Best Life Insurance for Seniors over 60

Life insurance can be a necessary investment even if you're over 60, since your financial goals and needs may be changing. So it's important to reevaluate your existing policies and financial situation as you enter your later years to make sure you're adequately covered.

Life insurance may be good for seniors over 60 who still have unpaid debt, want to cover end-of-life expenses or want to leave an inheritance for their kids or grandchildren.

Best life insurance options for seniors

The best life insurance if you're over 60 years old depends on your financial situation, health and life insurance needs. When entering your senior years, it's a great idea to gauge whether you have enough life insurance or better options are available.

Not every policy is right for every situation. Deciding whether you need life insurance for short-term or long-term needs is important. A short-term policy, such as term life insurance (which has lengths of 10 to 20 years), can be great if you're still working and need income protection. Longer-term life insurance, such as a permanent policy, may be a better choice for final expenses like a funeral or burial.

Standard whole and universal life insurance are not recommended. They're expensive and meant to be lifelong products that build cash value.

Since you are in the later stages of life, you couldn't take advantage of the cash value growth.

Life insurance for income protection

You may still be working in your 60s. If you don't have life insurance, buying a policy to support those who rely on your income could be a great decision. The best option would be to buy a term life policy that would cover the years you work. By doing this, you'd protect your income so loved ones could still receive compensation.

Life insurance for outstanding debts

Even at an older age, you may still have debt. For example, you may still have some mortgage payments left. If you were to die without life insurance, your dependents would have to pay the remaining installments to keep the home. A life insurance death benefit can provide valuable coverage to pay off these obligations.

In this case, if you qualify, get a term life insurance policy to cover your total debts. You'd have to get a medical exam, but you could lock in cheaper premiums for the rest of your life.

If you are sick, elderly or not in excellent health, a guaranteed whole life insurance policy would make the most sense. Monthly premiums are more expensive, and the typical maximum face value is $25,000 in coverage. But it would be issued on a guaranteed basis. This means you wouldn't be denied coverage due to pre-existing illnesses, which can be valuable for seniors.

Life insurance for final life expenses

When someone dies, there are usually many after-life expenses. This includes the funeral and burial. It's often left to the children to pay the bill, which typically costs around $10,000. Life insurance can provide financial protection for your dependents if they're unable to pay these expenses or would have difficulty affording them.

A permanent life insurance policy is good for final expenses. A small guaranteed whole life insurance policy, specifically, is designed for burial expenses. This policy would not require a medical exam, so you could still get coverage if you are not in great health or have a pre-existing condition.

Life insurance for senior veterans

All veterans enrolled in the Servicemembers' Group Life Insurance plan during their service can convert this life insurance policy into Veterans' Group Life Insurance (VGLI) when they return from duty. This can be good early in life. But once you hit your senior years, you could get better rates with other types of life insurance.

Life insurance eligibility for seniors over 60

For seniors over age 60 looking to buy term life insurance, there are restrictions on the face value and coverage length. Each company has its own rules regarding which types of policies you can purchase.

There'd be no restrictions on face values, but all policies would require you to have a medical exam.

Guaranteed and simplified whole life insurance products don't have any restrictions for those over 60, because they're designed for seniors. But life insurance companies have coverage limits on these products.. Face values typically range from $2,000 to $25,000.

Best life insurance companies for those over 60

The best life insurance policies for seniors are based on what's the most affordable and which companies have senior-preferred policies. Below are recommendations for term and permanent life insurance companies for applicants over 60.

Best term life insurance: Protective and Haven Life

This insurance plan is guaranteed level for the whole coverage period. That means you'll always pay the same premium. The death benefit has a minimum coverage amount of $100,000 and a maximum of $50 million.

Protective is the best choice if you're looking for inexpensive life insurance. But the company has more coverage length restrictions than their competitors. Policies are only available for 10 or 15 years if you're over 65.

But eligibility is more restrictive at Haven Life than at other companies. A Haven Life term policy is only available if you're under 64, and the maximum death benefit is $1 million for anyone over age 60. Even with these restrictions, you would lock in a low rate at Haven Life for the entire coverage period. Note that policy term lengths are only available for 10 to 20 years.

Best guaranteed and simplified whole life insurance: MassMutual and Mutual of Omaha

This is a form of permanent life insurance, which means you're covered until you die. Simplified issue means no medical exam is required. Instead, you'd answer some questions about your health and lifestyle. This can be extremely useful for elderly applicants with less severe health conditions, such as asthma.

Face values for MassMutual whole life insurance are $2,000 to $25,000 in coverage. This makes it ideal for end-of-life expenses, including funeral costs or debts you owe.

Guaranteed whole life differs slightly from the simplified issue policy at MassMutual. It doesn't require a medical exam or health questionnaire. For elderly and sick people, this can be the deciding factor. But the policy has a higher premium, since the company has no health information to accurately determine a price.

Mutual of Omaha is also available to an expanded age range, with guaranteed acceptance policies offered to applicants 45 to 85. You can also purchase up to $25,000 in death benefit coverage.