Life insurance at 79 is probably not as uncommon as you think, or as expensive as you think.
If you have important financial obligations, a need for covering final expenses, or just want to create a wealth legacy for your family, you should probably explore life insurance. Affordable life insurance for seniors over 70 is a realistic financial strategy.
Are you concerned about your health?
Unless your issues are very serious, the coverage you need will probably not break your budget.
High blood pressure at 79 does not cause the same concern to life insurance companies as it does at 39. In other words, you don’t have to be a healthy 39-year-old; if you are healthy for a 79-year-old, you should have no problem getting life insurance coverage.
Even if your health concerns are more serious, there are many policies that have simplified underwriting and you will be able to qualify.
Brush up here if you’re not sure about some things and then give us a call. We will walk you through the whole process, and an important decision like this will require some careful consideration.
How much does life insurance at age 79 cost?
Almost certainly, less than you think. Most clients seeking life insurance at 79 do not need a million-dollar policy. The smaller, shorter-term policies that many in their seventies are interested in can fit into most budgets.
Your health rating is very important to how much your life insurance premium will be. The underwriting process life insurance companies use to place you in a particular health category involves the high-level math of actuaries who crunch data at a level few of us even desire to understand.
We have included a couple of handy infographics to help you get an idea of how life insurance companies will view your risk. An independent agent from Ogletree Financial can help you with any uncertainties.
Working with over 50 of the nation’s top insurers allows us to match your unique risk with the carrier that will insure that risk most favorably and lead to the lowest premium available for the insurance coverage you and your family need.
Sample monthly premiums for a 79-year-old male and female.
- The sample quotes shown here are for term life insurance.
- These quotes are for non-smokers.
- There is a table for a preferred plus health category and one for a standard health category.
- A term length of 10 years is shown, with death benefits of $100,000, $250,000, $500,00 and $1,000,000.
- These premiums are sample premiums and your premium will be based on how your unique risk is assessed.
- These sample quotes were gathered in September of 2016.
79-year-old Male Preferred Plus Health Category
10-Year Term Life Policy – Sample Monthly Premiums – Non-smoker
| $100,000 | $250,000 | $500,000 | $1 million |
| $318.63 | $671.15 | $1,310.82 | $2,527.88 |
79-year-old Male Standard Health Category
10- Year Term Life Policy – Sample Monthly Premiums – Non-smoker
| $100,000 | $250,000 | $500,000 | $1 million |
| $523.93 | $$1,128.95 | $2,194.42 | $4,337.46 |
79-year-old Female Preferred Plus Health Category
Term Life Policy – Sample Monthly Premiums – Non-smoker
| $100,000 | $250,000 | $500,000 | $1 million |
| $215.13 | $453.39 | $899.51 | $1,740.73 |
79-year-old Female Standard Health Category
10-Year Term Life Policy – Sample Monthly Premiums – Non-smoker
| $100,000 | $250,000 | $500,000 | $1 million |
| $347.04 | $734.08 | $1,457.01 | $2,872.15 |
Term or Permanent Life Insurance?
Term and permanent are the two main types of life insurance and both have what is the essence of life insurance: the death benefit.
The death benefit, also called the face value, of your policy is the amount that is paid to your beneficiaries when you die.
Term life insurance is the death benefit only, pure life insurance. The coverage for term life insurance is temporary, lasting 5, 10, 15 years or more, depending on the duration of the financial obligation you are trying to insure. The policies are simple and the premiums are inexpensive compared to permanent life insurance.
Permanent life insurance does not expire as long as you pay your premiums.
For some important financial commitments, you may want your life insurance coverage to remain as long as you do. Final expenses, inheritances, and debt are examples.
Another element that sets a permanent policy apart from a term policy is the cash value accumulation you get. When you pay your premium into a permanent life insurance policy, part of it goes toward the death benefit and part is deposited into a cash account that generates interest on a tax-deferred basis.
This does mean significantly higher premiums for the same amount of death benefit in a term policy, but opens up what are known as living benefits. Living benefits are essentially access to the growing fund inside your permanent life insurance policy. Access for whatever reason you and your family see fit, medical bills, college education or a Caribbean vacation.
You may not be sure what type of policy is best for you. Talk to your financial advisor and your independent life insurance agent. As you know, no part of your decision to purchase life insurance is to be taken lightly. Professional guidance is not recommended, it is required.
Why do I need life insurance at 79?
At 79, you most likely know the answer to this question, but let’s run through a few common reasons 79-year-olds purchase a life insurance policy.
Income replacement of your income, whether from a job or retirement savings vehicle, maybe covering your household’s daily expenses or helping you finish up saving for retirement. Either way, if that income were to go away or reduced upon your death, your spouse may be stuck in a bad financial position.
If you aren’t quite done saving for your retirement, life insurance can help. If you account for this properly, your early passing will not keep your spouse from enjoying their golden years as the two of you have planned.
Do still have a mortgage, a personal loan or high credit card balances you are paying down? Life insurance could be the answer. If these liabilities fell into the laps of your loved ones, the consequences could result in a years-long struggle to recover.
Being able to leave something behind for others to enjoy when we are gone is important to many clients. What if you could help your children pay off their home or leave behind a legacy to your favorite charity?
Life insurance can help you accomplish these important goals.
Each client we see is unique, our skill is learning about your life and your goals then applying expert knowledge of the life insurance marketplace to pair you with the best insurer to get you the coverage you need at a premium that you can afford.
How much life insurance does a 79 yr old need?
If you are still working and want your coverage to replace your income, a simple formula of multiplying your yearly salary by a factor of 3 to 5 can get you started. You’ll need to consider other variables, such as your spouse’s income and how long you would need your salary to be replaced, to settle on a concrete number.
If meeting retirement goals is important, how close are you to being ready? Determine an amount that would be sufficient to put your spouse in a position to enjoy their retirement in the comfort you both have planned for, even if you are gone.
An inheritance will be based primarily on what you can afford. You probably don’t want to push your budget too much in the present to guarantee a gift to your loved ones after you are gone.
Charitable giving with life insurance is often based on how you have donated in the past. If you donate $500 a year to your local animal shelter, 10 times that amount might be how much you would want to bequeath when you pass. Another option is to redirect say, $250 of that $500 yearly gift to your yearly life insurance premium and allow for an even larger gift.
The amount of coverage you decide on will probably be a balance between your budget and your life insurance goals.
You can start by getting a quote on this page.
Frequently asked Questions
2 Responses
I need to secure life ins for my mother. We added on to our house to create a place for her and want to make sure that debt is cleared at her time of passing.
Hi Steve – we should be able to help. I have sent some quotes over to you.