If you are a senior looking for burial insurance or as it is sometimes called final expense insurance, your best value would be Guaranteed Universal Life Insurance (GUL). GUL has a guaranteed death benefit like whole life insurance, but the premium is inexpensive like term life insurance.
Financially Stable Insurance Company
When choosing a company to buy your GUL policy from there are a few things you should consider. A financial stable insurance company is required, when it comes time to pay out the policy you want to know that the company you chose is still in business.
Flexible Age Requirements For Burial Insurance
Search for companies that have a forgiving latest age. Many companies will write a GUL up to the age of 85 as long as you agree to a medical exam. But taking an medical exam for a senior who may have health conditions may lead to denied coverage. There are some insurance companies that offer life insurance at 80 with no exam GUL.
Like term life, a GUL will expire at a certain date. Insurers will write a policy through age 90 to age 121. There are policies that last to age 95 and cost less than one until age 120, but it might be worth paying the extra to ensure you are covered.
Size of the Policy
Seniors should look for a senior life insurance policy that fits your budget and your death benefit needs. These can vary, if you are looking for funds for funeral expenses you may only wish for a policy around $20,000. Someone planning to set up an inheritance for beneficiaries, may have a life insurance policy worth hundreds of thousands of dollars. Keep in mind the larger the policy, the larger the premium.
Only consider a provider that offers GUL insurance with guaranteed level premiums. This means the price of your premium will stay the same for the life of the policy. This is so important because some companies offer great prices upfront, but keep hiking the rates each year.
Health complications for seniors can be common, but there is something called “living benefit” riders that is quite important add-on. This add-on can pay for medical bills, medical treatments, assisted living costs. Usually these costs could be quite extensive for family members. An accelerated death benefit rider, gives the most generous living benefit.
However these payments are usually deducted from the death benefit policy, and will deplete the final amount. Most would agree a smaller death benefit is preferable to large medical bill.