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How seniors can get cheaper life insurance

While it's true that life insurance is pricier for older adults, there are some reliable ways seniors can obtain cheap life insurance. Getty Images

Most financial advisers would agree that life insurance is a fundamental part of sound financial planning. By providing a financial safety net for beneficiaries in the event of a death, a life insurance plan helps avoid any economic pitfalls. It can also help the policyholder while alive by providing access to a cash reserve (depending on the policy type).

While there are significant advantages to having a life insurance policy, it's typically considered to be not worth it for seniors. For this population, life insurance is thought to be cost-prohibitive relative to the amount of coverage that can be secured. 

While it's true that life insurance is generally pricier for older adults (as are virtually all other insurance types), there are some reliable ways seniors can obtain cheap life insurance. In fact, the methods are similar for applicants in all age ranges.

If you're in the market for life insurance then start by getting a free online price quote so you know exactly what to expect.

How seniors can get cheaper life insurance

Here are three tried-and-true ways life insurance applicants, including seniors, can get cheaper life insurance.

Start as soon as possible

If you don't have life insurance - or want to supplement the coverage you already have - then it pays to act quickly. Life insurance is more expensive as you age and become riskier to insure. The older you are, the more likely you are to die and have your beneficiaries cash in a policy. That risk will be reflected in a higher charge to you.

Accordingly, it doesn't make sense to wait. A 65-year-old male will almost assuredly pay less than a 75-year-old male (with all other factors being equal). The longer you wait, the more you'll have to pay. You also run the chance of being disqualified altogether. You could also get a quote that is simply not valuable relative to the price the insurance provider wants to charge.

Don't hesitate. Get a free price estimate from Ladder today to see exactly how much life insurance you're eligible for.

Apply for a lower amount

The more coverage you want, the more you'll pay. This is a universal rule when it comes to life insurance, regardless of the age of the applicant. But since seniors are already at a disadvantage due to their advanced age, they can expect to pay significantly higher premiums for the same coverage a younger person is paying for a fraction of the cost.

So, don't apply for a $1 million life insurance policy. You probably won't be approved and, even if you are, it'll be very expensive. Instead, do a realistic appraisal of what you need and apply just for that (or less). Maybe you only need a policy to cover end-of-life expenses, for example. A policy for $20,000 then should be more than enough - and the corresponding price won't break the bank.

Improve your health

There's nothing a senior can do about their age. There are, however, plenty of things they can do to improve their health.

If you're a smoker, for example, then try to stop as soon as possible. If you're overweight, then improve your diet and start losing weight. Whatever you can do to reduce your liabilities, do it. This will help eliminate reasons for an insurer to charge you more. Seniors are already at a disadvantage when it comes to life insurance due to their advanced age. But if they can remove other factors from the equation they can both feel better and improve their chances of paying a more reasonable premium.

The bottom line

This is not an exhaustive list. There are other ways that seniors - and life insurance applicants of all ages - can secure cheaper life insurance. But if you want to get moving now, start working on your health, apply for a lower amount and don't delay.

Have more questions? The experts at Ethos Life can help you now.

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