Living life is all about managing risk. You take a risk every day you wake up and walk outside. Having a family is a financial risk. You need to make enough money to support and take care of them. We spend our lives navigating and rising above risk. That is why we need the make the most out of insurance policies. When most people think of insurance, they think of bureaucracy, paperwork, and premiums. However, you should think of insurance policies as a kind of protection. A vital protection against the risks inherent in living life.
The kinds of insurance policies that you acquire depends on the types of risk that you are trying to mitigate against. When you buy homeowner insurance, you are paying premiums to protect against damage to your home. You buy car insurance to protect against potential damage that can be inflicted against your vehicle. However, one of the best kinds of insurance that you can acquire is life insurance and even then there are multiple life insurance products.
Life insurance can be leveraged against for loans. Or modified to provide you supplemental income. So, if you are a senior citizen, what kinds of insurance should you have?
Life Insurance
As previously mentioned, life insurance policies are very affordable for younger applicants. The younger and healthier that you are, the cheaper the policy will be. Also, the policy will accrue value over years, as you age. When a young life insurance applicant ages into a senior citizen, the policy could be worth a lot. The average life insurance policy is worth at least $250,000.
While senior citizens can get life insurance coverage, it will be more expensive to do so. Also, the standard of living gets more expensive every day. A life insurance policy is a good way to protect against financial risk. Even if you can’t afford a benefit-rich policy, it is better to have a modest policy than none at all.
Final Expense Insurance
Final expense insurance is a variation of more traditional life insurance policies. Life insurance can be used to pay out beneficiaries, leverage loans, pay expenses, and modified for many other financial functions. However, final expense insurance is mainly used to pay for funeral expenses. It is a kind of insurance coverage designed to take the worry out of paying for final expenses.
Even if you have a life insurance policy, having a final expense insurance policy could help you stretch out the benefits in your life insurance policy. Further, if you don’t have any insurance at all, it is better to have a final expense insurance policy than none at all.
Medicare
Medicare is a government subsidized health insurance program. It is a legislative entitlement program for senior citizens. After reaching the age of 65, senior citizens can apply for Medicare health insurance program coverage to help the elderly pay for their medical expenses. If you have paid Medicare taxes through salary deductions for over a decade, then you are entitled to Medicare coverage. Even if you have not, you may still be eligible for Medicare coverage. The average Medicare benefit payout is about $11,000.
Be Covered In Your Golden Years
A good life insurance policy worth a significant value can be used to pay out to beneficiaries for decades. Health insurance is also important to have, since physical health degrades over time. Insurance is more affordable when you are young, so it is important to get it as young as possible. Don’t wait! The earlier you get it, the better off you will be in your senior citizen years.
