Is it possible to get around $40,000 in life insurance for an 81-year-old man? My dad took out a reverse mortgage on our house, and if he passes away, I have to pay it back or leave. I don’t have any money, but he’s thinking if he gets a policy for that amount, I could stay in the home. However, I’m having trouble finding a company that will offer him a policy, except for Colonial Penn. They’re offering $6,300 for $149 a month. Are there any other companies I could try?
Of fact, some businesses will insure up to the age of 90, so it is conceivable based on health. Premiums will be hefty, however.
The only reason he might need life insurance now is to pay for his funeral. But there are other ways to plan for that without buying life insurance.
Depending on one’s health, underwriting companies will cover an individual till the age of ninety-nine. However, premiums will undoubtedly be high—roughly $300–500 per month. The sole option if your health isn’t too good is Guaranteed Issue; if they write beyond 80 years old, you’ll need to stack coverages from other companies.
Yes, but it can be expensive to buy a new term policy later in life. It might still be useful for people in their 60s and 70s to cover big expenses for a few more years. For instance, the payout could help pay off a mortgage or support your family.