You may often see advertisements for life insurance that are directed at those who are young and have young families. These ads will stress the need for covering income replacement in case a family breadwinner were to die unexpectedly. But what about those who are older? Keep reading to learn more about your options such as term life insurance with no exam required. If you are in need of affordable high risk life insurance, we can certainly help. There are other types of insurance available such as declining term life insurance. Let us answer what questions you may have before you make a decision.
For example, we don’t often see as many ads for life insurance that are geared towards those who are in their later years – but the truth is that this type of coverage can be just as important for people who are 72 as it is for those who are 32 or 42. In fact, in some cases, the amount of life insurance for people who are 72 may even need to be increased, depending on the particular needs that you are covering.
Do People Still Need Life Insurance Protection at Age 72?
There are some reasons why someone who is 72 or over can require the protection of life insurance. Just some of these may include the following:
Final / Funeral Expenses
Regardless of someone’s age, unexpected illness or accidents can happen – and when they do, there will typically be final expenses incurred. These are the costs that are associated with a person’s funeral, burial, and memorial service – and they can include items such as a burial plot, casket, and headstone, as well as flowers, transportation, and the memorial service itself.
Today, when added all together, these costs can be in the range of $10,000 – and sometimes even more. It can be difficult for a spouse or other family members to come up with this amount from savings or other sources. Therefore, what many people tend to do is purchase life insurance to pay these bills.
Having life insurance to pay your final expenses can relieve your loved ones and provide them with the peace of mind in knowing that these costs are taken care of. For someone who is in their 70s, this can be especially important, as it can mean that retirement assets of the surviving spouse will not have to be depleted.
Replacement of Retirement Income for Spouse or Partner
If you are 72 or older, then it is also possible that you may be retired, and you are living on one or several retirement income streams. If you are married, and one of you passes away, is it possible that one or more of those income streams will be reduced – or even eliminated altogether?
If so, this could impact your or your spouse’s lifestyle significantly. With that in mind, it is important for someone – even those who are 72 or over – to consider having life insurance. This is because the proceeds from a life insurance policy could be used to replace the reduced or lost retirement income stream so that living expenses can continue.
Payoff of Mortgage and / or Other Debt
Life insurance for those who are 72 or older can also be used to pay off a mortgage and / or other large debts. In the past, many people who were at retirement age would typically have most – or all – of their large debts paid off.
Today, however, because people are living so much longer, it is not uncommon to see people who are in their 60s and 70s still purchasing homes, cars, and other large ticket items – many of which entail taking on high amounts of debt.
In order to keep your spouse, significant other, and / or other loved ones from going into financial hardship because of these debts, the proceeds from a life insurance policy can allow your loved ones to pay off these debts and move on.
Payment of Estate Taxes
While not everyone will be in a position of paying estate taxes, these are a concern for many. So, if you are in your 70s and estate taxes are a concern, life insurance is one of the best solutions for paying this tax liability.
Unfortunately, estate taxes can eat away at more than 50 percent of many people’s hard-earned estates – leaving loved ones with much less than they had hoped for. With careful planning, you can use life insurance to pay your tax liability, and at the same time, ensure that those you care about inherit their rightful assets.
At age 72, there are many individuals who may also have a favorite charity. Life insurance can provide you with a way to greatly enhance the amount that you can donate. By making a charity the beneficiary of your life insurance policy, you can provide them with a substantial – and tax-free – benefit for literally pennies on the dollar.
Types of Life Insurance Coverage Available When You Are 72 and Over
People who are 72 have several types of life insurance coverage that are available. These include both term and permanent. Term life insurance provides death benefit coverage only, without any cash value build up.
As its name suggests, term life insurance offers coverage for a certain length of time – or “term” – such as 10, 15, or 20 years. While younger applicants may be able to even extend coverage out to 30 (or more) years, those who are 72 and older may be limited to shorter durations, depending on the insurance carrier.
For this reason, it is always best to shop and compare several policies and insurance carriers before making your purchase decision. Going through an independent life insurance specialist that has access to numerous carriers is typically the best and most convenient way to go about doing this.
Those who are 72 and over may also consider going with a permanent life insurance policy. This type of coverage will provide death benefit protection, as well as cash value. A permanent insurance policy will not have a time limit on the coverage like term insurance does. Therefore, as long as the premium continues to be paid, this form of coverage will go on.
The cash value in a permanent life insurance policy is allowed to grow tax-deferred. This means that there are no taxes due on the growth of these funds unless or until the time they are withdrawn.
How Much Does Life Insurance for People Who Are 72 and Over Cost?
When comparing the cost of life insurance, there are many different criteria that will factor into what your policy will cost. For example, even when comparing the cost of coverage for someone who is age 72, there can be variables that can change the premium price, such as:
- The type of coverage (i.e., term versus permanent)
- The face amount of the policy
- The gender of the insured
- The length of the insurance (if it is a term insurance policy)
- Smoking status of the insured
- Overall health history
- Insurance company that the policy is purchased from
What If You Don’t Qualify?
In some cases, an individual may not be able to qualify for a policy due to various health issues such as someone who has epilepsy and is searching for life insurance. In these situations, there are other options that may be available to you. For example, a no medical exam policy does not require that a medical examination be taken as a part of the underwriting process. Because of that, many people – even with certain types of health issues – may still be able to qualify. Do you have a health condition such as lupus and want to know if you can qualify for life insurance with lupus? We can answer your questions and help you in finding the coverage you deserve.
How to Get the Best Rates on Life Insurance for People Who are 72?
If you are 72 and seeking the best rates on a life insurance policy, there are many options that are available to you. One way to find the best rates on a life insurance policy is to work with a company or an agency that has access to more than just one life insurance carrier. That way, you can directly compare the policies, benefits, and the premium quotes – and from there, you can determine which will be the best for you.
When you are ready to move forward, we can help. We work with many of the top life insurers in the marketplace today, and we can assist you with obtaining all of the details that you require for making an informed purchase decision. We can do so for you quickly and conveniently – and without the need to meet in person with a life insurance agent. All you need to do is to just simply use the form on the side of this page.
We know that finding life insurance when you are 72 or older may seem to be somewhat challenging. But, the good news is that you do have many available alternatives. So, contact us today – we’re here to help.