Over 50s life insurance

What is over 50s life insurance?

Like other types of life cover, over 50s life insurance helps protect the people who matter most when you're no longer around to look after them yourself. Choose the level of cover you require and the policy will pay out upon the holder's death, provided all monthly premiums have been met. This money can be used however your estate sees fit.

Who needs over 50s life insurance?

Over 50s life insurance is generally geared towards anyone over the age of 50 who wants to make sure their loved ones are protected financially in the event of their unexpected death. The cash lump sum payout could cover funeral costs or help meet mortgage repayments and household bills. It provides a financial cushion for family members who may struggle without a breadwinner's salary. Over 50s life insurance could also be used to help leave a financial legacy for children or grandchildren.

When should I start thinking about an over 50s life insurance policy?

The simple answer, if you're aged 50 or above, as soon as possible. Unlike some things in life, these insurance premiums generally don't improve with age as insurers deem older demographics a higher risk. Their reasoning is that there's more chance of a claim being made from this age group than, for example, among thirty-somethings. Over 50s life insurance can have fixed premiums, however, so you won't have to worry about the policy getting pricier with every birthday.

Where should I get over 50s life insurance from?

Choosing your provider will depend on what level of cover you're after and the little extras that the insurer may offer to save you money. We've already looked at the expedience of fixed premiums so you won't pay more with age. However, it's also worth thinking about how underlying health problems could affect your premium too. Some providers offer guaranteed acceptance, so you won't have to fill in any lengthy medical questionnaires or be forced to pay more each month because of a past or current illness/injury. In some instances, an over 50s life insurance provider may also waive the first premium payment, giving the policyholder a month for free. A final consideration is whether you're after single or joint cover. It's often possible to receive a discount if you arrange over 50s life insurance for your partner at the same time.

How can I find out more information about over 50s life insurance?

With so much choice of over 50s life insurance policies and providers, getting impartial advice to inform your decision is invaluable. The Money Advice Service is a good place to start. It offers free and unbiased information on both over 50s life insurance cover and cost. Set up by the government, you can access their tips and tools on their website, by phone, in printed guides or by visiting an adviser in person (they have a network throughout the UK).

Meanwhile, Which? reviews insurance products and services so you can make informed decisions about policies and providers before buying. As well as the website, they publish books and magazines and offer a Which? Money Helpline for unbiased assistance from their experts.