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5 reasons to take out over 50 life insurance [UK guide]

Once you reach your 50s, you may start to consider protecting your assets and planning for the future. Life insurance is a great way to provide you with reassuring peace of mind that loved ones will be financially protected when you are no longer around. 

Over 50s life insurance (or an over 50s plan) is a policy that you are guaranteed to be accepted for, as well as it potentially being a cheaper alternative to other senior policy options if you have less than favourable health. 

In this article written by the UK’s largest life insurance broker, the top 5 reasons you should take out an over 50s policy are revealed… 

1) No medical information required

Typically, when you are applying for a life insurance policy, you are asked about your personal and family medical history, this information is used by insurers to help them calculate your premium costs. 

However, when applying for an over 50s life insurance policy, you are only asked about:

  • Your age
  • Your smoking status
  • Your chosen sum assured (cover amount)

Meaning if you had a pre-existing health condition, this would not affect the cost of your life insurance. 

However, if you wanted to secure any other protection products (e.g. income protection/critical illness cover) you may have to answer further lifestyle and medical questions.

2) Cover lasts for life 

Many life insurance policies will have a specified term, meaning it will end at a certain point (decided by you or by a maximum term length – for example, 40 years). 

With over 50 life insurance, your policy will last for the rest of your life (unless you cancel it). As a result, it is actually a form of life assurance (as a pay out is assured).

When you pass away, loved ones will receive a guaranteed pay out to use to help cover finances such as: 

  • Funeral costs
  • A small inheritance 
  • Any remaining financial debts
  • A charitable donation 

Over 50s plans are well known for their fast pay out, usually within a few days or weeks after a valid claim, so loved ones won’t have to wait too long to receive the funds. 

The only time you will not be covered is during the waiting period (sometimes referred to as the qualifying period). The policy will not pay out the full sum assured if you pass away during the waiting period (the first 12 or 24 months depending on the insurer). 

However, most policies do offer an accidental death benefit if you pass away as a result of an accident during this time. 

3) Guaranteed acceptance 

Regardless of your personal circumstances or whether you have been declined before, with an over 50 plans you will have a guaranteed acceptance as long as you fit into the required age bracket. 

You must be between the ages of 50 – 80 or 85 (depending on the insurer) to be accepted. 

Many people find this a suitable life insurance policy option if you have previously been declined or have found premiums to be unaffordable due to being seen as high risk by an insurer (by health/ lifestyle). This is because premiums are not calculated by these factors. 

As well as this, you will have peace of mind knowing that no matter what, you will have secured a policy that meets your needs, and you don’t have to worry about being declined or unattainable premium prices. 

4) Premiums are affordable

Due to not factoring in things like your health, premiums for over 50 life insurance can be more affordable for those with health complications.

Different insurers offer different starting prices. Premium costs will increase due to your smoking status, age and sum assured. 

For example, here are some leading insurers and their starting costs: 

Insurer Starting prices for an over 50 policy
SunlifeStarting from £3.70
AvivaStarting from £5 
AIGStarting from £5 
One Family Starting from £10

(Pricing taken from each insurers website directly)

You can amend the cover amount to suit your needs and budget, but the maximum limit is usually around £20,000.

5) Premiums can stop at a specified age

As over 50s life insurance lasts for the rest of your life, some insurers offer for you to stop paying premiums when you hit a certain age to avoid you overpaying. 

Below are some examples of the age insurers have allocated for when you can stop paying your premiums: 

InsurerAge when your premium payments stop 
One Family 90
Post office95
Sunlife88 (if you choose cover with pay stop)
Legal & General 90

Or, in some cases, insurers will cease premium payments after a certain period of time. For example, many insurers offer for premiums to be paid for 30 years or until your 90th birthday, whichever comes first. 

How to secure an over 50s life insurance policy 

Many insurers offer different benefits and premium costs, the right one for you will depend on what you are looking for in an over 50s policy. 

Some insurers also offer gift incentives and individual benefits personal to the company (for example, Aviva offer their Aviva Digicare+ app). 

Most importantly, you should make sure to compare quotes to find your best deal as prices can vary wildly. You can do this by:

  • Comparison sites 
  • Directly through the insurer 
  • A life insurance broker 
  • Your own personal research 

By taking time to investigate what options are available, you can find a policy that suits you and your loved one’s futures. UK residents can compare over 50 life insurance completely free of charge at Reassured.co.uk.

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