Purchasing Life Insurance for Elderly Parents
The correct life insurance coverage for your aging parents can provide affordable coverage and mental peace for decades ahead. If you are planning to buy life insurance Anaheim for your parents or grandparents, this post will enlighten you about the important factors that you have to keep in mind while purchasing a life insurance policy for elderly people.
Reasons for Getting a Life Insurance Policy for Your Aging Parents
There are several valid reasons for getting a life insurance policy for your aging parents.
One of the most common reasons for you to consider purchasing life insurance for an elderly family member is to ensure that all outstanding debts can be settled. Many people in their seventies, and beyond may still be accountable for automobile loans, credit card debt, as well as other financial responsibilities. Having a life insurance policy in place can cover all such expenses.
Another common reason is to cover burial expenses, along with other final expenditures. When you add up the costs of a burial plot and a memorial service, the final expenses can be outrageously high. Only a life insurance policy can help alleviate these costs.
Thus, buying a life insurance policy for elderly relatives can be a wise financial decision, especially if they have accumulated debt or if they do not have enough funds to cover their burial expenses
Things to Keep in Mind before Purchasing a Life Insurance Policy for Your Aging Relatives
Purchasing life insurance Anaheim for aging parents or grandparents before they turn 85 can be fairly inexpensive, based on the type of coverage purchased, as well as the carrier through which the life insurance coverage has been purchased. Additionally, those seeking basic coverage to encompass burial expenses can find options that are even more economical.
If you are buying a life insurance policy for your elderly relatives in your family, there are a few guidelines to follow:
- For instance, before acquiring a life insurance policy for your parents, you must first obtain their permission and consent.
- You should also figure out how much coverage you will need, ahead of time. For example, if you are buying a policy to pay off certain debts, you will need to sum up the total amount owed to determine the policy’s face value. Similarly, when acquiring a life insurance policy to cover the final expenses of an aging relative, you may need to contact a few burial homes in your neighborhood to get an estimation of the overall expenses of their services. When calculating these costs, you may want to include certain extra coverage, as many policyholders may have some uncovered medical costs that will ultimately fall on the shoulders of family members. Having these expenses paid off by a life insurance policy, on the other hand, can be a great relief for members of the family.
- You must be able to establish “insurable interest” to the insurance company to buy insurance for your aging relatives. Generally, an individual has an insurable interest if they would be monetarily affected by the insured’s death. In most cases, family members have an automatic insurable interest.
Additionally, to be eligible for insurance, certain insurance companies require the insured to pass a medical checkup or sign a form. For lesser coverage, some life insurance providers offer life insurance even without a health assessment.