Nothing is more important than life insurance when it comes to securing the future of your family. However, life insurance 50 plus can be confusing after you have reached 50 years. Should you take a standard insurance plan or a specialist insurance policy for people over 50? To help you understand the distinction, here is a basic guide.
What Is Over 50s Life Insurance?
Life insurance over the age of 50 is a life insurance plan for the entire life made for persons aged 50–85 years. The key benefit is that the guarantee of inclusion is provided, a complete physical checkup is not conducted, and no health questions are asked. Just one fixed monthly premium you pay, and your family gets a sum of money after your death.
In most cases, it is charged to pay for the funeral, to clear off minor debts, or to bequeath as a gift to family members.
What Is Traditional Life Insurance?
Typically, traditional life insurance is put on as a term policy (with coverage for a specified period) or as a whole-of-life plan (with coverage for the whole life of the insured). These insurance policies might ask for:
- An attempt at health test or a health questionnaire
- Greater premiums if an individual has health issues
- More liberating cover values (ranging from a few thousand to several million pounds)
Traditional policies are generally the preference of young families or people who require a high amount of financial security – for instance, the continuity of income, settling the mortgage, or taking care of children’s expenses.
| Feature | Over 50s Life Insurance | Traditional Life Insurance |
|---|---|---|
| Eligibility | Guaranteed for ages 50–85 | Based on health, lifestyle, and age |
| Medical Checks | Not required | Usually required |
| Premiums | Fixed and affordable | Varies by age and health |
| Payout Size | Modest, usually £1,000–£25,000 | Can be large, often £50,000+ |
| Best For | Funeral costs, small debts, gifts | Income replacement, mortgages, larger protection needs |
Which One Should You Pick?
- If you want guaranteed acceptance, a straightforward policy, and mainly want to cover funeral expenses or leave a small amount of money, then go for Over 50s Life Insurance.
- In case you require a more substantial payout to take care of significant financial obligations such as mortgages, dependents, or giving yourself the chance of a long-term income, then you should select Traditional Life Insurance.