Benefits of Over 50s Life Insurance for Your Parents
Discussing life insurance and funeral plans with a parent is never an easy task. However, when your parents have reached a certain age, it’s incredibly important that you know what your parents would like for their funeral and whether they have a life insurance policy in place.
Perhaps your parents have come to you to ask advice about over 50s life insurance. They know that they would like to have cover, but with so many different types of policies available, they need your advice on which cover to choose.
So, first of all, is an over 50s life insurance cover a good idea?
This type of cover has a number of benefits. The most prudent of these is that the sum of money paid out at the end, can cover funeral costs as well as any outstanding bills that your parents might have. Even better, this policy type offers guaranteed acceptance, therefore your parents will qualify regardless of their lifestyle or health. Also, the lump sum at the event of their death is guaranteed. This sum, as well as helping with their funeral, can also be the last gift they give their children and grandchildren.
Please note, though, that although the lump sum is guaranteed, they will have to have paid into their policy for a set period of time before they will qualify for this pay out. This period varies with each policy, but is usually around 1 to 2 years. So, the sooner they consider and take out a policy, the better.
Funerals are often pretty expensive, unhelpful at a time of sorrow. They require a sum of money, which most people just don’t have lying around. By having life insurance cover, your parents will have peace of mind that the expenses will be covered. A life insurance policy can be agreed by just sitting down with your parents and having a proper chat about funerals. Though it might feel like a morbid subject, getting that policy set up is the first step to protecting the family when they do pass away.
There are a few things to remember to know or think about though. Firstly, remember that the insurance policy will be in their name, so it’s essential that they agree with the cover they’re taking out and that they are happy to pay the costs. They shouldn’t cover your future at the expense of their present.
Secondly, you should keep in mind that the cheapest option might not be the best cover for your parents. So, never be swayed to take out a particular policy just because it’s the cheapest. Generally, over 50s life insurance is very affordable. However, if your parents are worried about the cost, you (and your siblings if you have any) could offer to cover some of their insurance cost.
Ultimately, life insurance isn’t a death sentence. Just because your parents are taking out an over 50s life insurance policy, it doesn’t mean they shouldn’t feel young and full of life. Rather, this is just a safety net for loved ones in case the worst happens.