Are you turning 50 soon?
Going up an age bracket can feel daunting or you could be embracing it. You could be feeling excited to celebrate with a new lease of life! With restrictions starting to lift, you may be planning a big 50th party, or going away with your family to celebrate. However, there may be a few things you want to think about as you turn 50, such as planning for your future. At The Insurance Surgery, we are experts in finding you a life insurance policy that is both affordable and covers everything that you need. As we get older, we start to take stock of what we have and what we’d like to happen when our time comes. You may still be supporting your family and children, working up until your pension age. You may still have money to pay off your mortgage. If you were to pass away, what would happen to the most important people in your life? An Over 50s life insurance
plan could be perfect for you. It’s a great way to plan ahead for your later years and make sure everything is taken care of when you’re gone. If you already have a Life Insurance policy, that’s fantastic. We do offer a review service
to ensure that your current life insurance still works for your circumstances. Sometimes you may not know that you can find a better policy elsewhere. Other times, your circumstances may have changed and you may be able to obtain a better policy at a better rate. Many things change in life, such as your occupation and salary, your personal circumstances or the status of a medical condition you may have. People often find that when they start a family and have children they want a more comprehensive cover. You could even have successfully quit smoking or lost weight, which can also lower your premiums. Changes in your lifestyle can impact the amount of life insurance you might need. Subsequently, it could also change the price that you pay every month. An Over 50s plan is great if you want to pay lower premiums with a set pay out at the end of the policy. In this blog post, we look at the Pros and Cons of a ‘normal’ life insurance policy compared to an Over 50s life insurance policy, to see which option is best for you.
Planning ahead in your 50s
As you enter your 50s, financial planning may be high on the to-do list. It’s easy to see why you may not have thought too much about it previously. Your 20s are all about having fun, finding yourself and embarking on a career that you hopefully love. As you enter your 30s, many people think about settling down, climbing the property ladder and starting a family. Your 40s may be family-focused, providing for your children and raising them in a comfortable environment. Into your 50s and your children may have flown the nest (or at least be close to doing so!) and they may no longer be financially reliant on you and your partner. Perhaps you are looking to help them set up on their own and want to set aside money to see them through university fees. Some people like to put a bit aside to help them towards the deposit for their first home and help them take the first step onto the property ladder. It may now be the perfect time to look at your finances, savings and assets and plan for the future. Life Insurance is designed to pay out either a lump sum or an income when you die. Depending on your age, over 50s life insurance can be ideal if you would like to make a contribution towards funeral costs. It can enable you to continue living the lifestyle that you enjoy without having to worry about your loved ones figuring out how to pay for your funeral, for example. If you are aged between 50 and 80, it’s fairly straightforward to take out an Over 50s life insurance policy. At The Insurance Surgery, we can find you the best policy for the best premium. We search the market on your behalf and look at companies such as Royal London, Aviva and Legal & General to find which suits your circumstances the best.
Taking your health into consideration
There are different life insurance policies on the market, so it can be confusing to decide which is best for you. One thing that almost all of them have in common is an application process that heavily focuses on your personal health. Your health is a good indicator of how long you might live. Life insurance companies want as much information as you can provide so that they can determine your “risk”. They look at aspects of your life to determine your life expectancy. This isn’t a great surprise as they will be providing large sums of financial cover. However, some people end up in a catch 22 situation. For many people, particularly as you get older, a decline in health is the reason why a life insurance policy is considered. This is especially the case if you are Over 50. Your body begins to slow down a little and more health problems may begin to arise. This is when people may start to ask the questions to themselves:
- Who will pay off the remainder of my mortgage when I’m gone?
- Will my partner and children manage financially without me?
- Who is going to cover my funeral expenses?
It’s a big worry for a lot of people, but if your health isn’t how it used to be, it could be preventing you from attaining affordable life insurance. Over 50s Life Insurance takes that all into account. Let’s take a look at the Pros and Cons of an Over 50s Life Insurance policy, compared to a standard life insurance policy, and begin to help you choose your best option. When you fill your details in on our quote form
online, your details feed through to one of our expert advisors. Our whole team is highly trained and they all know life insurance inside and out. They will call you to talk about exactly what you are looking for, your personal circumstances and how much you want to pay monthly. From there, they search the whole market to find you the best policy at the best price. We do all the hard work for you and our fees are covered by the insurance providers, so it is no extra cost to you.
The Pros & Cons of Over 50s Life Insurance
Like all insurance policies, there are pros and cons to this type of cover. However, at The Insurance Surgery, we’re here to make sure you understand every part of your policy, the terms and conditions and the options available to you. Over 50s life insurance is slightly different to the rest. Let’s explore why…
Unlike traditional life insurance policies, nothing can stop you taking out an Over 50s life insurance policy. You don’t need to answer any questions regarding your health and no checks with healthcare professionals etc need to be made. You are guaranteed to be able to take out an Over 50s policy, no questions asked. We do have one provider who asks very basic medical questions if this is something you do not mind answering. Answering these can bring down the cost of your policy. It can also reduce the two years before the policy is fully in force to just 6 months. Our advisors can discuss this option with you.
Decide how much you can afford to pay on a monthly basis and we can find a plan that ensures you’re getting the most for your money. Typically, the amount doesn’t change until the end of your policy so you know where you stand in terms of monthly outgoings.
When you take out an Over 50s plan, you know exactly how much money will be paid out to your family. There is a fixed cash payout, which is ideal if you want to plan ahead and ensure there is enough money to cover costs that you leave behind.
In the event that you pass away, your family will have lots of things to sort alongside grieving their loss. An Over 50s life insurance plan makes it easy for them to claim the pay out.
With an Over 50s policy, your money is not already split out into pots to pay off certain debts or funeral costs. The whole payout will be given to your loved ones in one cash sum for them to spend it however they wish. If you have an idea of where you would like the money to go, you can let them know how you wish for it to be spent. This could be on your funeral costs or to cover any debts. You may even want your family to enjoy a holiday together – anything goes.
It’s always the same – pay day comes, bills go out and budgeting for the rest of the month can sometimes be difficult. You could be delaying taking out an Over 50s Life Insurance policy because it’s another expense to add to the list. However, we can make sure your payments are manageable. You usually pay a set price every time, taken via direct debit. You pay this up until a predetermined date, after which the monthly premiums stop but the cover continues, or you pay each month for the rest of your life. Some providers offer options to stop paying earlier but this may reduce the amount you will receive in your pay out. We’ll be sure to check all of these details for you.
Occasionally, the pay out may take a while to come through for your family. Each insurance provider has differing times, but this will all be outlined in your policy.
- If you stop payments, your cover will end
No matter how long you’ve already been paying in, if you stop paying your insurance premiums at any point, your cover will end. This means that any money you have already paid in will not be refunded and you will not be able to get it back. However, some providers do allow you to stop paying after a set amount of time and others may let you take a payment holiday or reduce your payments if you need to. If this is something that concerns you, we can find you a policy that allows this.
- You may pay in more than the payout
This all depends on how long you live. You may end up paying more into the policy overall than what the pay out is. We can help work out how much you are set to pay in overall as an example if you were live to 80 or 90, and you can work out what is the best way forward for you. At The Insurance Surgery, we help hundreds of people every week find their perfect life insurance policy. If you are looking to take out life insurance after you turn 50, we can find you a policy that you and your family are happy with. Contact us today on 0800 083 2829 or fill in our online quote form and we can begin the process with you.