Last Friday I arrived home from New York City after a week of Broadway, museums, twinkling holiday lights, and more cannoli than any one person should consume. (Thankfully, I spent plenty of time walking them off!) Visiting the city in December was on my life list of things I wanted to do, and it didn’t disappoint.
Of course, New York City isn’t inexpensive. But my husband and I stayed with a friend, which meant we didn’t have to pay for a hotel room, and we lucked into a few deals. For example, our friend used his corporate discount to get reduced-price tickets to The Metropolitan Museum of Art, and we scored $25 tickets for front-row seats to Wicked through a lottery drawing held two hours before the show. I’d also prepared myself to expect higher prices so that I could relax a little and enjoy the first big vacation we’ve taken in almost three years. I can say in all honesty that every expense was worth it — especially the cannoli.
But want to know what travel expenses are not worth it? The new fees airlines charge for everything imaginable! Need to check two bags? That’ll be $60. Want a pillow? That’s $7, and we only take credit cards.
Luckily, we avoided paying these fees because we have the incredible willpower it takes to pass on airplane food — delicious as it is — and we only packed one carry-on each. But while writing this article, I learned that if we had been on Spirit Airlines, we would have paid $60 extra for two carry-on bags. And I learned that not all of these new fees are disclosed upfront.
Sneaky fees or a buffet of services? Airlines say the extra fees keep overall ticket prices low, allowing passengers to only pay for the services they want. But some of these fees pop up at the end of a transaction or while a passenger is checking in luggage, making it feel less like a “menu of services” and more like a mob-style shakedown — an offer you can’t refuse. If you want to catch your flight, that is.
One group working to require fee transparency is Mad as Hell About Hidden Fees (MAH). An initiative of the American Society of Travel Agents, Business Travel Coalition, and Consumer Travel Alliance, MAH started a petition urging the Department of Transportation to “require airlines to make their fees fully and easily accessible to both consumers and intermediaries in the travel industry.”
In a press release, Paul Ruden, Senior Vice President of Legal and Industry Affairs for the American Society of Travel Agents, said:
This issue is not about fees, but about fairness. Although more than half of all airline tickets are booked through traditional or online travel agencies, the airlines have chosen to hide their fees from the systems that power those bookings. Airlines should be able to make a fair profit and set fares and fees that allow them to do so, as long as travelers can see and compare all of those fees in advance.
According to an online survey, two-thirds of travelers have been surprised by add-on fees after arriving at the airport. Another study showed that hidden fees can increase the original ticket price for a typical traveler with a single bag 10% to 82%, or 21% to 153% for a traveler with two bags.
Not all fees are disclosed online Okay, I thought, why not just look up the fees before you book? Turns out it’s difficult, if not impossible, to find all of the fees on an airline’s website. Consumer Travel Alliance put together a video of their attempt to find add-on fee amounts on seven different airline websites:
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Be aware of “gotcha” fees Unfortunately, it’s not always possible to get around the extra fees, but being aware of some of the common ones can help. The following are surprising add-ons to note and avoid:
Booking by phone or in person. Most airlines charge extra when customers don’t book online. US Airways, for example, charges $25 to book a domestic flight on the phone and $35 to book in person.
Credit card “convenience” fee. Think paying online is the way to go, then? Not on Allegiant Air. The airline adds a $14 surcharge to tickets booked through its website, but waives the fee if you buy in person at one of its ticket offices.
Carry-on fee. As mentioned earlier, Spirit charges for carry-ons (anything smaller than 16″ x 14″ x 12″). Downsize, or choose another airline. So far, others haven’t added this fee.
Unaccompanied minor fee. This isn’t a surprise fee, but the amount can be a shock considering that the flight attendant does little more than escort the child to and from the gates. Two unaccompanied minors flying round trip with JetBlue, for example, adds $300 to the base fare.
Ticket change. Southwest is the only airline that doesn’t charge you extra to change your itinerary, all others will charge anywhere from $50 to a whopping $300 (international flight on Continental).
Baggage fees. These are easier to locate on an airline’s website than many of the other fees, so be sure to look them up before you pack. Most airlines charge $15-$25 for the first checked bag. If you try to stuff everything into a carry-on and your bag is just one pound overweight, you’ll probably pay even more: starting at $25 (Hawaiian Airlines) and up to $200 (US Airways). Weigh your carry-on after packing and before heading to the airport, and be sure pack lighter if you plan to bring home souvenirs.
Earlier this year the Department of Transportation announced that it was proposing regulations to protect air travelers against hidden charges, and was accepting public comment through September 23, the date MAH declared as Mad As Hell Day! and submitted its petition. Maybe the day will come when all fees are clearly listed on airline websites, but until then, check out sites like Airfarewatchdog and Expedia for airline fee charts, as well as SmarterTravel.com’s Ultimate Guide to airline fees.
Have you ever been charged a “gotcha” fee by an airline? Share your stories and advice in the comments!
Temperatures are currently soaring across the U.S. South, with little expected relief ahead of the Fourth of July holiday.
Texas alone has seen record-high forecasts of temperatures around 110 degrees. The heat wave has come hot on the heels of several destructive storms that put severe pressure on the region’s energy grid and left thousands without power.
Weather experts expect the heat wave to expand further north into Missouri, the Mississippi Valley, Oklahoma, the western Florida Panhandle and western Alabama. As of last Saturday, more than 40 million people in the U.S. have been placed under a heat alert.
And the heat, combined with typical summer storms, is already affecting travelers. For example, when traveling recently on an Embraer 175, TPG’s Summer Hull and her two kids volunteered to receive $1,000 in future travel credits each as the plane was overweight for its trip from Houston’s George Bush Intercontinental Airport (IAH) to New York’s LaGuardia Airport (LGA) due to weather-related weight and balance issues.
Make no bones about it, this year’s Fourth of July celebrations are going to be hot, with an increased likelihood of more storms and heat-related travel disruptions.
For those without air conditioning, these temperatures can be extremely difficult to live with. The commute to work becomes more stressful, and it might be nearly impossible to sleep at night. All in all, it’s not a pleasant experience.
Not only do hot days affect how we work and sleep, but they also affect the aircraft that we fly on.
Air density
We’ve all heard the phrase “hot air rises,” but what does this actually mean and how does it affect your flight?
The air around us is composed of various particles, and, for the most part, it consists of 78% nitrogen, 21% oxygen and 1% various other gasses (such as carbon dioxide and water vapor). These molecules of air bounce around the place like balls in a lottery machine, taking up as much space as is available to them. This is known as the atmosphere.
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As the temperature increases, the atoms within these molecules get excited and start to move around more. The hotter they get, the more they move and the farther apart from each other they become — making the air less dense. Conversely, the colder the air becomes, the less excited the atoms are and the denser the air becomes, which makes it sink lower.
On a typical day, as the sun heats the ground and the air above it, the temperature of that air mass increases. This causes the air molecules to increase their movements and rise into the sky, reducing the air pressure as the density reduces. The hot air becomes “thinner” and therefore rises.
As the hottest part of the day passes and the air begins to cool, the molecules become less excited and sink back down toward the earth, increasing the density and, consequently, the air pressure. The same mass of air is now much heavier than it was during the hottest part of the day.
How aircraft fly — a quick refresher
So why does the air density matter for aircraft? Well, contrary to common belief, aircraft fly not because of their engines but because of their wings.
As air flows over the wings, it creates a difference in pressure between the lower and upper surfaces. (There is lower pressure on top and higher pressure underneath.) It’s this difference in pressure that causes lift. When the lift generated by the wings becomes greater than the weight of the aircraft, the aircraft can leave the ground and fly.
For the math-minded among you, the formula for lift is …
Therefore, the amount of lift produced depends on the speed of the air over the wing, the density of the air and the wing area.
The engines are there to provide the forward movement the aircraft needs to drive the air over the wings. During the takeoff run, the engines accelerate the aircraft forward, forcing air over the wings. Because the amount of lift generated is partly determined by how fast air flows over the wings, once the aircraft reaches a certain speed, there will be enough lift to become airborne.
It’s for this reason that aircraft won’t simply fall out of the sky even if both engines fail. If that incredibly rare event were to happen, the pilots would simply lower the nose slightly and use gravity to keep the air flowing over the wings, creating lift. This will give a glide ratio of roughly 3 miles for every 1,000 feet above the ground; this means an aircraft at 43,000 feet can glide for around 130 miles.
How air density affects aircraft
So now that we know a little about how aircraft fly, we can begin to understand how the air temperature affects them.
As I mentioned, the amount of lift generated depends on a number of factors in the lift equation, including the speed of the air over the wing and the density of that air.
Related: The challenges for pilots when landing at hot and high airports
We’ve already agreed that on a cold day, the air is more dense, and the molecules fall lower and pack in tight together. As this air flows over the wing, there are many air molecules passing over the surface, creating the perfect conditions for lift.
However, on a hot day, the air is much less dense. As a result, when that hot air passes over the wing, there are far fewer air molecules near the surface, which reduces the amount of lift created.
This difference is why pilots prefer to fly on cold (dense air) days rather than hot (less dense air) days. Not only do the wings generate more lift at a given speed, but the aircraft “bites” the air much better and is more responsive to control inputs.
What if it gets too hot?
We’ve seen that on a hot day it’s more difficult for wings to generate lift than on a cold day. When temperatures reach 86 degrees and above, this has a noticeable effect on aircraft performance.
So what can we do if the air density decreases, but we want to keep the lift generated the same? One option is to delay the flight until the air temperature decreases. It’s for this reason that many ultra-long-haul flights depart late at night when the air is the coolest.
However, delaying a flight due to high temperature isn’t ideal. With that in mind, there are two other variables in the formula — the area of the wing and the speed of the air over the wing.
Make the wing bigger
The first option is to make the wing bigger. Even though this may seem like an unrealistic idea (how can you just make it larger?), it’s not as unrealistic as you may first think.
When you first board an aircraft and can see the wing, it looks pretty smooth and sleek. However, just after the engines start, a loud whirring noise comes from under your feet and the surfaces on the leading edge and trailing edge of the wing move outward.
By extending the slats (leading edge) and flaps (trailing edge), we can increase the aerodynamic surface area of the wing, giving us a higher value for our lift formula. For takeoff, most commercial aircraft set the flaps to around a 5-degree extension.
They can go up to around 30 degrees — a measurement used for landing. Since increasing the wing area will create more lift, one option is to use a greater flap setting and increase the area of the wing.
While this is a solution, it’s important to note the more flap you use, the more another factor comes into play — drag.
Drag is the aerodynamic force that slows an object down. The more an object is “hanging out” into the oncoming wind, the more drag it has. This is why sports cars and fighter jets have low, sleek profiles.
Related: No, your flight didn’t go supersonic. That was just really fast wind
If we use more flap to increase the surface area of the wing, there’s a point where the drag generated becomes a bigger problem. The more drag there is, the faster the plane has to fly to overcome the extra force, reducing the lift generated.
Go faster
Using extra force to generate more lift works but is hugely inefficient. The other option is to simply increase the speed of the air over the wing. There are two ways to accomplish this.
The first is to take off into a strong head wind. If an aircraft needs an airspeed of 100 mph over the wings and you angle it into a 100 mph wind, the aircraft will become airborne even if it is stationary compared to the ground.
In the video below, the small aircraft needs very little air over its wings to become airborne. So little, in fact, that during a storm, bad weather can generate winds strong enough to meet these criteria. The result? Any aircraft that isn’t tied down can very quickly relocate to another area.
However, because most commercial airliners need airspeeds of around 180 mph to become airborne, and the lift generated by wind alone will only make up maybe 30 mph, the other 150 mph must be generated by the engines.
Another little-known fact is that we rarely take off with our engines at full power. This is because it uses a lot of fuel, increases the amount of maintenance needed, and is noisy for those living and working around the airport. As a result, we try to get airborne using as little engine power as safely possible.
To do this, we calculate just how much engine power we need before each departure by considering all the variables — air temperature, air pressure, wind speed and weight of the aircraft. By adding in the runway length available to us, we can then calculate just how much engine power we will need to reach our takeoff speed with the runway length available.
If we need to increase the speed because we can’t increase the wing area anymore and the air density is too low because the length of the runway is fixed, the only way we can do this is to increase our engine power. However, there may come a point where we are using full power but the runway isn’t long enough to reach our takeoff speed before the end.
This is why airports in hot places such as Dubai and Singapore have exceptionally long runways. When airports with shorter runways, sufficient for normal weather, go through periods of extremely high temperatures, the runway length can suddenly become a limiting factor.
When there’s not enough runway
When we’ve reached this stage, things really get challenging. We can’t increase the wing area anymore due to excessive drag, and we can’t go any faster because the runway isn’t long enough. It seems that we would be stuck as these are the only variables in our lift formula. However, there is one more element that we can change: the amount of lift required to get airborne.
We’ve already mentioned that an aircraft flies when the lift generated by the wings is greater than the weight of the aircraft. So, if we are unable to generate any more lift, the only way to still get airborne is to reduce the weight of the aircraft to a value that allows us to get safely airborne.
When loading an aircraft, the one thing we can’t change is how heavy the aircraft is when empty. What we have to do once again is look for the variables. These come in four areas: the amount of fuel we load, the number of passengers we carry, the number of bags we load and the amount of cargo we carry.
The first of these to go will be the cargo, as this can be loaded onto a later flight without much inconvenience to the customer. The next element we’ll try to change is the fuel figure; however, understandably, there is a limit to how much we can reduce this.
We may look at how much fuel we will use to taxi to the runway or how much contingency fuel we carry in case of unexpected routings or altitudes. However, realistically we only save a few hundred kilograms in weight by doing this, even on a long-haul flight.
The final variable is when airlines become really unpopular with customers — offloading them or leaving their bags behind.
Related: Runway approaching: How pilots find their way safely to the ground in all elements
Let’s be clear on this: No airline wants to leave passengers or bags behind. However, there is absolutely no way the pilots will risk taking off knowing that the aircraft is too heavy for the environmental conditions.
As a result, the only option is to either cancel the flight or offload some passengers and/or bags and send them on another flight.
Bottom line
Not only do high temperatures affect how we work and sleep, but they also have an effect on how aircraft fly. As the mercury rises, the air density changes, which reduces the performance of the lift-generating wings. Pilots have ways around this — but only up to a certain point.
Should the temperature become so hot that the pilots can’t make any further changes to their takeoff performance, the only way to get safely airborne is to either offload passengers and bags or cancel the flight altogether.
This is far from ideal, but it’s our job to keep all those on board our aircraft safe. Every so often this involves taking extreme steps.
When most people get blood work done, they might expect more common conditions such as high blood pressure, cholesterol, etc.
One uncommon finding that your lab work may present is what is called elevated liver function or LFT. According to Virtual Medical Centre,
Liver function tests are groups of clinical biochemistry laboratory blood assays designed to give information about the state of the patient’s liver.
If your blood work comes back having elevated liver enzymes, then it can be possible that you have beginning stages of some sort of liver disease.
Just because you test for elevated liver function, does that mean you’ll get denied when applying for term life insurance? Absolutely not.
Like any other high-risk condition, it’s all about being transparent with the underwriters and sharing everything you know about your condition. Elevated liver enzymes is no different. The top life insurance companies will take this into consideration and give you better rates if you can do this.
Elevated Liver Function Questions When Applying for Life Insurance
If you do have LFT, here are some of the items of information that the underwriter is going to want to know:
Date of diagnosis.
Your ALT (SGPT) score.
Your ACT (SGOT) score.
Your GGTP (GGT) score.
If you have stability, yes or no.
If you’re hepatitis negative, yes or no.
If you’re CDT negative, yes or no.
It’s important that you consult with your doctor to get all your medical records in check. This will aid in the underwriting process.
What typically causes LFT?
There are many different health conditions that can cause the elevated liver enzymes in your body. Some of these include excessive alcohol use, hepatitis and cirrhosis. There are even certain types of medication that can cause this as well. When applying for life insurance and having elevated liver function, we try to demonstrate to the underwriter what exactly is causing the issue.The reason for the elevated levels are going to have a significant impact on how the insurance company looks at your application.
There are also a few simple things that could cause elevated enzymes in your liver. Normal things like over the counter drugs like aspirin could cause you to have an elevated liver enzymes reading, be sure to tell the paramedic of any medications that you’ve taken prior to your health exam.
Another factor to consider is sickness. There are a lot of common illnesses that can impact your liver enzymes. If you’re ill or have been fighting off a sickness, you should probably reschedule your health exam, otherwise you could get back some inaccurate results that cost you in monthly premiums.
If it’s something minor and getting rated a preferred may not be out of the question. In fact, I even read a few instances where individuals with LFT qualified at preferred plus rates which is the cheapest life insurance you can buy.
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Saving Money on Life Insurance
The last thing you want to do is pay more for your life insurance than you need. That’s why working with an independent agent that takes the time to ask the right questions before applying will make all the difference in the world. An independent agent can compare quotes and connect you with companies that have experience working with applicants with elevated liver enzymes. Working with an independent agent isn’t the only thing you can do, there are several lifestyle changes you can make to save you thousands of dollars in monthly premiums.
One of the most important factors that is used to calculate your rates is your overall health. Aside from liver enzyme levels, the insurance company is also going to look at your height, weight, age, blood pressure readings both systolic and diastolic , and much more.
If you want to save money on your monthly premiums, take some time to focus on your health and make some changes. Being overweight or a smoker can double or triple your premiums. The best way to save money on your life insurance policy is to quit smoking or using tobacco. Either of these are automatically going to cause your premiums to go through the roof, regardless of how the rest of your health is. Regular exercise and a healthy diet are not only good for your waistline, but it is also great for your bank account.
Life insurance is one of the best things you can buy for your and your loved ones. Don’t let elevated liver enzymes keep you from getting the protection you deserve. If you’ve ever been told that you can’t get life insurance because of elevated liver enzymes, that couldn’t be further from the truth.
There are only a few rare cases that the condition keeps applicants from getting a traditional life insurance policy. In most cases, applicants are surprised to see just how affordable their life insurance plan is going to be. You can’t put a price on the peace that life insurance brings knowing that your family will be covered if anything were to happen to you.
How Much Life Insurance to Purchase
One of the biggest considerations of the life insurance purchasing process is deciding how large of a policy you need to get. There is no perfect number that everyone should get, the size of the plan is going to change depending on each person’s situation. There are a couple of different factors that you should consider when deciding on the size of your policy.
When calculating the size of your life insurance plan, look at how much debt you would leave behind and how many of your loved ones count on your annual salary to get by. Add up all of the debt that you have, mortgage, car payments, student loans, etc. and the number that you end up with is an excellent starting point for your policy. Additionally, consider how many of your family members rely on your salary to get by. Most financial experts suggest that you get a policy that is at least ten times your annual salary.
Whenever I first started in the financial services industry when I was 24 none of my friends wanted to talk to me about life insurance. Most of them didn’t see the point and they had too many other financial goals on their mind. Buying new cars, buying big screen TVs, paying off debt.
Now that they are in their 30’s and their family has become more of a priority life insurance has taken on a more serious role. If you’re in the beginning stages of starting a family, life insurance in your 30’s is vital. There’s no more just worrying about you. Now you have to worry about a spouse and possibly young children.
If you feel like I feel turning 30 is not the end of the road. So it’s never too late to think about life insurance planning.
How Much Does Life Insurance Cost When You’re 30?
One of the common misconceptions when it comes to life insurance is people think it costs too much and that is not the case. Life insurance in your 30’s doesn’t cost that much either.
Just out of curiosity I ran a quote for $1 million for term life insurance coverage and the lowest rate is only $695 for the entire year.
So that’s $1 million of coverage to make sure that your family is taken care of and it costs you as little as $57.91 per month. That’s it and that’s for $1 million of coverage. If you’re a 30- year- old female, the cost is going to be that much less. The important thing is to not wait any longer for your term life insurance. The younger that you are, the cheaper your monthly premiums are going to be.
Additionally, you never know what tomorrow is going to bring (cheery, right?) if something were to happen to you, how would your family be able to recover? Not only will buying life insurance today let you know that your family will be covered, but it can also save you money in the long-run.
Life Insurance In Your 30’s Will Not Break You
The point is life insurance in your 30’s does not cost a lot. You will not break that bank by making sure that your family is taken care of should something happen to you. You can’t put a price tag on the peace of mind that this policy will bring to you. There is nothing like knowing that your family will have the funds they need if anything tragic were to happen to you.
If you’re not sure exactly how much you need check out my other post Term Life Insurance for a 30 Year Old, as I take you through my process where I decide how much of term life coverage I needed for my family.
If you want a quick answer on how much you should get, look at your total debt and how much you would leave behind. Add all of that up and that is a good starting point. Also, include your annual salary.
Saving Money on your Monthly Premiums
Nobody wants to spend more money than they have to, especially when it comes to life insurance. There are a few ways that you can easily save money on your monthly premiums.
The first way is to use the company that you already have insurance plans with. If the company that you have your car insurance through also offers life insurance, you can probably get a “multi-policy” discount for purchasing your plan through them.
But don’t automatically go with the same company because you already have purchased an insurance product from them. Another way to ensure that you have the best rates possible is to shop around with several companies before you decide on one. Because each company is different, they are all going to look at applicants differently. Your rates could be significantly different depending on the insurance company.
Second, if you want to save money, it might be time to hit the gym. One of the biggest factors in determining your insurance rates (aside from age, which you, unfortunately, can’t change) is your health. After you apply for the insurance policy, the company will send out a nurse or paramedic to do a health exam. The results from the exam can save you hundreds of dollars, or cause your premiums to go through the roof.
A healthy diet, regular exercise, and quitting smoking are some of the best ways that you can save money on your insurance. Any applicant that is overweight or obese could expect their monthly premiums to double. If you’re a smoker, your premiums are going to be doubled or even tripled, regardless of the rest of your health. Before you apply for a life insurance policy, spend a couple months losing a few extra pounds and kicking the cigarettes. Your waistline and wallet with thank you.
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The Importance of Life Insurance
An adequate life insurance policy is one of the best things you can purchase for you and your family. Every year we hear stories of families that lost a loved one unexpectedly. On top of all of the emotional strain they are feeling, they are left with thousands of dollars of debt because of a mortgage payment, student loans, credit card bills, and funeral expenses that they can’t pay for.
Life insurance provides a safety net for your family that you hope to never use. Most people put off life insurance because they don’t want to think about their own death, but that is one of the worst mistakes that you can make.
Assuming you are 62 years old (or young), life insurance is probably on the forefront of your mind. And it should be because it’s a great way to financially help take care of those you love.
But you may have questions like these and others that I will answer:
Can I qualify for life insurance as a senior if I have medical conditions?
Should I buy term or permanent life insurance at my age?
What is the average life insurance cost at age 62?
What can I do to get the best life insurance rates?
What is the easiest no-hassle way to get the lowest premiums?
Shopping for life insurance while you are still healthy is a great idea so as to lock in the lowest rates possible. This is also a great time for people to buy life insurance for their children. There are plenty of options for coverage at your age so it is strongly advised that you shop around before making a decision.
With thorough research, a 62-year-old can come away with a great life insurance policy that can provide you and your family with peace of mind.
Your Options for Insurance In Your Sixties
There are multiple options for life insurance for those that are at or nearing age sixty-two. The two most popular types of insurance are term life insurance and permanent life insurance.
Term life insurance is popular because of the availability to be purchased for different periods of time. These periods are typically purchased for either 5 years, 10 years, 15 years, 20 years, 25 years or 30 years. There is also an Annual Renewable Term plan that is basically a 1 year renewable policy. Term plans are known to be relatively affordable even for someone needing life insurance at age 62.
Permanent life insurance on the other hand lasts for an entire lifetime, but of course as long as you keep up with paying your premiums. There are some plans you can pay up early, or either stop paying the premiums and take a lower death benefit. The other benefit of permanent life insurance is that it acts as an asset as it will accumulate a value in cash. This means you will have an investment arm of your insurance policy that can be tapped into at retirement or for a spouse to use once you pass away.
Recently there has come on the market what is called Permanent Term, and it is a permanent policy that is not designed to accumulate a cash value. It is the least expensive way to get a term policy without having to worry about the policy expiring early. One of the things that is great to do ahead of time before you get too deep into the process is to figure out how much insurance (death benefit) do you actually need? We make it easy with our calculator that will help you make that determination.
What is the average life insurance cost at age 62?
Most people think that life insurance for people over 60 is very expensive but, term life insurance is relatively affordable and even more so if you start shopping for life insurance in your 50’s, but it’s not too late to start. A male can obtain a $200,000 policy for $1237. Whole life insurance on the other hand can be obtained for $1675 for a $50,000 policy. Of course, life insurance is dependent on multiple factors that rely on your physical health and well-being.
These rates are based on your average, non-smoking, sixty two year old. Rates will vary depending on your level of health and physical well-being. Look at these sample quotes for a $250,000 policy:
Sex
10 Year
20 Year
30 Year
Male
$72.21/month
$103.03/month
$47.06/month
Female
$50.90/month
$66.12/month
$97.34
For your information, the life expectancy of someone in the mid-sixties has increase over 55% in the last 100 years. In 1901 the life expectancy for a 65 year old man was 11.5 years and a female was 12.2 years for an average of 11.9 years. In 2001 (the mortality tables currently being used by many life insurance companies) the life expectancy for a 65 year old man is 16.8 years and a female is 20.1 years for an average of 18.5 years.
What can I do to get the best life insurance rates?
Once you have gotten the best life insurance rates at age 62 based on your current health, start working on any of the following habits, lifestyles, or things within your control to help you become a better risk for an insurance company. You can always apply later for a reduced rate, or either buy a new cheaper plan altogether from a different company.
Stop smoking.
Start exercising or continuing to exercise.
Keep medical conditions such as high blood pressure under control, using medications if you have to.
Lose weight if you are overweight based on standard height and weight charts.
Drink more water – just a great healthy habit for our bodies.
No longer participate in hazardous occupations or high-risk hobbies or activities.
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What is the easiest way to get the lowest premiums?
Before you make any decisions, try to obtain a couple of quotes from different insurance companies. Each carrier will have different rates and different rating systems. You could receive drastically different quotes from different companies. It’s your decision to spend your valuable time chasing individual quotes from all different types of companies, but that time would be better spent filling out our short quote form and let us give you the lowest quotes from highly-rated life insurance carriers across the country.
Some insurance companies specialize in offering insurance at affordable rates to those will more prevalent diseases such as diabetes, while others offer more affordable rates to older applicants.
How are Premiums Calculated?
Premiums are determined by a list of factors. So when applying be aware that your status on each one will impact your monthly payment.
The first and biggest factor is your age (unfortunately, there is nothing we can do about that), which because 62 is older than most applicants, you will pay more than you did when you bought your first life insurance policy, if you ever bought one. But, don’t despair, a life insurance policy is still affordable and might be cheaper than you think. Age isn’t the only factor that they look at, there are options at getting the lowest rates possible.
Aside from looking at your age, for a traditional life insurance policy, the insurance company is going to need to know what kind of health you’re in. After you fill out the initial paperwork, a paramedic will be sent to perform a medical exam. This exam will consist of basic things like taking your weight, blood pressure, taking a blood sample, asking health questions, and taking a urine sample. If you’re looking to save money, it’s time to focus on your health.
Being overweight, having high blood pressure or cholesterol can cause your monthly premiums to double. If you want to lower your rates, spend some time exercising and following a healthy diet to shed a few pounds. Not only will it make your doctor happy, it will also make your wallet thinner. One of the best ways to save money on your insurance rates is to get off the cigarettes. Being considered a smoker will cause your rates to double or triple, regardless of the rest of your health. When applying for a life insurance policy, smoking sits at the top as a “rate-hiker”.
The Importance of Life Insurance
A life insurance policy is one of the wisest financial decisions to make for your loved ones, even at this stage of your life. One of the biggest reasons that people at the age of 62 look for a life insurance policy is to protect the heritage they want to leave. If you want to leave your children with the investments and savings that you’ve been planning, you should make sure that it won’t get smothered by taxes, fees, and debt that you leave behind.
Every year we hear stories of children and loved ones that lost a parent or spouse unexpectedly. These people were left with either a mountain of bills an inheritance that was quickly drained because of taxes or paying for left behind expenses. One of the best ways to make sure this doesn’t happen to your family is to purchase the perfect life insurance plan.
When shopping for life insurance, high blood pressure or treated blood pressure can complicate the process.
If you currently have high blood pressure, getting life insurance will be more difficult.
The higher your blood pressure, the more chances you will be excluded from the best life insurance rates and policies.
However, there are still insurance companies that will offer favorable rates for those with high blood pressure or being treated for high blood pressure under the right conditions.
Your specific blood pressure rate is important to insurance companies, but whether you take medication or not is also important. Your average readings for the past year or two will be taken into consideration when you have high blood pressure or treated blood pressure.
Why Life Insurance Companies are concerned about Hypertension
When a life insurance applicant has high blood pressure (hypertension), it means that there is the potential for serious health problems, making that person a high risk life insurance individual.
Here are some, but not all, of the potential health complications that could contribute towards a premature fatality that would require a life insurance company to pay a death claim:
Strokes and Transient ischemic attacks
Heart attacks
Possibly cause sleep apnea
Artery damage and aneurysms
Kidney failure and scarring
Heart disease and heart failure
Obviously, an applicant with these conditions would make that person a high-risk category for insurers. There are other health-related complications that aren’t necessarily life-threatening. However, conditions such as poor eyesight resulting from damage to the eyes, bone loss due to excessive elimination of calcium in the urine, problems with having sex for both men and women, and possible dementia would be issues that are not of immediate concern for life insurance companies but are real nonetheless.
Life Insurance and Blood Pressure Readings
It is very important that an individual who has been diagnosed with High Blood Pressure understand and monitor their blood pressure readings.
Blood pressure readings are composed of 2 numbers and they are usually displayed as a ratio. The top number is called the Systolic reading, and it measures the fluid pressure in the arteries when the heart is beating.
The second number (bottom number) is Diastolic and measures the pressures in the artery in between the heartbeats.
These numbers are measured by the pressure in terms of the millimeters of mercury. The American Heart Association has the following guideline recommendations for categories of Blood Pressure:
Blood Pressure Category
Systolic mm Hg (upper #)
Diastolic mm Hg (lower #)
Normal
less than 120
and
less than 80
Prehypertension
120 – 139
or
80 – 89
High Blood Pressure (Hypertension) Stage 1
140 – 159
or
90 – 99
High Blood Pressure (Hypertension) Stage 2
160 or higher
or
100 or higher
Hypertensive Crisis (Emergency care needed)
Higher than 180
or
Higher than 110
Most life insurance companies prefer that your blood pressure readings are in the prehypertension range or better in order to get their preferred rates.
Life Insurance Companies consider Blood Pressure Medications
When you need life insurance with high blood pressure, taking medications may count against you with some life insurance companies. This is true even if the medication keeps your blood pressure at healthy levels. If your blood pressure is under control, insurance companies prefer that it has remained under control for a long time. However, if your blood pressure is still fluctuating, it could count against you. Some companies have a specific time frame that they prefer your levels to be under control.
Almost all of the typical medications that are being used today to treat high blood pressure can be taken orally. Some of the most popular ones are:
Lisinopril
Atenolol
Bystolic
Diovan
Hydrochlorothiazide
Metoprolol succinate
Amlodipine
Norvasc
Toprol XL
Make sure when applying for life insurance, that you know the exact dosages of the medications you are taking. This will be one of the questions that you will have to answer either to your insurance agent, a paramed examiner, or to a life insurance company employee.
In addition to the normal pharmaceutical’s prescribed by doctors, you will find many homeopathic treatments and natural non-drug treatments being advertised for treatment of high blood pressure.
Some of these are:
Herbal teas
Garlic
Hawthorn
Cinnamon
Basil
Flaxseed
Calamarine oil
Seaweed extracts
Always check with your pharmacist before taking something new, even over the counter, to see if it interacts with any high blood pressure medications you may be taking.
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Life Insurance with Blood Pressure Other Considerations
In addition to medications, life insurance companies always look at the total picture when they are doing their underwriting. In other words, they look at the total health and lifestyle of the applicant.
Here are other factors they will look at when deciding whether to offer a life insurance policy to a high risk individual:
Tobacco Use
Height and Weight Build Charts
Family History
Other medical conditions related to High Blood Pressure such as cholesterol levels, blood sugar levels, poor eyesight, etc.
Level of exercise or physical activity
Diabetes
Occupation
The life insurance premiums you are eligible for may be limited when you have been diagnosed with hypertension, or high blood pressure. However it is possible to get a favorable policy for a low rate if you have a steady history of keeping your blood pressure under control. Your overall health will also be a factor. If you don’t smoke and have no other health problems, you will likely have a variety of life insurance offers.
Keep in mind that almost all Life insurance companies have varying degrees of underwriting, and are lenient on some factors and are stringent on others. For example, Banner Life, Mutual of Omaha, Genworth, Provident all have different requirements and rates for individuals with high blood pressure.
If you are trying to find the best rate on your own, it would be almost impossible to do it without spending a lot of time and a lot of multiple applications.
We can help submit your information to the insurance companies that we already know are more lenient with high blood pressure readings, smoking (if applicable), overweight, etc. This can save you time and money by calling us or completing our Compare Rates form.
Tips for better Life Insurance Rates
So if you need life insurance with high blood pressure, what are you to do? Here are some common sense important steps that can help. You probably know these, but it is a matter of doing them, not just knowing to do them. So do it – start now:
Increase physical activity: Multiple studies show that moderate exercise can reduce high blood pressure for both men and women. This could be something as simple as walking briskly. Easy to do and costs very little.
Eat a healthy diet: WebMD recommends the DASH diet
SUBTRACT: foods high in saturated fat, cholesterol, trans fats, sodium, sweets, sugary drinks and red meat
Reduce your bad habits such as using tobacco products and overindulging in alcoholic beverages.
Keep your blood pressure under control with medications if necessary. It is better to have controlled HBP with medication than to have it uncontrolled just to say you don’t take any prescriptions.
Applying for Life Insurance with High Blood Pressure
So you’ve been told by your banker, your spouse, your attorney or CPA, your Financial Planner, or you have realized on your own that you need to apply for life insurance. Here are best practices for getting the best rate with high blood pressure.
Go back and read the previous section and follow the tips
Have a list of all your medications and the last 5 or so Blood Pressure Readings
Try to know about how much you can afford to add life insurance premiums to your monthly budget
Call us at or complete our Compare Quotes form on the right side of this page
Begin to gather your list of all your medical providers and dates of services for the times you have been to see them in the past 2 years
Be prepared to answer questions about your family history and your history of High Blood Pressure (when you were first diagnosed), and any other related health conditions
One of the final decisions you will need to make is to know the difference between term life insurance and permanent life insurance. Many times if you have a health condition that causes your life insurance premiums to be surcharged, or “rated up”, then you want to find the cheapest life insurance premiums you can.
Another option for those applicants in the high-risk life insurance category is to consider going the route of applying for a no exam life insurance policy. These are guaranteed acceptance plans– they can cost a little more but are generally available even to individuals with uncontrolled high blood pressure.
We can help you do this because we represent many different life insurance companies that are lenient on high blood pressure applicants. We can save your time by doing the shopping for you.
Even though there may not be immediate pressure to buy life insurance today, keep in mind that having life insurance for high risk individuals is even more important than for someone in excellent health.
Life insurance death benefits can be used for final expense needs, college funding for children, salary continuation for the surviving spouse, philanthropic donations to a favorite charity, and obviously to pay off any personal or business debts.
You CAN get guaranteed life insurance even with serious medical conditions, such as living with a defibrillator.
I have written in the past about how you can obtain life insurance even if you suffer from some sort of heart disease. These cardiovascular complications are extremely common in the United States.
Because there are so many people impacted by it, there are millions of people out there that could benefit from affordable life insurance even with a defibrillator.
It is not easy but as long as you can show improvement in your overall health, getting coverage is not impossible. If you want a plan and you have health problems regarding your heart, the good news is that more than likely you’ll be able to get the coverage you want at an affordable rate.
There are some cases, however, of certain heart conditions where you will not get approved for life insurance, at least under basic underwriting.
Recently, I had an individual contact my office that was a 61-year-old male that needed a ten-year term life policy for $100,000.
He called in inquiring if he could be accepted for a traditional term life insurance plan. As mentioned above, with certain heart disease conditions you can get approved, but in this case, we have had a lot of things going against us.
Existing Heart Conditions
For his heart disease conditions, he had a quadruple bypass just over ten years ago. While it definitely raises the flag as a potential high risk condition, it doesn’t necessarily rule out getting approved. Unfortunately, eleven years later he had a defibrillator installed because he was feeling sluggish from the medication that he was required to take.
For those that don’t know what a defibrillator is, according to Wikipedia,
Defibrillation is a common treatment for life-threatening cardiac dysrhythmias, ventricular fibrillation, and pulseless ventricular tachycardia. Defibrillation consists of delivering a therapeutic dose of electrical energy to the affected heart with a device called a defibrillator.
When you combine that with the fact that he was also a diabetic, there were just a lot of high risk conditions that would ultimately lead to him being denied by most life insurance carriers.
Does that mean that it is over? Not necessarily.
Guaranteed Issue Life Insurance for Serious Heart Conditions
Most insurance carriers would deny him for basic underwriting insurance, but there are guaranteed issue products that would take him on with no medical exams whatsoever. Since he was needing $100,000 of life insurance coverage, we went to Guaranteed Trust Life for our policy. Guaranteed Trust Life is one provider that offers guaranteed issue life insurance, they are just one of the dozens that offer this type of policy.
Guaranteed issue policies will have you answer basic questions and if you can answer “no” to all of them then they will underwrite you. As I have also mentioned here on the blog, the guaranteed issue does come at a cost. Since they are willing to write you even though you are a high risk individual, you are going to have to pay for it.
Because you don’t have to take a medical exam, they have very little information on you and what problems could arise in the future. The goal of the insurance agent is to decide how much risk you are for their plans.
For a 60-year-old male that needs $100,000 of coverage, you are looking at a rough cost of about $5000 a year for your premium. Is that expensive? For some people it can be, but if you absolutely need the life insurance coverage then that is the price you are going to have to pay.
As you can see, even though the individual had heart disease with a defibrillator, he could get protection. If you have been denied from a previous carrier for basic term insurance because of a heart condition, this is another option that you should consider.
Every insurance company is different, some companies have experience working with certain conditions, like diabetes or heart conditions. Depending on your heart condition and defibrillator, there could always be a company that accepts you for a traditional medically underwritten policy. It’s important to work with an agent that has experience with your specific situation.
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Getting the lowest rates
Life insurance doesn’t have to be a major expense. You can get the lowest rates possible by shopping with different companies before you pick a policy. As we mentioned early, because every company is different, they have different standards and rating system that translates into different monthly premiums.
Similarly, focusing on your health can have a huge impact on your life insurance premiums. If you choose to apply for a traditional policy, the life insurance company is going to review every area of your life. If you want to increase your chance of being accepted for a term policy, make sure that you maintain a healthy weight.
Being overweight or obese can drastically reduce your chances of getting life insurance coverage, especially if you have another health problem. Regular exercise and a healthy diet will work wonders on your waistline, your health, and your wallet every month.
The Importance of Life Insurance
Regardless of your health or heart conditions, it’s important that you get life insurance coverage for you and your family. Giving your loved ones the financial security that they need.
Before you buy a plan, you have to add up your mortgage payments, car loans, credit card bills, and much more. These are the debts which would go to your family members. This isn’t the type of inheritance that you want to leave to your children. You’ll leave emotional pain, but it can be even more difficult as the debts are piling up and they have no way to pay for them.
The best way to keep your family from struggling financially to pay for your final expenses is to have a life insurance policy that will cover all those debts. Before you purchase a policy, regardless if it’s a no medical exam or a traditional medically underwritten policy, crunch the numbers to buy a big enough plan.
Not only do you have to calculate all of your debt, but you also have to think about how much income your family would lose. Do you have a wife and children that rely on your salary? Would they have thousands of dollars of debt thanks to you? Depending on how much coverage you can get, you should consider how long your family would need to replace your income.
Weight and finances have been discussed at length on personal finance blogs, but mostly the report [PDF] that put a figure to the staggering individual costs of being obese in America. Dr. Avi Dor, report author and professor and director of the health economics program at The George Washington University, and his colleagues quantified indirect costs, direct costs, and lost productivity to arrive at an estimated total cost of being an obese individual.
The High Price of a High BMI
After tabulating various costs associated with being overweight or obese, the researchers found that being an obese individual in the U.S. costs $4,879 for women and $2,646 for men each year. The overall annual costs of being overweight are $524 for women and $432 for men. The researchers defined “obesity” as a body mass index (BMI) higher than 30, and “overweight” as a BMI between 25—29.
Adding the value of lost life to these yearly costs makes the price tag even higher: $8,365 and $6,518 for women and men, respectively.
The analysis showed that obese women pay nine times more and obese men pay six times more in associated costs than do individuals at a healthy BMI. The results also showed that women are affected much more than men when it comes to obesity and job-related costs, including lost wages, absenteeism, and disability.
Non-Medical Costs of Obesity
Direct medical costs are an obvious cost driver—for overweight individuals, it accounts for 66% of weight-related costs for women and 80% for men. It’s also the cost driver for obese men, but for obese women it accounts for just 30% of the overall costs. An obese female loses more income through lost wages (38%) than from medical costs.
“The data demonstrate that an individual affected by obesity faces not only high medical-related costs, but also higher non-medical costs…,” said Joe Nadglowski, President and Chief Executive Officer of the Obesity Action Coalition, in a press release. Non-medical, obesity-related costs accounted for in the research included the following measures:
Wages. The annual wage loss for obese males is $75, but statistically that figure is insignificant, according to the report. Obese women earning a median annual wage of $32,450 make 6%, or $1,855, less per year. The researchers note that there isn’t enough data to determine why the relationship between weight and wages is clear for women, but not for men.
Short-term disability. Annual costs of short-term disability are $55 higher for the average overweight employee and $349 higher for the average obese employee than for employees at a healthy weight.
Disability pension insurance. The annual incremental costs of disability pension insurance is $69 more for obese employees. There wasn’t a significant difference in cost for overweight individuals.
Sick leave (absenteeism). Five studies on absenteeism (missed work days due to illness or injury) found that obese employees are more likely to use sick days due to illness or injury. One of the studies (Finkelstein et al. 2005) found that severely to morbidly obese men miss two more days of work than men at a healthy weight, while overweight to morbidly obese women miss up between one and five more days than women at a healthy BMI.
Productivity (presenteeism). Obese individuals have more self-reported limitations at work or limitations in the amount of work that an employee can be performed, which lowers productivity. One study cited (Ricci and Chee, 2005) used nationally representative data to estimate that reduced productivity will cost an obese individual $358 per year.
Gasoline use. Jacobson and McLay (2006) studied the relationship between weight and fuel use, finding that almost 1 billion more gallons of gas are used each year due to average-passenger weight increases since 1960. The cost differences weren’t significant for overweight and obese people, but the morbidly obese spend $30 and $36 more for females and males, respectively. (That figure was calculated using $2.35 per gallon of gas, the average price in the U.S. in 2009.)
Life insurance premiums. Compared to healthy-weight individuals, an overweight and obese person will pay an additional $14 and $111, respectively, in life insurance costs each year.
Value of lost life due to premature mortality. The researchers calculated the value of years of life lost (for specifics on how they made the calculation, see the retirement.The report notes that when it comes to retirement, severely and morbidly obese employees retire earlier than normal-weight employees, which translates to less income in wages and benefits. This is particularly alarming for obese women, whose wages are significantly affected by their weight and who, as females, already lag behind men in retirement savings, when research shows women need to save more than men. Because early retirement benefits vary widely, the researchers didn’t include that data in their report.
Anecdotal evidence suggests that the costs not included are significant, says Dor.
A Bigger Problem
More than 60% of Americans are at an unhealthy weight, with 33.4% classified as obese. If we continue at this rate, by 2030 half of the population will be obese. Obesity-related conditions include heart disease, stroke, type-2 diabetes and some types of cancer, among the leading causes of death, according to The Center of Disease Control and Prevention.
Those are some scary facts and figures, and the George Washington University only underscores an already-critical situation. After all, paying $6,518—$8,365 more per year for obesity-related expenses hardly seems significant in light of words like cancer, stroke, and premature death. Your health is your most important asset.
I wish I had answers, but I don’t. Education seems like the go-to solution, but I’m not convinced it’s enough. Like personal finance, getting healthy means making difficult changes in habits and lifestyle, not simply being taught that French fries are bad and spin class is good. So readers, I’ll turn it over to you. Has your weight noticeably affected your expenses or income? If so, share specific examples and costs.
At a certain age, the future becomes more uncertain than it has ever been and there arises a need to provide for the well being of your family after you are gone.
An inexpensive $250,000 term life insurance policy can go a long way for both young people and for seniors.
No matter your age, having life insurance coverage goes quite a long way in providing for the financial security of your family.
Seniors are an essential market for many insurance providers. Most providers are developing customizable policies to match the specific needs of seniors. The prices for these policies are decreasing every year making them extremely inexpensive.
Because of their low cost, these policies can be more than just a financial back-up. In fact, that could be one of the most important decisions that you could make for you and your family. Here is a list of benefits these policies provide.
Low Cost
Term life policies are extremely inexpensive. Although the most common reason that people don’t take out a life insurance policy is that they think it costs too much.
As the table will show below, life insurance is cheap! There is no reason why any family with dependents should not have some sort of life insurance coverage.
The majority of applicants are surprised to see just how affordable a life insurance policy is.
20-year $250,000 Term Rates
Age
Male
Female
30
$13.05/mo
$11.96/mo
40
$17.84/mo
$15.88/mo
50
$43.28/mo
$32.41/mo
60
$113.32/mo
$77.87/mo
70
$418.35/mo
$269/28/mo
As you can see, having a $250,000 term life policy for a healthy 30 years-old will only cost around $11-$13 per month with one of the top life insurers in the country. Even for someone that isn’t in perfect health, a life insurance policy is well worth what you’ll pay
Buying Future Money
The final thing anyone wants is to become a burden on their own family. A term life policy keeps that from happening.
When you purchase a term life policy, you are really buying money that your family can use later. This money can be used for household bills, medical expenses or anything else they might need.
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Estate Planning
Term life policies for seniors are popular because they can be used as part of an estate plan. They can be used to pay estate taxes to insure that the property stays in the family instead of being sold to pay the government.
Term life insurance helps to ensure that your property and the value of your estate is not drained by taxes imposed after your death.
After you pass away, you want your heirs to be able to enjoy all of the funds that you’ve set aside. You don’t want all of those savings to be eaten alive by taxes and fees.
A simple life insurance policy can counterbalance those taxes and ensure that your family gets to use your estate in a way that benefits them, not Uncle Sam.
Survivor Benefits
Your spouse and minor children can receive survivor benefits for a specified period of time. These benefits will replace your pension or retirement income after your death.
This gives your family the time and ability to adjust to life without you. The bills will be paid and they won’t have to deal with financial insecurity in an already grievous time.
More than likely, if you were to pass away tomorrow, you would leave behind A LOT of debt. Most people have a mortgage, car payment, student loans, credit card bills, and other debts that they would pass on to family members if something tragic were to happen.
For a grieving family, all of these bills can be difficult or even impossible to pay for. Instead of leaving this financial strain on your loved ones, a $250,000 policy can relieve that stress and give your family the funds they need to pay off any final expenses.
Continue Providing
Everybody always wants to do more for their families but we can’t always get everything done in one lifetime.
A $250,000 term life insurance policy will allow you to continue to take care of your family after you are gone. You can still pay off the house, send the kids the college and take care of whatever else needs to be done.
Getting Cheaper Insurance Rates
As we mentioned earlier, a $250,000 policy is much more affordable than you might think, but that doesn’t mean you can’t save money on monthly premiums. There are a couple of things that you can do to keep a couple of extra bucks in your wallet every month.
The best way to save money is to shop around with different insurance companies before you purchase a plan. Each company has different rates and looks at each applicant’s health differently, which can translate into drastically different premiums.
We suggest getting AT LEAST five different quotes before you pick the one that works best for you.
Aside from shopping around for a policy, there are a few lifestyle changes that you can make to save money. The best way to keep more money in your bank account is to quit smoking.
Being categorized as a smoker on your insurance application will make your premiums double or even triple, even if you’re in perfect health. Using tobacco products is the worst thing you can do. It’s worth it to take several months to kick the bad habit. Not only will your doctor thank you, but your wallet will too.
Aside from quitting smoking, losing weight by getting regular exercise and a healthy diet can have a huge impact on your waistline and your insurance premiums. One of the other factors that the company will look at is your weight.
Being overweight or obese greatly increases your risk of having severe health complications, which means you pose more of a risk to the insurance company. Losing a couple of pounds can also save you money, it’s a win-win.
The Importance of Life Insurance
Earlier we gave several examples of why most applicants purchase a life insurance policy, but one of the most important is to provide protection for your loved ones.
There are millions of families every year that lose a family member and find themselves with thousands of extra dollars in debt
$250,000 Life Insurance Policy
For most people, a $250,000 plan won’t be enough, but there are a lot of people that can benefit from a policy this size.
Because these life insurance policies are so affordable, they are a great purchase. You can’t put a price tag on the peace of mind knowing that your family will be covered if you were to pass away.
By the age of sixty-three, you probably have started to consider how important it is to get things prepared for the well being of your family in the event that you are no longer able to take care of them.
One of the best ways to protect your family after you pass away is to have a quality life insurance policy. At this age, a lot of applicants think that they can’t get a life insurance policy, or they assume that they won’t be able to afford the monthly premiums because of their age, neither of these are true.
Once a lot of Americans retire, typically they stop paying their life insurance policy and let it expire or don’t renew their plan, this is a terrible choice. If something awful happened, would you leave behind a mountain of unpaid debts to your family? If you still have a mortgage payment, car loans, or credit card bills, your life insurance policy can help ease the financial burden.
Hopefully, at age sixty-three you are still in good health and can obtain a quality life insurance at the cheapest rate. Scouring through your options is the best bet as there are numerous options for those that are age sixty-three.
What are Your Life Insurance Options at Age 63?
Despite what one may believe, there are multiple options available for those that are age sixty three. The most popular option is term insurance coverage, but you might have the option to buy permanent coverage as well.
Term life insurance is that it only lasts for a term that is determined at the point of purchase. This is a characteristic that is unique to term life insurance. In addition to this characteristic, it is also known for its affordability compared to many other types of insurance.
Permanent life insurance is the option main option, and it’s very different. They are effective until the day you reach their maximum age limit. Each company has a different age limit, but most are around 90 or 95. They never expire and a part of the premiums get put into a “cash value” bucket. This money can add to the payout or you can borrow the money.
Rates for a 63 Year Old
We can’t tell you exactly how much you’ll pay for your plan, because we don’t know your situation, but we can give you an idea of rates for over 60 life insurance.
Let’s say you want to buy $250,000 worth of coverage for a 20 year term insurance plan. A 63 year-old-man is going to spend close to $4,000 every year for their plan.
If you want to get a smaller plan of $50,000, your premiums will jump down to around $1,200 every year. Obviously, these rates are going to change based on your health.
Before you pick a policy, it’s important that you get quotes from several different companies. Because each company is different, they have different rating systems that will translate into different monthly rates. Some companies view older applicants more favorably than other companies
Here are some sample quotes for a $250,000 policy:
Sex
10 Year
20 Year
30 Year
Male
$86.41/month
$115.06/month
$168.66/month
Female
$56.12/month
$73.94/month
$107.14
Your Rates and Your Health
At age sixty-three, your health could still be good, or it could be going downhill. There is the likelihood that will end up paying slightly higher premiums for your insurance, which is why its a better idea to begin shopping for life insurance at a younger age, even looking for life insurance at 50 is better!
There are some companies that specialize in insuring applicants with diabetes, cardiovascular conditions, and much more. It’s important that you find the best company to fit your needs. You could spend dozens of hours researching different insurance companies to find the one that fits your needs, or we can do all of the research for you.
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Getting the best rates
As we mentioned earlier, shopping around with different companies is a great way to get lower life insurance rates, but it’s not the only way. Even at sixty-three, there are still several ways that you can ensure that you save money every month.
The first is to kick your bad habits, especially smoking. If you’re listed as a smoker on your life insurance application, it will cause your premiums to skyrocket. Using tobacco is a guaranteed way to have your rates double or triple. If you’re a smoker, spend a couple months weaning yourself off. Your lungs and wallet will thank you every month. If you don’t want to quit the cigarettes, it’s important that you find a company that gives lower rates to smokers (you’ll still be paying much more than a non-smoker).
Focusing on your health will not only help your waistline and energy levels, but it can also save you money on your life insurance plan. Being overweight, having high blood pressure, or high cholesterol is not only bad for your overall health, but also bad for your bank account. Regular exercise and a healthy diet can get you in a healthy weight range and reduce your risk of having severe health complications later in life, the less risk that you pose to the insurance company, the less they will charge you.
How large of a policy do you need at 63?
Because you are in a unique stage of life, either retired or soon to be retired, there are a lot of questions about how large of a life insurance policy do you need? This answer to this question is going to depend on three different factors, your debt, your annual salary, and your legacy.
At 63, you may not have much debt anymore. You might have paid off your mortgage and other major debts. If so, then you can buy a smaller policy.
The next question that you have to ask yourself is, “does anyone rely on my salary?” Does your spouse or children still rely on your annual income to survive? If so, then you should always have a policy that would give them the funds they need.
Lastly, what kind of legacy do you want to leave behind and do you have enough saved up to leave it? One of the most common things that people forget is that Uncle Sam is going to take a large portion of that money you want to leave behind for your kids. A life insurance policy is a great way to keep your savings from being eaten alive by taxes.
Bottom Line
If you want to save time and money (who doesn’t), we recommend teaming up with an independent agent. This will save you countless time and money in the long run, especially if you are not well versed in the types of life insurance.