Getting excellent life insurance for a 62 year old can be as tricky as you want to make it. So the good news is that it can also be as easy as you want it to be.
With over 850 companies in the United States offering life insurance, there is a lot of competition for your business. That much competition means you have options. Whether you want to skip the medical exam or you have a pre-existing condition, there is a company suited to your situation.
To see real quotes right now, use the Instant Quotes tool on the left side of the screen. (Top if you're on mobile.) If you're still in the information gathering phase, it's a great way to get a feel for pricing and see which companies may offer you the best rates.
Steps to Saving Money on Life Insurance for a 62 Year Old
Life insurance is primarily priced by three categories, age, biological sex, and health. You can't do much about the first two, and the third you only have so much control over.
But there are are few simple tricks to lowering your rates that anyone can use.
Use a Life Insurance Needs Calculator
The most important of these ways to save money on life insurance is using a life insurance needs calculator. By determining exactly how much you need to keep financial stability for your family, you save yourself money now.
The methods of generations past were either insuring a few multiples of your income or ballparking what you think your beneficiaries might have to pay for. Neither of these are reliable mathematical models.
Calculators like the one linked above prompt you to take into account what expenses you will leave behind. Insurance this amount saves you from paying for too much coverage. It also prevents your financial trouble for your loved ones if you buy too little.
Term is Less Expensive Than Permanent
Out of the two major categories of life insurance products, term life insurance is cheaper.
Term is straightforward, with no fancy options attached.
Permanent life insurance has more components to the policies. But the main difference is that permanent life insurance type of insurance will pay out no matter what. When a term ends, the policy is over, so the insurance companies are betting that you will outlive your term policy. That's why they can offer much lower rates.
Click the link for more detailed information to decide whether term or permanent life insurance is better for you.
Save Money with a Second-to-Die Policy
If you're married and both you and your spouse are looking into life insurance a second-to-die policy is cheaper than two separate life insurance policies.
They work the same as a regular policy, but the life insurance company only pays the death benefit when the second spouse passes.
This isn't the policy for someone who is looking to provide for their spouse. It's better for a couple who wants to leave something to their children and cover burial expenses.
Speak with an Independent Agent
There are two types of life insurance agents in the U.S., independent agents and captive agents. A captive agent can only sell life insurance policies from one company. That's it. An independent agent can sell policies from whomever they want.
So why does that matter? The underwriting health classes. If you look at the Instant Quotes tool to the left, there is a section that says "health class." Here you'll see a list of how life insurance companies charge people using terms relating to how much they want to insure that person. You'll see terms like "preferred" and "standard." See for yourself how life insurance ratings affect the price of life insurance.
The underwriting guidelines that pigeonhole a person into a specific health class are the same across the company, regardless of what product you want. One company may consider you in "standard" health, and another may consider you in "preferred" health.
The better your health class, the less you pay. That's why giving yourself options is so important. Independent agents can shop the market for you and choose from many companies. They save you time by only bothering with the companies that will offer you the lowest rates in the first place.
Consider Annuity Payments
Most companies will pay the death benefit in a lump sum check. That means they pay everything at once. You can find companies who will pay out in annuity payments.
This type of life insurance payout works best for people who want to keep supporting a spouse or child, but have the cash on hand to cover things like burial expenses.
Life insurance companies offer this type of policy at a lower rate because even though they will pay the entire amount eventually, they can keep more cash on hand.
Take the Medical Exam
Not every type of life insurance policy requires a medical exam. Sometimes you can skip the whole ordeal altogether.
But you might not want to. Insurance companies have learned over the years that many people want to skip the medical exam because they aren't as healthy as people who are willing to take it. Therefore the companies charge more for policies that don't require the exam.
The good news is because there are enough people that would prefer to skip the medical exam because it's inconvenient or they just don't like needles, more companies are offering no exam options. In turn, that is driving the price of the policy down.
Quotes - Term Life Insurance for a 62 year Old Male
The quotes below are for someone who is relatively healthy and paying monthly. You can sometimes save money by paying only once a year. Unfortunately, one you hit your 60s, 30 year terms are no longer available.
10 Year Term
20 Year Term
Quotes - Term Life Insurance for a 62 year Old Female
The monthly rates in the table below are for a woman who is relatively healthy and doesn't smoke.
10 Year Term
20 Year Term
Permanent Life Insurance for a 62 Year Old
Permanent life insurance is a different beast that term life insurance. Whereas term is simple and straightforward, permanent life insurance can get complicated. Although this doesn't make it a bad thing, it just takes a little more time and effort to understand.
Permanent life insurance is best for people who have more disposable income. It costs a little more, but it can also do more for you.
One of the most popular components is the cash value accumulation feature. The longer you hold the policy, the larger pool of money is available for a no questions asked loan. Your death benefit serves as the collateral. Plus, most of the time you can pay it back on your terms. This lets you have money available for surprise medical expenses or even vacations.
There are 3 types of permanent life insurance: whole life, universal life, and variable universal life.
No-Exam Life Insurance for a 62 Year Old
While taking the exam can mean a cheaper policy, sometimes it's worth it to skip the exam. Many people are just too busy to cut that hour out of their day, plus the prep time.
If you want to prepare adequately for the life insurance medical exam, it takes a solid week of disruption from possibly lifelong habits. You can sometimes tip the scale in your favor if you eat tons of leafy vegetables and drink plenty of water.
Luckily because no exam policies are gaining traction more companies are starting to offer them. This increase in availability is driving down prices and making these more convenient policies more affordable for everyone.
How Abrams Insurance Solutions Can Help
At Abrams Insurance we focus on finding the best policies for the lowest price. We can shop the market like this because as independent agents, we have access to dozens of different insurance companies. This allows us to be picky and work with the top 70 in the United States.
With over 70 companies to work with, we can pit them against each other and make them compete for your business. This is particularly helpful for people with medical conditions that might otherwise make life insurance companies hesitant.
You can see life insurance rate tables for other age groups our comprehensive guide to buying life insurance at every age.
The Bottom Line
We work for you. A single call to us can save you dozens of calls to insurance companies for pricing. We promise to save you time and money so you can do things you enjoy instead of shopping for insurance. Give us a call at 858-703-6178 today.