Many seniors without burial insurance are usually stressed that they haven’t made arrangements to have their funeral expenses paid in advance.
In fact, most of them are concerned that they will leave a debt to their surviving loved ones instead of a legacy. When you make arrangements to take care of your funeral costs in advance, you are showing how much you truly love your family and friends.
Here, we’ll discuss getting affordable burial insurance for seniors over 70 and show you that you can find affordable coverage.
How Does Burial Insurance for Seniors over 70 Work?
Burial insurance is actually no different than traditional life insurance except the policy is typically designated to pay for your burial and funeral and other final expenses you might leave behind. A burial insurance policy is typically whole life insurance with a death benefit that is sufficient to cover your final expenses. Since these plans are built on whole life insurance, there are certain guarantees and benefits that will be provided in your policy:
- Life Insurance for a Lifetime – A whole life insurance policy cannot be canceled for any reason other than non-payment. Knowing this, you can have peace of mind that the policy will pay the benefit to your beneficiary when they need it.
- Level Premium that will not Change – Your whole life burial insurance policy premium remains the same for the life of the policy. Even if you become terminally ill or have to live in a hospice facility, your insurance company cannot increase your monthly payment.
- You’ll earn Interest on Your Cash Value – As your cash value grows over time, it will also earn a minimum interest rate from the insurance company. You can access these funds for any reason via a policy loan or withdrawal. It’s important to note that although you take a policy loan, the company is not using your cash value so the balance will continue to grow and earn interest.
With your policy having the ability to accumulate cash over time, your policy becomes an asset that you can access any time for any reason.
But What about My Health Issues?
This is a very good question. Since life insurance rates are based on your age, health, and the death benefit of the policy, your health issues could have a major impact on your insurance rates. There is good news, however. Since the insurance carriers that offer burial insurance for seniors understand that most seniors have health issues, their underwriting guidelines are relaxed to accommodate their applicants.
In fact, most insurers offer several different types of life insurance plans so that they can accommodate seniors over 70. If they cannot issue a level benefit policy (full death benefit from first-day of coverage), they will have one or two other plans that are more liberal so every applicant has the ability to buy affordable burial insurance for seniors over 70.
What Burial Insurance Plans are Available to Me?
If you watch any television it’s likely that you’ve seen ads for burial insurance for seniors with guaranteed acceptance. These plans certainly provide a resolution for many applicants but they should always be considered burial insurance of last resort.
Actually, most insurers offer three types of burial insurance for seniors over 70. Each one is designed for a particular applicant in mind and takes into consideration the applicant’s health issues.
- Level Benefit Burial Insurance for Seniors over 70 – The level benefit plan should always be your first choice because there are no waiting periods which means your beneficiary will be entitled to a level death benefit and provides coverage from the first day the policy is issued.
- Graded Benefit Burial Insurance for Seniors over 70 – The graded benefit plan was designed for seniors who do not qualify for the level benefit plan. It is a little more expensive and there is typically a waiting period before the full death benefit can be paid for a death resulting from natural causes.
Guaranteed Issue or Guaranteed Acceptance Plan – This plan was designed for seniors over 70 who have severe medical issues or multiple issues that prevent them from qualifying for the level benefit plan or graded benefit plans. With this plan, the rates are much higher and there is typically a waiting period of two or three years before the company will pay the full death benefit if death is the result of natural causes.
What’s the Rate Difference between Level Benefit and Guaranteed Acceptance?
Since there is a significant difference between level benefit burial insurance and guaranteed acceptance life insurance, we are providing the actual rates for you to decide which plan is most appropriate.
Here are the actual quotes for a level benefit burial insurance policy for seniors and a guaranteed acceptance burial policy for seniors. This is a $10,000 policy for a male and female non-smoker:
|Male – Level Benefit
|Male – Guaranteed Acceptance
|Female – Level Benefit
Female – Guaranteed Acceptance
As you will notice, there is a significant difference in the rates between level benefit coverage and guaranteed acceptance coverage. This is all the more reason why applicants should consider guaranteed acceptance life insurance as a last resort. For an accurate quote for your actual age, please use our instant rate quoter on the right of this page.