What are the best types of senior life insurance

Au contraire to popular belief, life insurance is not restricted to younger people with hordes of responsibilities. Regardless of an individual's age the loss of income due to the death of an earning member can prove detrimental for the financial wellbeing of a family,. So even if you are well in your 60's and if you don't currently have life coverage you should seriously consider getting a senior life insurance policy.

There are several benefits associated with getting a senior life insurance policy. The death benefit out can be used to cover the cost of burial and to repay any outstanding debts. Also, there are senior life insurance policies that have an inbuilt savings component that can be borrowed against.

Normally people between the ages of 55 to 75 can purchase a senior life insurance policy. There is a wide range of choices available for senior life coverage as well and these include:

• Single-pay
• Term Life
• Whole Life and
• Guaranteed Acceptance

Single-Pay: This type of coverage is more appropriate for seniors who have accumulated a sizeable amount of savings and can afford to make a one off payment. As the name suggests, this type of coverage only requires a single premium payment. A single pay policy is a type of coverage that is specifically designed for seniors. One of the major benefits of single-pay coverage is that the value of the investments can grow rapidly in a short amount of time. Also the policy can be set up in a way to ensure that the beneficiaries can avail tax free pay outs.

Term Life Insurance: If you are on a fixed income and would like to provide financial security for your family as opposed to an investment option, a term life insurance policy maybe the ideal choice for you. A term life insurance policy covers you for a specified period and it can be renewed after expiry depending on your age.

Whole Life Insurance: As opposed to term life insurance coverage, a whole life insurance policy does not have a specified term and it goes on for your entire life. Also this type of policy has an inbuilt investment component. Given the fact that life expectancy is significantly higher today than it was in the past this can be a tension free way of ensuring protection for your family without worrying about the expiration of the policy.

Guaranteed Acceptance: When a senior opts for a guaranteed acceptance life insurance policy, there will be no need for a medical examination. However if you opt for this type of senior life insurance coverage the death benefits may be limited if death occurs within a few years of policy purchase. The beneficiaries will receive full benefits in case of death after the initial waiting period. In case of death due to accident the full death benefits are paid to the heirs regardless of the waiting period.