Over 50 life insurance

Over 50 plans offer life insurance with no medical information required.

The guaranteed acceptance for 50-85-year-olds means even those suffering with their health can still obtain life cover. Even if they have been declined elsewhere.

The lack of medical information required also makes the over 50 application quick and simple.

The cost of over 50s life insurance through Reassured ranges from £5 - £75.

How much you pay for your cover will be based on:

• Age
• Sum assured
• Smoking status (with some policies)

Your age will also determine how much cover you can secure. The maximum pay out amount is £20,000 for policies arranged through Reassured.

Whether or not an over 50s plan is cost-effective is likely to depend largely on your age and health.

Generally speaking, over 50 life insurance is more expensive than other policy types with a comparable sum assured.

This is because insurers calculate the cost of your premiums based on the likelihood of a claim.

Due to the lack of medical information, it is impossible for insurers to assess this risk accurately. As a result, the risk is offset by hiked premiums.

This may benefit you if you are older or in poor health, as declaring your well-being could increase traditional life insurance premiums to such an extent it becomes unaffordable.

In contrast, those at the opposite end of the scale may be paying inflated over 50s premiums when they could be benefiting from their good health and younger age.

The table below shows how much cover you could secure at each age, with an over 50s plan, for a premium price of £20 per month. Quotes are based on a non-smoker:

Whilst acceptance for an over 50s plan is guaranteed, insurers mitigate their risk by implementing a waiting period.

This is a set period of time at the beginning of the policy where, if you die of natural causes, a pay out is not issued.

The waiting (or qualifying) period varies between insurers but is usually 12 or 24 months.

If you pass away within this period, due to natural occurrences, any premiums paid will be refunded.

In some instances, life insurers will also offer a token pay out, (e.g. 50% of premiums paid).

During this waiting period, most policies include full accidental death protection.

This means, if you were to die from an accident or unforeseen circumstances, a full pay out will be made.

Their over 50s plans are available to those aged 50 - 80 and loved ones will be guaranteed a pay out after your passing.

The maximum sum assured you can secure with One Family is £20,000 (through one single policy or through multiple policies).

The maximum premium price you can secure is £75.

Unlike many other providers, One Family also include terminal illness cover with their over 50s plans. This will allow you to make an early claim if you’re diagnosed with a life-threatening illness and predicted to pass away within 12 months.

One Family life insurance quotes can be compared through Reassured. Why not get in touch to use our award-winning broker service?

Over 50 life insurance is commonly taken out to help pay for a funeral.

Choosing between over 50 life insurance or a funeral plan will depend on what you are looking to cover.

For example, if you’d like to leave behind a cash sum for your loved ones to spend how they wish: for your funeral, future living costs, a nest egg etc, then an over 50s plan would be more suitable.

Or, if you want to ensure that your funeral costs are paid for in advance and that your send-off will be carried out according to your wishes, then a funeral plan may be the best option.

The cost will also influence the type of cover you choose.

Comparing quotes for over 50 life insurance and a funeral plan will help you discover which offers the cheapest monthly premium for you.

This table shows the key differences between both these options:

Secure a funeral plan through Reassured beginning from as little as £19.18^{^} a month.

Like an over 50s plan, whole of life insurance is a form of life assurance.

This means that cover lasts for life and your loved ones are guaranteed a pay out.

The key difference between whole of life and over 50s, however, is the medical information required at the point of application.

Unlike an over 50s plan, whole of life insurance takes into account all of your medical information.

Therefore, those in poor health could end up paying significantly higher premiums if they were to take out a whole of life policy.

Whereas, younger and healthier applicants are likely to benefit from lower premiums as risk can be accurately assessed.

Another thing to consider when choosing between these two policy types is the amount of cover you’re looking to obtain.

Whole of life insurance can provide a much larger sum assured (up to £1,000,000). However, due to cover lasting for life, premiums for a large sum assured can be expensive.

Especially if paying these premiums for the rest of your life.

Generally speaking, the sum assured available with an over 50s is often capped at around £20,000 (although this can vary between providers).

If you are looking for a significant amount of cover, an over 50s plan may not be suitable.

With both policy types, it is possible to pay more into your policy than the sum assured, depending on how long you live.

However, some over 50s plans come with an age at which you cease making premium payments, (although your cover continues for life).

This is often the policy anniversary after your 90th birthday or 30 years after the start of the policy.

The table below shows a cover amount comparison between a whole of life insurance policy and an over 50s plan. Quotes are based on a premium of £35 for a non-smoker:

Many insurers offer over 50 life insurance with free gifts as an incentive to take out cover.

Often this takes the form of a £50, £75 or even £100 Amazon/M&S voucher.

However, the value of a free gift versus the premiums paid over the term of the policy is insignificant.

Whilst a free gift is nice in the short-term, the most important thing long-term is to secure the right policy, at the best price.

Like traditional life insurance, it is possible to have multiple over 50 life insurance policies.

The sum assured for over 50s plans tends to be much smaller than term-based or whole of life policies.

As a result, you may require multiple policies to ensure you have enough coverage to meet your needs.

Insurers tend to have an upper limit which they will cover you for, whether this is from one or multiple policies.

For example, One Family will allow you to take out a maximum of £20,000 as one policy or across multiple policies.

Therefore, if you are looking to exceed this amount, you may have to take out policies with different insurers.

As previously mentioned, over 50s plans tend to be more expensive than standard cover.

So, when considering taking out more than one policy, establish whether this is a cost-effective option.

Many over 50s plans now come with the chance to select a funeral benefit option.

It is very common for the proceeds from over 50 life insurance to be used to fund your funeral.

Therefore, you can choose for the policy pay out to go directly to a funeral director.

The particular funeral director is usually specified by the insurer with whom you arrange your plan.

The funeral director will then work with your loved ones to plan your ceremony.

If you choose this option, it is important to read the terms and conditions associated with your particular plan.

Usually, if the sum assured is not sufficient to cover the cost of your funeral, the balance will be requested from your loved ones, whilst any excess is gifted back to them.

This option is also likely to result in some form of a discount from the funeral director, such as 10% off or a gifted bonus.

If it is purely your funeral you are looking to cover, you may find it more beneficial to take out a prepaid funeral plan.

Writing your life insurance in trust does not have to be complicated.

It simply involves filling in an application form, provided to you by the insurer.

At Reassured we are able to offer a free trust service on the majority of the policies we arrange, where our trained staff can guide you through the process.

We offer step-by-step guidance, ensuring your form is filled in accurately and fulfilling your wishes.

When the day comes, accepting the loss of a loved one is never easy.

Your loved ones will need to contact your provider to let them know of the death.

It’s likely they’ll be asked to complete a claims form, which should be sent back to the insurer, along with a copy of the death certificate.

Over 50s plans are renowned for a fast pay out, alleviating the financial stress on your family at an already difficult time.

For policies purchased through Reassured, we’ll do everything possible to offer our utmost support to your loved ones at this time.

A simple call to Reassured and we’ll answer any questions they may have and provide guidance throughout the claims process.