Seniors citizens are more at risk of experiencing health problems and other life events that can lead to death. They need to be protected with life insurance policies because they may experience financial problems if they become incapacitated due to illness or injury and are unable to work. Pension and Retirement life insurance policies are designed for senior citizens who want protection against the risks associated with aging and old age. The policy offers cash value that can be used for other purposes, such as medical expenses, funeral services, long-term care, nursing home expenses, etc.
Senior citizens in India are the fastest-growing demographic segment in the country. This is because of their increased life expectancy, which has been on an upward trend for years. With this increase in life expectancy, many senior citizens are now looking to buy a good life insurance plan. But it can be difficult to find the one that is best for them. That's why we've compiled this article on some of the best life insurance plans for senior citizens in India. This article provides information on how senior citizens can find the best life insurance for their needs in India. It also includes information on what factors to consider when purchasing life insurance and how it works in India.
Table of Content
Why are Life Insurance Policies Important for Senior Citizens?
Senior citizens need life insurance because they are more susceptible to medical and financial problems. They also have a higher risk of death from natural causes. One of the main reasons why senior citizens need life insurance is that they are more likely to be diagnosed with a chronic disease and have a shorter life expectancy. Another reason is that their medical expenses can become too much for them to handle on their own.
The importance of life insurance for senior citizens cannot be overstated. Life insurance is considered one of the most important financial products because it can provide financial peace of mind and allow seniors to make plans for their future. Life Insurance policies help family members by covering funeral costs and other expenses such as medical bills and nursing home fees. In addition, life insurance policies can provide income replacement during retirement as well as help with estate planning.
Reasons to get Life Insurance for Seniors Citizens
- Life insurance provides financial peace of mind for senior citizens.
- If you die without a life insurance policy, your loved ones may be left with a huge bill to pay for funeral costs, taxes, and more so it is important to have life insurance.
- Life insurance can also help cover the cost of long-term care and nursing home expenses if your elderly loved one becomes unable to care for themselves anymore.
- Life insurance can provide financial security for your family in case you are unable to live independently or support them financially in the future.
- Life insurance can provide an income stream that will last even after you pass away, so your loved ones won't have to worry about money while they grieve or adjust to their new life without you around.
Benefits of Life Insurance for Senior Citizens
Life insurance provides financial security to senior citizens. With this, they can have peace of mind and focus on the things that matter in their life. The benefits of life insurance for senior citizens include:
| 1. |
Financial Security |
| 2. |
Retirement Planning |
| 3. |
Source of Income |
| 4. |
Tax benefits |
| 5. |
Peace of Mind |
| 6. |
Transferable Corpus |
| 7. |
Multiple Options |
| 8. |
Additional Rider Benefits |
Types of Life Insurance Plans for Senior Citizens
Senior citizens need to plan for the future if they want to remain financially independent. This is why they need to understand the different types of life insurance plans that are available in the market. The three types of life insurance plans are term life insurance, whole life, and pension and retirement plans. These three types all have their pros and cons that senior citizens should consider when choosing which type of plan they want.
- Term Life Insurance: This type of insurance covers a specific period or a fixed number of years and then ends. The premium rates usually increase over time because it covers a shorter period than other types of policies. Senior citizens who don't have much saved up may find this plan beneficial because premiums are usually low and coverage is high. However, term life insurance typically has lower death benefits than other types of life insurance.
- Whole Life Insurance: This type of insurance covers the insured for their entire lifetime. The rates are usually higher than when a person opts for term life coverage and the death benefits tend to be lower, but whole life plans typically have a better rate of return and it is less likely that premiums will rise over time.
- Pension and Retirement Plans: Pension plans are also called Retirement plans. They are insurance plans which help people meet their expenses after their retirement with periodic payments by the insurance company. Retirement plans can generally be of two types: One is where the policyholder will invest the amount over some time to attain a corpus and after which the insurance company will pay periodic installments to the policyholder after his/her retirement. The other is where the policyholder can purchase an annuity plan by paying a lump sum amount and the insurance company will start paying the monthly amount immediately or after some time as selected by the policyholder.
Importance of Life Insurance for Senior Citizens over 60’s, 70’s, and 80’s
The importance of life insurance for senior citizens is often overlooked and it is a cause of worry. The reason why people don't think about life insurance for seniors is that they assume that they are too old to be insured. However, there are many advantages of taking out a life insurance policy above the 60s. It can provide peace of mind and security to your loved ones in the event of your death. It can also help you cover the financial expenses that come with being an aging parent or grandparent.
Life insurance is not just for people who are young and healthy. Anyone can purchase life insurance as long as they have enough money to cover the premiums and the cost of medical care if they die prematurely. Senior citizens over 60 years old can get life insurance policies from different companies, but they must check the company’s rating first to ensure that they are getting adequate coverage from them.
Why Need Life Insurance for Senior Citizens?
- To Secure your Partner
- To Cover Health-Related Costs
- Tax Benefits
- Medical Expenditure
- For Financial Protection
- Outstanding Debts & Loans
How to Choose Life Insurance for Senior Citizens?
Choosing a life insurance plan for senior citizens can be a tiring process. Before buying life insurance for senior citizens, you must compare all the plans available in the market and select the one that best suits your needs. Below are the things to keep in mind before choosing a life insurance policy for senior citizens above 60 years.
- Kind of Policy
- Number of Dependents
- Health Status
- Level of Income
- Coverage Amount
- Premium Rate
- Policy Tenure
- Rider Benefits, etc.
Top 10 Life Insurance Plans for Senior Citizens in India
| S. No |
Plan Name |
Entry Age |
Maturity Age |
Sum Assured |
Premium Amount( Per Month) |
|
| 1 |
HDFC Life Assured Pension Plan |
16 to 75 years |
45 years |
Rs.2000 per month |
845/- |
View Plan |
| 2 |
ICICI Pru Easy Retirement Plan |
35 to 70 years |
45 years to 80 years |
Rs.48000 per year |
789/- |
View Plan |
| 3 |
Reliance Nippon Life Smart Pension Plan |
18 to 65 years |
45 to 75 years |
Rs. 2 Lakhs |
659/- |
View Plan |
| 4 |
Aditya Birla Sun Life Insurance Empower Pension |
25 to 75 years |
80 years |
Rs. 1 Lakh to No limit |
548/- |
View Plan |
| 5 |
Bajaj Allianz Life Guaranteed Pension Goal |
30 years to 65 years |
85 years |
Depends on the annuity amount |
878/- |
View Plan |
| 6 |
Max Life Forever Young Pension Plan |
30 years to 65 years |
50 to 75 years |
Rs. 10,000/- per month |
778/- |
View Plan |
| 7 |
SBI Life Saral Pension plan |
18 years |
40 years |
Rs. 1 Lakh to No limit |
875/- |
View Plan |
| 8 |
LIC’s New Jeevan Shanti |
79 years |
80 years |
Rs. 1000 per month |
785/- |
View Plan |
| 9 |
LIC’s E-Term Plan |
18 and 60 years |
75 years |
25 Lakhs |
859/- |
View Plan |
| 10 |
Max Life Insurance Online Term Plan Plus
|
18 and 60 years |
85 years |
10 Lakhs |
758/- |
View Plan |
*above data is given for illustration purposes only* please refer to our website for exact premiums.
Conclusion
A final note of life insurance for senior citizens is an important part of a senior citizen's estate planning. It provides peace of mind knowing that the senior citizen has taken steps to provide for their loved ones in the event of their death. Many insurance companies provide life insurance policies for people who are above 60 years. Buy a life insurance plan for senior citizens even though they have not purchased any plan before. And as you know, it comes with many benefits at an affordable premium price. Compare life insurance quotes at PolicyBachat and grab the best life insurance policy for senior citizens now.
FAQs of Life Insurance for Senior Citizens
What are the Factors Affecting Life Insurance for Senior Citizens?
There are many reasons why someone might want to buy insurance for their elderly parents. These include financial stability and peace of mind, but there are also the tax benefits of insurance. When buying a life insurance plan for your elderly parents, you should consider the following factors:
- Cost of premiums
- Age of the person being insured
- The amount to be insured
- The length of time you want to insure them
How to Apply for Life Insurance for seniors?
Most people are not aware of how to apply for life insurance. Here are some things that you should know before applying:
- The company should be licensed to sell life insurance in your state.
- You need to provide proof of income, assets, and health.
- If you have a pre-existing condition, then you will need to disclose this information.
- You might need to pay a higher premium for life insurance due to your age or health.
After analyzing the necessary factors to choose one policy, you can purchase the policy online. PolicyBachat provides the best life insurance policies for senior citizens at affordable prices.
What are the Things to Consider before Choosing a Life Insurance Policy for seniors?
Here are five things that you should consider before you decide on a life insurance policy for yourself or your loved ones:
- Age
- Gender
- Health condition
- Financial status
- Family history
How to Buy Life Insurance Plan for Senior Citizens in India?
For buying a life insurance plan online please visit our website Policybachat.com Following steps to purchase the life insurance policy online in our portal
- Step 1: Firstly, Enter the details such as Gender, Annual income from all the sources, Alcohol consumption and tobacco consumption, type of occupation, salary, and Date of Birth. After this, you need to enter your contact details to facilitate a call from our agent.
- Step 2: Now the premium from different companies will be displayed on the screen. You can edit the details such as Coverage, Term, Premium payment method, Mode of claim settlement, etc. Submit the details to get the desired premium. The premium can be changed by changing other factors such as Coverage required, mode of payment, etc.
- Step 3: The next step is to select the best plan and pay the premium to the insurance company before proceeding to fill out the proposal form details.
How Much Does it Cost to Buy a Senior Citizen Life Insurance Policy?
The cost of a senior citizen’s life insurance policy is the amount of money that you need to pay to the insurance company to buy a policy. Senior citizen life insurance policies are usually cheaper than regular life insurance policies. The reason for this is that they are designed for people who are already older and may not be able to work as much as they used to. The cost of a senior citizen’s life insurance policy can vary depending on the person’s age, health, and location. It can also depend on how long you plan on keeping the policy active.