Term Life Insurance For 65-year-Old Male

Most of the senior citizens are showing interest in continuing to remain insured. Term insurance also provides life coverage to the male policyholders of 65-year-old. Let’s discuss in detail: 

Why Opt for Term Life Insurance For a 65-year-old male? 

Let’s understand the requirement of term insurance at an old age using the following examples: 

Example 1: Your children might be dependent on you financially 

If you have decided to have kids in the future, they will be financially dependent on you. So, by the time you reach 60 years, your kids will either be taking higher education or going to start a career. Having a term plan will make sure that they are financially protected for the future, even in case of your absence. 

Example 2: You want your spouse to be self-dependent 

If you have a non-working partner, making sure their financial stability in old age in case of your absence, solely becomes your responsibility. This way, if anything happens to you, they will be financially secured with a term plan. 

Example 3: If you have financial liabilities 

Repaying debts, and loans can create problems in your retirement days also. In case of your demise, all these liabilities will fall on your family members. So, in order to avoid stressing your loved ones in such cases, it is good to have a term policy under your name. The death payouts received can be used to pay off any outstanding debt/loan amounts. 

Features of a Term Life Insurance for 65-year-Old  

The term insurance features for a 65-year-old male in India are the same as a standard term insurance plan. Let us discuss in detail: 

• The plan provides death benefits/payouts to the beneficiaries/nominees in case of the death of the policyholder 

• You can also purchase rider to increase the coverage of your existing term policy. You should consider purchasing riders like: 

• Critical Illness Cover 

• Accidental Death Benefit 

• Waiver of Premium 

• Return of Premium Cover 

• The premium amount that is paid towards the term plans for 65-year-old males i.e., senior citizens can be claimed for deductions on tax u/ section 80C of the ITA, 1961. Moreover, the death benefits received by the nominees are free of taxes u/ section 10(10D). And, these tax benefits on term plan help you to save money. 

• The plan provides protection against various major and minor health problems if you choose to buy critical illness cover 

Benefits of a Term Life Insurance for a 65-year-old male

Enjoying a term insurance plan life cover after the age of 65 years is now more feasible than it was before. Let’s understand why:

1. Whole Life Coverage 

   Term insurance plans come with a specified policy term like 10, 20, or 30 years. Insurance companies also offer term insurance plans that come up with the option of whole life coverage. Importantly, this means that your plan can offer a protective cover after 65 years of age till you become 99 years of age. 

2. Enhanced life coverage with add-on riders 

   When you purchase term insurance, it generally includes death benefits to your nominees/beneficiaries. However, by attaching or adding term riders to the base term plan, you can enjoy different types of benefits over & above the promised life cover. The riders enhance the base coverage by paying a minimal amount of premium. 

3. Limited Premium Payment options 

   Most insurers offer the option of limited premium payment in which you only have to pay a premium for a fixed tenure such as 5 or 10 years. It also provides you the chance to limit your liabilities to only a few years instead of stretching them till the policy expiry. So, you can also choose to go for a limited premium payment term during your working time and enjoy a life cover after you have retired. 

Things To Keep in mind about Term Life Insurance for a 65-year-old male 

• The premium amount typically increases with age. So, the premium rates for a senior citizen plan would be higher than that of a younger individual. 

• The maximum age for purchasing a term insurance plan is generally 60 but it varies from one plan to other. These days, there are term plans which are specifically designed for senior citizens. There is a wide variety of choices available in the market. 

• A lot of insurance companies require you to go through a medical examination. But for some term plans, medical history is sufficient. 

• Purchasing term insurance for 65-year-old males has become much easier these days with online processes. You can compare plans online and determine which one is the right for you. After doing this, apply and then pay online for them. Once the plan is finalized, the insurance company will send you all the required documents. 

Wrapping It Up!

After considering all the points, it is clear that senior citizens receive a number of benefits from term plans. Before selecting your term insurance plan, read all the options, so you can enjoy the maximum amount of coverage at the best possible premium rates. Always ensure that if your insurer is offering a limited premium payment option, so you can complete all the premium payments for your plan during your working time, to enjoy a steady source of income. Also, make sure to add relevant riders to your term plan since they can be very important after crossing 65 years. It is advisable to plan early to secure your and your family’s life objectives.