Life insurance is not only for young people. As you enter your 60s, you might find that you need life insurance as much as ever. Here are some reasons why:
|You’re still working||If you and your spouse depend on your income, it’s wise to back that income up with life insurance.|
|You have a high net worth||If you have estates that may be subject to estate tax, financial advisors often recommend permanent life insurance.|
|Others depend on you financially||If you still support children or other family members, consider keeping coverage.|
|You intend to live off your cash value||Some people fund their retirement using withdrawals from the cash value of permanent life insurance.|
If you didn’t purchase life insurance in your 20s, 30s, or 40s, and are hoping to get a policy now in your 60s or 70s, you might find yourself in a tough position. Life insurance quotes increase as you age, and any health problems you’ve developed will make it more difficult to find an affordable policy.
However, there are still options if you’re interested in purchasing a policy:
- A healthy 60-year-old can qualify for $100,000 of life insurance with a 20-year term for between $38 and $52 per month.
- Consider guaranteed issue life insurance, which generally offers more expensive coverage but without the possibility of rejection.
If you bought a whole life insurance policy years ago, you can most likely continue with that coverage for the rest of your life. Whole life insurance is permanent coverage, which means you can keep it as long as you pay for it, up to a maximum age such as 95 or 120.
Term life insurance is the cheapest and best option for most life insurance buyers who need coverage for a specific financial challenge, such as covering a mortgage or providing for a loved one. For some people, permanent insurance can help them plan for retirement or leave an inheritance.
Most life insurance policies have an upper age limit for applications. Many insurers stop taking life insurance applications from shoppers who are over 75 or 80, while some have much lower age limits and a few have higher limits.
Ultimately, life insurance can be useful at any age. People over 65 who have others relying on their income or who want life insurance to cover burial expenses may benefit from coverage.
- Bankrate. Do I Need Life Insurance After 60?
- Forbes. Life Insurance Options In Your 60S And 70S
- Investopedia. Do You Need Life Insurance In Retirement?
- The Guardian Life Insurance Company of America. Best Life Insurance For 60-Year-Olds In September 2023
- Canada Life. Life Insurance For Seniors