What You Need to Know About Elder Health and Life Insurance

If you or a loved one are getting older and don't have the right insurance, you need to start considering the coverage you need. While it is more difficult to get affordable insurance as a senior, it is still possible. You simply need to know what you're looking for.

Seniors looking for insurance also need to be careful when approaching brokers. There are many excellent brokers, but some are more than willing to take advantage of vulnerable populations.

Armed with the right information, you should be able to get the right insurance without falling prey to predator brokers.

Elder Life Insurance

Let's start with life insurance. Many people assume that elder life insurance is not an option. The rationale is that insurers are unwilling to take on the high risk of insuring an older life. When they do, it will be at a high cost.

This is partly true. Many insurers will only provide term life insurance quotes to people aged 75 or younger. Considering the general purpose of term life insurance, this makes sense. It is generally taken out by people with young families who would miss their income if they died. Most seniors do not need or want term life insurance.

Some seniors do have younger families. They either had children at an older age, have grandchildren they care for, or have adult children who can't take care of themselves. It is ideal to get term insurance as early as possible, as term life insurance in your sixties or seventies will be very expensive.

However, there is another type of life insurance many seniors consider, even after the age of 75. Whole life insurance does not come with a fixed term. You pay for it until you die, and the sum for which you are insured grows. It is a kind of investment that will provide for your family when you die, whether they rely on your income or not.

Elder Health Insurance

While getting life insurance becomes more difficult when you pass the age of 65, getting health insurance becomes easier. This is because you now qualify for Medicare. Medicare is the government-sponsored program that provides health insurance for millions of seniors and people with disabilities. Several Medicare plans available provide various levels of care that are more accessible and affordable than private health care.

Is Private Insurance a Good Option? 

You do not have to get Medicare when you are older than 65. There are private insurance plans that may better suit your preferences. However, in most cases, you will save money without losing benefits by choosing Medicare.

There is an instance in which private insurance usually works out to be the better option. This is for people with dependents. Medicare will only cover people over 65 or with disabilities. You cannot add dependents to your plan at a lower cost.

On the other hand, private insurance allows you to add dependents to your plan. If you still have a younger spouse or children to take care of, private insurance may be your best option.

People still working for employers after age 65 may also be required to stay on the private plan their employer pays for. That said, most employers will make the most cost-effective decision for them, and in some cases, that will be Medicare. Small companies are more likely to be able to put you on a Medicare plan than companies with many employees.

Life insurance and health insurance are extremely important topics for older people. While not everyone needs life insurance, health insurance gets more important the older you get.