Are you in your 40s or 50s and worrying if it’s too late to purchase life insurance? No, it’s not. If you wish to buy life insurance in India for the first time to add to your existing coverage, go for it.
The kind of life insurance you require depends on your goals, health and finances. But when you realise you need life insurance, it’s best not to delay getting it.
Why Should You Buy Life Insurance in Your 40s and 50s?
If you have people dependent on your income, it’s a good idea to get life insurance at any age. They can include your aging parents, spouse, children or even employees of your small business. If they lose financial support after your demise, that is a cause for worry.
In that case, even if you have reached your 40s or 50s, it’s not very late to purchase a life insurance plan. Here are some other reasons to consider to make this decision:
- Paying off debt like an unpaid loan or mortgage so that it doesn’t fall as a burden on the shoulders of your loved ones.
- Leaving an inheritance for your kids or grandkids.
Once you have sufficient coverage in place, your existing debt and financial dependents will be taken care of even in your absence. Thus, you can get peace of mind.
How to Choose the Best Life Insurance for People in Their 40s or 50s?
There are essentially two kinds of life insurance. These are term life insurance and whole life insurance. In the first case, you need to pay premiums for a specific period (usually 10-30 years). If you pass away during that period, your beneficiary receives a death benefit in cash. You can avail term life insurance in India if you need a plan to cover the years when you have financial dependents. You can opt for a term that runs out the period after which your need for a life cover ends, for instance, when your children move out.
Cost of Life Insurance for People in Middle Age
If you have an idea of life insurance plans, you should know that they cost less if you are younger and healthier. Does that imply a midlife plan is costly? Not necessarily. If you buy a life plan in your 40s, you might be paying more than that in your 30s. Nevertheless, it could be less than what you’d have to pay in your 50s-60s. That’s because increasing age implies a rising risk of death, according to insurance providers.
However, age is not the only factor to decide the cost of a life cover. It also depends on your health status. If you are 40 but have no medical conditions and better health than a 30-year-old with health problems, you may get a lower price for the same plan. Now that you understand that it’s never late to have life insurance in India, consider availing it right away if you already haven’t. In that case, choose a reputed life insurance company.