As seniors approach retirement age or are in retirement, one important consideration is long-term financial security for themselves and their loved ones. One option that can provide peace of mind is guaranteed universal life insurance. Guaranteed universal life insurance is very simple – a set death benefit guaranteed to an age of the insured’s choosing, little to no cash value, for the lowest premiums available. Many guaranteed universal life insurance policies offer riders that allow you to access the death benefit while you are still alive if you end up in a nursing home, with a chronic illness, or with a terminal illness.
This simple, easy to understand type of life insurance offers a number of benefits for seniors, including:
- Flexible Coverage: Guaranteed universal life insurance allows seniors to choose the amount and length of coverage that best fits their needs. This means that they can choose a policy that covers them until a specific age or for the rest of their life, providing a source of financial stability for their loved ones. For most life insurance carriers, the minimum amount of guaranteed universal life insurance is $50,000.
- Affordable Premiums: Compared to traditional whole life insurance, guaranteed universal life insurance typically come with much more affordable premiums. This makes guaranteed universal life insurance a cost-effective option for seniors who simply want the lowest premiums in order to ensure that their loved ones are taken care of after they are gone.
- Tax-Free Death Benefits: Like most life insurance proceeds, the death benefits paid out by a guaranteed universal life insurance policy are generally tax-free, which can help to ease the financial burden on a senior’s loved ones.
- Stable Premiums: Unlike term life insurance, which can see premium increases as an insured ages, guaranteed universal life insurance provides stable premiums that remain level for the life of the policy. This makes it easier for seniors to budget for insurance costs and be confident that they won’t be faced with unexpected increases.
In conclusion, guaranteed universal life insurance is cost effective permanent life insurance coverage that provides peace of mind and financial stability for seniors. With its affordable premiums, tax-free death benefits, and level premiums, guaranteed universal life insurance can be a great choice for seniors who want to ensure the financial security of their loved ones.