Fact CheckedLooking for the best life insurance for seniors over 60 in Canada? Well, we have you covered.
I think you’ll be surprised to see just how reasonable premiums are.
Every birthday represents a milestone in how underwriters view your risk. This is what governs how much you pay. The healthier you are, the cheaper your premiums.
…that’s because the life insurance company thinks there’s a good chance you’ll live ’til the end of your term.
The older you are, the riskier it becomes to insure you – so let’s see how the big 6-0 impacts your premiums and how long a company will cover you.
Call Policy Architects for the Best Life Insurance for Seniors Over 60 in Canada TODAY!
OK – you’re 60! It’s official! You’re headed into old-age security territory.
Did you know in Canada, on your 65th birthday, you’re entitled to your full CPP retirement pension if you meet all the requirements?
You can receive it with a reduction as early as age 60. If you’re fortunate enough not to need it right away, you can wait until age 70 and receive your pension with an increase or bonus.
Twenty years ago, this would have been when you considered retiring to enjoy the fruits of your labor. Not so much now. People are living longer and working longer.
Everybody knows 60 is the new 50, 70 is the new 60, and so on…
Inexpensive Life Insurance Over 60 – It’s Cheaper Than You Imagine
Sure, the world has changed radically, but sadly, people’s perception of life insurance seems stuck in cement.
They believe life insurance is unaffordable and sales agents are shifty. Nothing could be further from the truth. Of course, there is the odd exception to the rule, but it’s a good business.
Life insurance companies recognize the changing demographics and are creating and modifying their products to meet the demands of a more active, aging population.
Most clients over 60 who come into my office looking for affordable life insurance are excited to learn how inexpensive their premiums can be.
Okay, so what’s the deal? How can you ensure your quoted rate is the best on the market? Let’s examine how the underwriters view you right now.
Your Circumstances & Inexpensive Life Insurance Over 60
If you take nothing else away from my blog, it’s this…
…the rates you’re quoted are linked to your circumstances. But that’s not all. Each life insurance company approaches underwriting differently.
So what does that mean? Well, friends, let’s start with an example.
Some insurers are tougher on Seniors, and others are more lenient. Knowing this information, you should choose the best insurer for your situation.
This is why you need to speak with a knowledgeable independent agent.
At Policy Architects, we perform a financial analysis and examine your medical background with a fine-tooth comb to find the perfect insurance company.
…and if we have any questions, we will contact insurers to shop your case BEFORE you apply.
This is how I help clients save a ton of cash. It does pay off to have someone in your corner who’s looking after your bottom line.
In a nutshell, the savings can be in the tens of thousands of dollars over the term of your coverage. Let’s run through a couple of numbers to better understand what you’re looking at.
Picking the Right Company for YOU! The Dollars and Cents…
A 61-year-old gentleman just walked into my office looking for inexpensive life insurance for people over 60.
He’s a non-smoker but not in the best shape in the world.
Understandably, he’s a little nervous about applying for life insurance. He started his family late in life and, as a result, still has children and a wife who depend on his paycheck to maintain their lifestyles.
He estimates he needs about $250K in coverage for 20 years to protect them.
My client has a friend who uses Foresters and wants me to help him apply to that insurer.
Hmmmmmm, well, hold on there, partner! My guess is we can get a better deal than Foresters’ offer. Sure, they are a great insurer, but are they the right fit for his circumstances?
Let’s review the numbers to see:
Foresters Life Insurance Term 20, $250K
Industrial Alliance Term 20, $250K
$12,313.00 Savings
Looking for Inexpensive Life Insurance Over 60? You Better Shop Around!
Yowza! As you can see, Foresters offers substantially higher premiums than Industrial Alliance.
If he selects IA, he will save over $12K throughout his policy.
That’s a lot of money; the savings are based on picking the right company. But there’s a catch.
You can look at all the quotes you want online, but that doesn’t mean you get the rate you see.
Why?
To qualify, you must pass a medical exam and the full underwriting process. If you’re healthier than you think, the rates are better.
If you have a condition you don’t know about, you may be rated or even declined in rare circumstances…
…and incredibly, this doesn’t even tell the whole story. If the company you pick is tough on Type 2 diabetes and you are diagnosed, you may get dinged for that, too…
…not to mention the different products! Ahhh, there’s a lot to think about.
You need an independent agent to help you navigate this process. It’s our job to know all the ins and outs of the insurers:
- Underwriting Approach
- Products
- Strengths & Weaknesses
So Let’s Check Out Some Rates: Inexpensive Life Insurance Over 60
I bet you want to get down to the important stuff, like how much I will pay EXACTLY for inexpensive life insurance for people over 60.
Remember, as I mentioned above, these figures should only be used for reference.
Your guess about the company’s rate is just that—a guess. You cannot ascertain this information until your medical exam is complete and the decision is issued.
That being said, I can give you an idea of the rates you may get in broad strokes. I’m using Empire Life for this section because they are a good insurer.
That doesn’t necessarily mean they are the suitable carrier for you.
As an aside, I use standard rates throughout because they’re realistic.
BMO RATES *Standard Rating* 20 Year Term
 |
||
| Age | $250,000 | $500,000 |
| 60 Year Old Male | $235.80 | $403.20 |
| 60 Year Old Female | $162.23 | $281.25 |
| 61 Year Old Male | $258.75 | $446.85 |
| 61 Year Old Female | $178.65 | $318.60 |
| 62 Year Old Male | $283.95 | $495.90 |
| 62 Year Old Female | $197.10 | $352.35 |
| 63 Year Old Male | $311.63 | $550.35 |
| 63 Year Old Female | $217.35 | $390.15 |
| 64 Year Old Male | $342.23 | $611.10 |
| 64 Year Old Female | $239.63 | $431.55 |
| 65 Year Old Male | $375.53 | $675.00 |
| 65 Year Old Female | $264.15 | $473.85 |
| 66 Year Old Male/Female | NOT AVAILABLE | NOT AVAILABLE |
*Quotes above are for BMO 20, monthly, Standard Health Class, non-smoker. Your rates may differ depending on your unique circumstances. July 2024.
Inexpensive Life Insurance Over 60 Takeaways
If you are looking for inexpensive life insurance for people over 60, you’re in luck. It’s still affordable and available.
Even if you have some health issues, standard rates are available to people who have a history of elevated cholesterol and blood pressure that is well controlled.
So don’t use medical conditions as an excuse not to get some coverage in place!
After reviewing these numbers, do you notice anything? Let’s check out a few takeaways:
- First, you can see that the rates quoted for women are substantially cheaper than for men. Yep, this is because men have shorter lifespans. This is the case with insurance companies, with a few exceptions.
- Secondly, your rates leap up every birthday. This is not so radical in your younger years. If you’re a 60-year-old female, you pay about $162.00 monthly for $250K of coverage. By the time you’re 64, you shell out about $240.00. The escalation is even steeper for men. The basic rule of thumb is that once you’re in your 60s, premiums go up about 9% every year. OUCH.
- Empire Life no longer offers a 20-year term past your 65th birthday. If you’re 66, you’ll have to consider a policy from Industrial Alliance or Western Life Assurance Company if you want a term. Assumption also has a no-medical-term 20.
“The moral of the story? If you want Term life insurance don’t wait until it’s too late.There are lots of creative ways to get coverage. If you’re in your 60’s term insurance may or may not be for you. Call us today and Policy Architects we will find you inexpensive life insurance over 60!”
When Does Permanent Life Insurance Become the Better Choice? Affordable Life Insurance Over 60
Permanent life insurance may be a better choice if you’re over 60 and looking for affordable life insurance.
For most clients, I recommend term life insurance. It’s cheap and covers a temporary need, which is great for families concerned about losing a paycheck.
When you reach your 60s, term life insurance starts to become expensive. Don’t get me wrong; it’s still a good deal, considering the years the life insurance company is covering.
…but maybe you want protection until the day you die. If you buy 20 years of coverage at 62 – you are uninsured by 82 years of age.
Final Expenses: Inexpensive Life Insurance Over 60
Depending on your circumstances, this may or may not be ideal. Also, many people are looking for money to cover final expenses at this age, so I recommend permanent insurance.
One strategy some people use is to buy a smaller base of permanent insurance (i.e., $25,000 – $50,000) and then add some term coverage.
When the term insurance expires at age 80 or 85, you still have affordable permanent insurance to cover funeral costs and some final expenses.
Worst case scenario? If your health worsens, you still qualify for guaranteed issue life insurance.
My best advice is to speak with Policy Architects today to see what fits your lifestyle.
At this stage in your life, the price point for Permanent insurance is too close to term to ignore. The cash value component is also another great feature.
Psst – want some money-saving advice? Opt for annuity payments (Call us now for more info):
“This little known secret reduces premiums because the insurance company does not pay your beneficiary all at once. Instead, he or she receives instalments over a series of years.
Annuity payments can save you money as well as ensure your spouse will be taken care of for years to come.”
Life Insurance for a 60 Year Old (Rates and Advice), Abrams Insurance Services
Why You Need Policy Architects for the Best Life Insurance Over 60 in Canada
If you’re looking for inexpensive life insurance over 60 in Canada – or over any decade, you need to call Policy Architects.
We’re a boutique life insurance company that provides individualized service customized for you!
Life insurance isn’t a one-size-fits-all sort of deal. There are so many options out there.
Having someone in your corner who understands the ever-changing underwriting landscape would be best.
Sure, you can get a policy online without ever talking to a human being, and that’s fine for some. But if you want someone who will go the extra mile and speak with the underwriters, we are your agency.
