Life Insurance At 90: Is It Possible In Florida?

Life insurance is a valuable tool to protect your assets, cover your beneficiaries, and pay for end-of-life expenses. While it is possible to obtain life insurance at an older age, the options available are limited, and the costs can be high. Final expense insurance, also known as burial or funeral insurance, is a common option for seniors over 90 as it helps cover funeral costs and other end-of-life expenses without the need for a medical exam. This type of insurance is designed to provide peace of mind and financial security for individuals and their loved ones during the later stages of life.

Life insurance for 90-year-olds in Florida: what are the options?

As a 90-year-old in Florida, your options for life insurance are limited. Final expense insurance, also known as burial insurance or funeral insurance, is the only type of policy available at this age. This is a form of whole life insurance that covers end-of-life and funeral expenses, providing a smaller coverage amount compared to traditional life insurance policies. Final expense insurance is typically easier to qualify for, without a medical exam, and with only a few health questions on the application.

At 90, the maximum life insurance coverage you can expect to get is $25,000, and there are only five companies in the USA that offer this option. These companies require that you buy through an insurance broker, and you cannot buy directly from them. The cost of life insurance for seniors over 80 could be as low as $80 per month or as high as $800, depending on factors such as age, gender, health, and the coverage amount.

While whole life insurance typically has no age limit, age limits vary by insurer, usually ranging from 80 to 85. Term life insurance policies have an age limit, typically ranging from 75 to 86 years old. Universal life insurance technically has no age limit, but insurers may set age limits and impose restrictions based on health.

If you are unable to get life insurance, there are other end-of-life financial preparations you can make outside of insurance, such as saving money in a dedicated account or pre-paying for a funeral plan.

How much does life insurance for 90-year-olds in Florida cost?

The cost of life insurance for 90-year-olds in Florida will depend on several factors, including the type of insurance, the applicant's health, and their lifestyle.

At 90 years old, the only type of life insurance available is burial insurance, also known as final expense insurance or funeral insurance. This is a type of whole life insurance that covers funeral costs and other end-of-life expenses, such as medical bills.

The cost of final expense insurance for a 90-year-old in Florida will depend on the insurance provider, the applicant's health, and other factors. According to Choice Mutual, the cost of life insurance for seniors over 80 could be as low as $80 per month or as high as $800 per month. The net price is determined by age, gender, health, state of residence, tobacco usage, and the coverage amount.

Final expense insurance policies typically have lower death benefits, ranging from $2,000 to $25,000, and are more affordable than other types of life insurance. According to Lincoln Heritage Life Insurance Company, men over 90 can expect to pay between $183 and $286 per month for a $10,000 final expense plan, while women can expect to pay between $136 and $211 per month for the same policy.

It's important to note that only a few insurance providers will issue new policies to people over the age of 85, and most insurance companies will not issue a life insurance policy to someone who is 90 years old.

In summary, the cost of life insurance for 90-year-olds in Florida can vary significantly depending on the insurance provider, the applicant's health, and other factors, but it is generally expected to be expensive due to the limited options available at this age.

What is the application process for life insurance at 90?

The application process for life insurance typically involves filling out paperwork, taking a medical exam, and providing health histories for yourself and your immediate family. The younger and healthier you are, the lower the premiums will be.

Step 1: Determine Your Coverage Needs

The first step is to decide on the type of life insurance policy that best suits your needs. The two main categories are permanent life insurance, which provides coverage for your entire life, and term life insurance, which only covers a set period. Within these categories, there are various subtypes, such as whole life, universal life, and final expense insurance. Consult with a local insurance agent to understand your options and determine the coverage amount you need.

Step 2: Choose an Insurance Provider

Research different insurance companies and their offerings. Some providers, like MassMutual, offer term, whole, and universal life insurance for seniors, with applications accepted until the age of 90 for certain policies. Compare the costs, coverage limits, and availability of policies across providers.

Step 3: Gather Required Information

The application process will require you to provide basic personal information such as your name, address, occupation, and employer. Additionally, be prepared to disclose lifestyle habits (e.g., smoking, drinking, exercise), health histories of immediate family members, and financial information, including your annual income and net worth. Have the name, address, and contact information of your primary physician readily available.

Step 4: Complete the Application

Work with an insurance agent or broker to complete the application process. Provide honest and accurate information, as life insurance applications are legal documents. Omitting or misrepresenting information could lead to denial of coverage or future claims.

Step 5: Medical Exam

Most life insurance policies require a medical exam. A paramedical examiner, arranged by the insurance company, will meet you at a convenient time and place to conduct the exam. The exam may include recording your medical history, reviewing prescription medications, measuring blood pressure, and conducting an electrocardiogram or treadmill stress test.

Step 6: Underwriting Review

Once your application and medical exam are submitted, an underwriter at the insurance company will review your information. They may request additional medical records from your physician to assess any medical conditions and determine the level of risk you represent.

Step 7: Approval or Denial

The insurance company will either approve or deny your request for coverage. This process can take several weeks, depending on the completeness of your application, the receipt of lab results, and any additional information requested by the insurer.

What are the alternatives to life insurance for 90-year-olds?

While it is possible to get life insurance at 90 years old, your options are very limited. At this advanced age, whole life insurance is very expensive, and term life insurance is unlikely to be available.

If you are unable to get life insurance, there are other options to consider:

Final expense insurance

Final expense insurance, also known as burial or funeral insurance, is designed to cover end-of-life and funeral expenses. It is a type of whole life insurance with lower payouts and more affordable premiums. This type of insurance can be a good option for those who don't have major debts and just want to ensure they leave enough money to cover their burial expenses.

Guaranteed universal life insurance

Also known as "term for life" or "term to 110" insurance, this type of policy acts like whole life insurance but doesn't build cash value. You get to select the maximum age, with most policies extending to age 121. This type of insurance can be a good option for those with medical conditions or pre-existing conditions, as you can still qualify for coverage.

Long-term care insurance

This type of insurance provides coverage for things like medical and personal care as you age. While traditional policies don't come with a death benefit, they can help preserve your assets so that you have something to leave as an inheritance. You can also look into hybrid long-term care policies that include a permanent life insurance component.

Accidental death and dismemberment insurance (AD&D)

This type of insurance offers coverage in the case of accidental death, loss of limbs, loss of sight, or paralysis due to an accident. The coverage offers a payout based on your injury and the type of accident, but it typically doesn't pay as much as a life insurance policy.

Mortgage protection life insurance

If you still have a mortgage, this type of insurance will pay it off in the event of your death. Mortgage debt is passed along to heirs, so this type of insurance can protect your heirs and allow them to inherit your home without the burden of mortgage debt.

What are the pros and cons of life insurance at 90?

While it is possible to get life insurance at 90, there are limited options available. Whole life insurance and universal life insurance are the most common types of policies available at this age. Final expense insurance, also known as burial insurance, is another option to consider, as it is designed to cover end-of-life and funeral expenses. Here are some pros and cons of life insurance at 90:

Pros of Life Insurance at 90:

• Coverage for End-of-Life Expenses: Life insurance can help cover end-of-life expenses, such as funeral and burial costs, ensuring that your loved ones are not burdened financially during a difficult time.
• Debt Coverage: Life insurance policies can also help pay off any remaining debts, such as a mortgage, so that your beneficiaries are not left with these financial obligations.
• Leaving a Legacy: If you want to leave a financial legacy for your loved ones, life insurance can provide a lump sum of cash that can be used to support your beneficiaries or donate to charity.
• Peace of Mind: Having life insurance can give you peace of mind, knowing that your final expenses will be covered and that your loved ones will be taken care of financially.

Cons of Life Insurance at 90:

• Limited Options: The number of life insurance policies available at age 90 is limited. Whole life insurance and universal life insurance are the most common options, and even then, the specific plans may vary by insurer.
• High Costs: Life insurance premiums tend to increase with age due to higher mortality risks. The cost of insurance at 90 can be very high, and it may be difficult for seniors living on a fixed income to afford the monthly payments.
• Health Considerations: Age and health are important factors in determining the cost of life insurance. At 90, you may have health conditions that further increase the cost of insurance or make it challenging to qualify for certain policies.
• Complexity: Life insurance policies, especially whole and universal life insurance, can be complex and difficult to understand. Comparison shopping and finding the right policy for your needs can be a challenging process.

Frequently asked questions