But be careful when buying life insurance for the elderly

Life insurance is a financial solution to protect you and your family against health events or risks to your body or life. In addition, this is also an effective form of savings and profitable investment.

However, life insurance is not a product that can be bought when needed. The reasonable age to join life insurance is when you are young, have good health and easily meet the conditions to join, enjoy low fees and have time to accumulate. And if you’re already at an advanced age, here’s what you need to know about this financial product.

Mandatory medical examination before buying

People after the age of 60 are susceptible to diseases, so most insurance companies will require customers to have a medical examination, or present a health certificate of eligibility to participate in insurance.

Meanwhile, if participating at a young age, except for some cases of joining a contract with a large insurance value, companies will usually not require a medical examination, but mainly based on the principle of truthful declaration. .

Limited coverage

For the same reason that insurance companies will have to take on more risks, insurance benefits for the elderly will also be more limited.

Accordingly, depending on the type of disease, severity and condition at the time of participation, the insurance company considers accepting insurance with separate exclusions. If the participant suffers from diseases under the exclusion clause, they will not be entitled to the insurance benefits.

Therefore, before deciding to sign a contract, customers need to carefully read the information and terms to avoid future risks and disputes.

Coverage may be denied

At an advanced age, family members often have many diseases and are also prone to diseases. In some cases, there are diseases included in the exclusion, the insurance company will likely refuse the customer from the very beginning.

For example, in case you have a history of cancer, even if it has been cured, but the possibility of recurrence is high, the insurance company will not accept you to participate in some critical illness insurance products.

High cost

Health and age are two factors that determine the premium of an insurance plan. Accordingly, the older the age, the lower the health status, which means the higher the fee to be charged. Life insurance costs in your 60s can be many times higher than in your 20s to 30s.

Therefore, in case of eligibility to participate, customers also need to clearly determine their financial situation in order to choose suitable insurance packages.

Le Huy