As it is with the decision to purchase life insurance at any age, you need to question your motivations. Why do you need Life Insurance? What is the goal? Perhaps you and the spouse just bought a new house, started a business or even had a late child.
Perhaps you’ve just turned 90, and you’re scared that you may pass away soon.
Well, this scares most insurers, as well. Because of this, the older we get, the longer we wait, the more expensive it will be. For the very old, life insurance may simply prove unaffordable, and barely worth it. The truth of the matter is that even in perfect health, at a certain age (commonly around 65 - 90, depending on the insurer) no insurance company will approve your cover. You can try our quoting engine to compare life insurance quotes online.
You’ll simply be too high a risk to insure.
Of course, it’s this very fear; of dying suddenly and having nothing to leave behind, that motivates us to purchase this type of cover when we’re younger. It’s a safety net for all those just-in-case moments.
So, why do you need life insurance?
This is the most crucial question of all, and the answer will not only motivate your decision to get the right insurance policy, at the right time, but will also determine the type and amount of cover you require. There’s no need to look for R20 million in cover if you only require R1 million, for example.
We buy life insurance to prevent the financial detriment of our loved ones, our dependents or our businesses when we pass away. We need to purchase things for the right reasons, at an age when they can serve us best, and we need to be sure of those reasons. Life insurance for a 90-year old with no dependents, and with sufficient savings to cover everything it needs to cover, for example, would not serve that person nearly as well as it would a first-time 20-something parent.
Of course, different insurers offer different policies, and some of these are far kinder on our seniors. Pensioners with a fixed income may also enjoy a fixed premium – meaning no yearly increases. Niche insurers may even specialize in these types of insurance, providing smaller cover at far more reasonable prices. Always be sure to do thorough research. If you’re unsure of how much cover you might require, or if you’re unsure of any insurance terms, limitations, exclusions, or anything else, speak to a good broker about it until you’re entirely comfortable.