As we age, it’s natural to start thinking about how we can protect our loved ones after we’re gone. Over 50’s Life Insurance is a popular option for those looking to secure their family’s future. It’s important to understand the different payout options available to maximise your benefits.
Firstly
It’s important to note that Over 50’s Life Insurance policies typically offer a lump sum payout upon the policyholder’s death. The payout amount is determined by the policyholder’s age, health, and level of coverage selected. However, there are two different payout options to consider: level and increasing.
Level payout options offer a fixed payout amount throughout the duration of the policy. This means that the payout amount will remain the same, regardless of when the policyholder passes away. This option is ideal for those who want to provide a set amount of money to their beneficiaries. Such as to cover funeral costs or pay off outstanding debts.
On The Other Hand
Increasing payout options offer a payout amount that increases over time. This means that the longer the policyholder holds the policy, the higher the payout amount will be. This option is ideal for those who want to provide their loved ones with a larger payout over time, to help with ongoing expenses such as mortgage payments or living costs.
It’s also worth noting that some Over 50’s Life Insurance policies offer a joint policy option, where two individuals can be insured under one policy. This means that when the first policyholder passes away, the surviving partner will receive the payout. Joint policies are ideal for couples who want to ensure that the surviving partner is financially secure after one of them passes away.
When choosing a payout option for your Over 50’s Life Insurance policy, it’s important to consider your individual circumstances and the needs of your loved ones. It’s also recommended to seek professional financial advice to ensure that you select the best payout option for your specific needs.
In Summary
Over 50’s Life Insurance policies offer two main payout benefits: level and increasing. Level options offer a fixed payout amount while increasing options offer a payout amount that grows over time. Joint policies are also available for couples who want to ensure financial security for their partner. Understanding these options can help you maximise the benefits of your Over 50’s Life Insurance policy and provide peace of mind for you and your loved ones.
What next?
Now that you’re getting clued up with over 50s life insurance the next steps would be to find out how much cover you could get & more importantly how much it will cost.
To help with this process we’ve created a free custom form to get you a quote. Click here and answer a few simple questions. We’ll provide you with quotes tailored to suit your needs.