How Do I Buy Life Insurance for My Elderly Parents?

If you are concerned about the costs you may incur when your parents pass on, then you should consider buying life insurance for your elderly parents. In most cases, this is easy to do.

Insurance companies look to see if there is an insurable interest between the insured (the parent) and the owner or payor of the policy (a child or another loved one). An insurable interest simply means that a person would suffer a financial or other kind of loss upon the passing of the insured.

In most situations, the passing of a parent or loved one means that there are burial costs and other final expenses that must be handled. If an elderly parent or other loved one does not have enough life insurance coverage, or none at all, then that can leave a considerable financial burden on their close relatives.

Life Insurance Options for Elderly:

1. Immediate Benefit Burial Insurance (for those in good health)
   - Whole life insurance
   - Premiums remain level for the life of the insured
   - No medical exam is necessary
   - The policy builds cash value over time
   - Coverage starts from day one
   - Coverage cannot be cancelled as long as premiums are paid
   - Proceeds can be used for burial costs as well as other expenses
   - Read more about immediate benefit coverage
   
2. Graded Benefit Burial Insurance (for those with health problems)
   - Whole life insurance
   - Premiums remain level for the life of the insured
   - No medical exam is necessary
   - The policy builds cash value over time
   - Death benefit is not fully payable until year three
   - Coverage cannot be cancelled as long as premiums are paid
   - Proceeds can be used for burial costs as well as other expenses
   - Read more about graded benefits
   
3. Term Life Insurance (for those in good health)
   - Temporary insurance coverage that lasts for a certain term (5, 10, 15 years, etc.)
   - Premiums increase at the end of the term
   - Coverage will last until age 90 or 95, depending on the company qualified for
   - Convertible to whole life insurance
   - A medical exam may be necessary
   - Not recommended for burial expenses because coverage is not guaranteed to last

Find out which type of coverage is best for your elderly loved one and get a free quote from life insurance companies who specialize in coverage for seniors and the elderly. You can compare multiple rates from top carriers, which ensures that you get the best rate possible.