Life Insurance As Part Of Your Later In Life Financial Plan

Portrait of a smiling elderly man with glasses

When we reach retirement age, we tend to have most of our affairs in order. But there are often a few things we haven’t quite gotten around to taking care of. Even the most hardworking people can’t always guarantee that they’ll have the financial security they imagined come retirement.

That’s why for many, securing life insurance is one of those things that slips under the radar. It can take second or third place to other financial commitments - or worse, it’s overlooked entirely. Yet, it could be one of the most important things we can do for our loved ones as we get older. 

If this sounds all too familiar, you’re not alone. In fact, that makes you one of 8.5million Brits with no life insurance. But not to worry, we’re only human after all, and there’s always time to put some financial protection in place for your loved ones. 

I bet you’re wondering how on earth buying life insurance could help you prepare for retirement. Well, in short, it helps you to protect those closest to you. It gives you a sense of comfort knowing you’ve put a financial safeguard in place for your family, for when you pass away.

What does Life Insurance have to do with retiring?

Preparing for retirement means that big changes are just around the corner. And like any of life’s most significant milestones - preparation is key. 

The fact is, if you have any family or dependents, the responsibility of paying for your funeral will likely fall into their hands. Over 50 Life Insurance can help protect them from facing high funeral costs during an already stressful time.

It’s all well and good to take care of your bills when you’re alive. In fact, your finances might be in tip-top shape. However, life insurance is about helping to protect your family when you’re gone.

It isn’t too late to help protect the ones you love

If you’re thinking, ‘it’s too late to get affordable insurance’ – that’s where you might be wrong. British Seniors offer a range of products for older people. Our Over 50 Life Insurance is guaranteed acceptance for UK residents aged 50 to 80. Our Over 50 Life Insurance is guaranteed and does exactly what it says on the tin - meaning you won't have to provide us with a medical. In fact, we won't even ask any health questions.

Our Seniors Term policy is available to UK residents aged 45-80. Unlike our guaranteed policy, you can get cover for a set term of your choosing. You will however have to answer some straightforward health and lifestyle questions when applying for this policy type.

Taking out a life insurance policy is easy with British Seniors, and better yet, you can choose a benefit amount that works for your budget. Wouldn’t it be nice knowing that you’ve taken a small step to make a big difference to your loved ones? And that’s all it is, a small step - we can assure you that the entire process is simple, from start to finish. 

Remember, when you choose to secure life insurance sooner rather than later, you could be eligible for a better rate. This means that with careful planning, protecting your family can have less of an impact on other financial responsibilities.

I have savings, why do I need life insurance?

There are major benefits to having both life insurance and savings. For instance, your savings could be used to enjoy your retirement since some of your funeral costs can be taken care of by your Life Insurance policy. That being said, with increasing funeral costs and inflation, your savings alone may not be enough to cover costs.

Funeral costs are rapidly rising, so much so that it’s pushing families into a state of funeral poverty -  a term used to describe debt caused by paying out of pocket for a funeral. Even the most basic funeral could cost £3,635 for a cremation and £4,068 for a burial. These figures don’t consider things such as professional fees or reception costs. Funeral prices have now surpassed the rate of inflation and are unaffordable for many

Your savings might be enough to cover a basic funeral now but with inflation, the future is uncertain when it comes to funeral costs in the UK. According to our Funeral Report 2021, 60% of respondents who had recently paid for a funeral drew from savings, 17% borrowed from a friend or a relative, while others used payday loans and credit cards.

Affordable life insurance options that fit your budget

With British Seniors, you choose a benefit amount that suits your budget, so you can rest assured that you won’t find yourself in over your head when it comes to your monthly payments. Our Over 50 Life Insurance costs as little as £4.32 per month1 depending on your age. While you could secure a Seniors Term policy for £2.87 a month2. The younger you are when you secure your policy, the smaller your monthly premiums. That’s why it could be a good idea to secure life insurance as soon as possible so that you get the most out of your policy.

Making your policy work with your retirement plan

Let’s take a quick look at how our policy works:

To begin, you can visit our website and get a quote, request a callback or buy our Over 50 Life Insurance online in minutes. 

You’ll choose a benefit amount based on your age and your budget, which is important when considering life insurance as part of your later life financial plan. 

Since the maximum benefit amount depends on your age, you will have to give careful consideration to what is affordable to you and what kind of benefit amount you need. If you are opting for a Seniors Term policy, you must also consider how long you need cover for. If you're looking to protect your family until a mortgage is paid off or until your children have are financially independent, a Seniors Term policy may be a suitable choice.

Here are the benefit amounts available based on age:

AgeBenefit Amount (depending on age)
50 to 69£1,000 - £10,000
70 to 74£1,000 - £9,000
75 to 80£1,000 - £6,000

Once your policy is in place, you will pay a monthly premium on a date of your choice. If you find your financial circumstances have changed and you need less cover, you can apply to make a change to your policy over the phone. If you wish, you can apply to change it again later down the line if you find you’re in a position to pay more (age restrictions may apply for benefit amount increases). This flexibility plays an important part in making life insurance work within your financial plan.

Another feature of our Over 50 Life Insurance policy is that provided you keep up with your payments, you’re covered for accidental death from your policy start date. This means if you die in an accident, your beneficiaries will receive two times your chosen benefit amount. So, if you choose £10,000 worth of cover and you die as a result of an accident, your loved ones would receive £20,000. 

With a Seniors Term policy, you are covered immediately for death by any cause (excluding self-inflicted injury in the first 12 months). The policy will even pay out in full if you're diagnosed with a terminal illness.

Easing into retirement

Why not ease into retirement knowing you’ve done what you can to help protect your family? It’s all well and good financially protecting yourself, but what about the ones you love? Life insurance gives you an opportunity to help financially protect your family. 

If you do wish to buy life insurance, you should start thinking about implementing it into your long-term plan sooner rather than later. Don’t forget to take the time to consider your budget, financial circumstances and desired benefit amount - that way you can get the most out of your policy. If you’re ready to make life insurance part of your later life financial plan, you can secure it over the phone or online.  To get a quote, you can call us FREE on 0800 803 0052.

1  For a 50-year-old non-smoker with £1,000 of cover.

2 For a 45-year-old non-smoker with £10,000 of cover over a 20-year term.