Choosing the Best Life Insurance for a 50 Year Old Person

Getting the right kind of life insurance policy can always be a tricky issue. With so many options available in the market it pays to do a quick study on the various offers at your disposal before picking one that suits your profile the best.

Is too late to apply for life insurance if you are 50 years old?

It is not uncommon to see a lot of people applying for life insurance policies in their older years. There can be several reasons that can be attributed to this. One of the common causes is that people nearing fifty would like to start planning for their retirement. It pays to demarcate a portion of your income as a form of investment in buying the best life insurance policy that provides adequate coverage in time of need.

The prices of life policies increase, as you get older. This is because with age the insurance company would have to counter with possibility of facing increased number of incidents that might require them to payout to cover the expenses of their clients. Yet it has become easier today to comprehensive life insurance policies even as a 50 year old. With increased life spans, several insurance companies have come forward with attractive life products to cater to people in this particular age group. The healthier you are the better the chances of being eligible for a package that offers lower rates of premiums.

What are the available plans for best life insurance for a 50 year old?

Burial insurance

This can be a good policy if your main prerogative is to look for an insurance scheme that can look after all your funeral costs. This type of policy is particularly relevant in today’s times in view of the rising costs related to conducting burial services. On an average the costs could be any where between $5,000 to $10,000 which is a substantial sum of money for most families. Unless you have made prior arrangements, the entire costs of your funeral might have to be borne by your family. With burial insurance, the proceeds from the policy can be made to cover all costs related to conducting the funeral. The remainder of the proceeds from the policy can also be directed to your assigned beneficiaries.

Whole life insurance

This type of policy is a suitable option if you are on the lookout for an insurance scheme that would stay operational for the rest of your life. There are several insurance companies that offer the best life insurance for a 50 year old person. The rate of premiums remain fixed which means investors do not have to worry about the impact of inflation on their policy. The policy has also face value benefits which accrues over time once the policy becomes operational. However it should be noted that this type of life insurance can be an expensive affair for some. It can 5 to 10 times more expensive than standard term life insurance products.

Term life insurance

This type of insurance is suitable for people who are on the lookout for a comprehensive insurance policy for a specific length of time. The premium rates remain fixed for the entire life of the policy and are subject to change only while applying for renewals. This type of policy if one of the most affordable life insurance products available in the market and can provide substantial coverage in the form of death benefits. It should be noted that if the investor outlives the policy then he nor his beneficiaries stand to receive nothing from it.

Here is an example of term life rates for non-smokers

A $250K (for a period of 10 years) term life insurance for 50-year male in the Preferred plus category is expected to costs around $24.36 a month in the form of premiums. For a 55 year person in the same category the monthly premium may be around $39.5.

For people who have lower insurance ratings, the price of premiums will be charged a little higher.