with prudence. Always examine your age, income, career, medical history, number of dependents, and normal monthly expenses. Then, choose a term plan that can account for all of these possibilities. You should also use a term insurance premium calculator to know the premium you will be paying.
Choose an adequate duration of the term insurance plan: The next important choice is determining the tenure of the insurance plan you have bought. Again, acquiring a term insurance plan at a young age is generally recommended if you want better insurance coverage at a lower cost. Not only it help you with getting the term plan at a reasonable premium but also helps you get the plan for the long tenure as well, allowing you and your family to establish a more secure financial bubble in their senior years. However, when you reach your senior years, the option for choosing the desirable tenure becomes limited and hence, you should consult with your insurance advisor regarding the same. Â
Never Withhold any information: To get the most from your term insurance plan, you should never withhold important information from your policy provider. Furthermore, ensure that your family members do not face any issues in claiming the money after your death.
By informing the insurance company of any risk factors, such as history of heavy drinking or smoking, as well as any potential serious illnesses, you may ensure that your term insurance claims will never be denied.
Add the necessary relevant riders: The ability to select appropriate riders is an optional feature of a term insurance plan that provides you with additional coverage. These riders may provide additional benefits in addition to the benefits offered by traditional life insurance coverage.
Select the appropriate insurance company: Another important factor to consider before purchasing a term insurance plan is choosing the correct insurance provider. It is critical to consider the insurance provider’s experience, client testimonials, claim settlement ratio, and financial stability.
The amount of premium grows with age. As a result, the premium for a senior citizen’s term plan will be more than that of a younger individual. However, the benefits clearly outweigh the cost.
The maximum age for purchasing a term plan is normally 60, however this varies from plan to plan. Nowadays, there are plans specifically designed for senior citizens.
Many insurers require you to take medical tests. However, for some, medical history is sufficient.
Purchasing term insurance for senior citizens has become considerably easier with the online method. You may compare policies online and decide which is best for you. Once the decision has been made, you can apply and pay the premium as well.
So at last,
Term insurance is the best type of life insurance for your family’s financial stability in the future, and it may help them achieve all of their financial goals even after you pass away. A Senior Citizen Term Policy is designed to provide comprehensive coverage while taking into account their needs for post-retirement protection and much more.
