Life Insurance for Seniors: Do You Need It?
Throughout your adult life, you’ve made your life insurance payments each month gladly. It was a small price to pay for the knowledge that your family would be completely taken care of in the event of your untimely death. But now that you’re retired, maybe your term life insurance policy is coming to an end and you’re wondering if researching available life insurance for seniors is worth the time and effort. Do you still need coverage at this stage of your life?
Do Loved Ones Depend on You for Support?
Do you have a spouse that relies on your part-time income? Do you have children who still live at home, or who depend on you for financial stability? If you had children late in life or support a disabled family member, the financial loss that would result from your death could still be substantial, even though you’ve now reached retiree status. If you pass unexpectedly, pension or Social Security benefits could be significantly reduced or disappear altogether, and your family needs to be able to cover basic living expenses.
Are You Paying Off Debt?
Do you still have a mortgage? Are you paying a large debt, such as a loan for a small business or college loans for your children? If you have a significant balance on any account that wouldn’t be covered by your savings or remaining benefits, life insurance is a way to ease this burden from falling on your remaining family members.
Do You Have a Fully-Funded Retirement Account?
Do you and your spouse have a hefty retirement account? If so, funds can most likely be withdrawn in order to pay for final expenses. However, if your retirement is in the form of assets, like investments and real estate, a life insurance policy would provide cash on hand. Your family can use these funds to pay for estate taxes and any other costs that might come up.
Would You Like to Leave Behind a Legacy?
Life insurance for seniors is also beneficial for retirees who want to pass on a large sum to their descendants or to a charity after their death. Instead of donating or giving away money year after year, you can use these funds to purchase a valuable life insurance policy that will pay out a significant amount after you’ve passed on. You can talk with an estate planner about how these funds will be managed and distributed.
Would you like to learn more about how life insurance for seniors makes sense for you? Get in touch with the team at My Senior Health Plan and get answers and advice for your particular situation.