As you get older, the need for protection doesn't go away. It may not be as essential as before, or it may become an even bigger priority. In either case, being over 50 doesn't mean you can't get life insurance – in fact, many of the main options are still available.
Over 50s life insurance is a popular option as it is designed especially for this stage of life. However you may also be able to receive other types of cover. This guide looks at those and how they can benefit you.
Why is life insurance important for people over 50?
By the time you've reached your 50s, you may still have significant financial responsibilities. That might be in the form of a mortgage, outstanding debts, dependents who still live at home, or a partner who relies on your income.
Mortgages in particular are a cause for concern. According to Skipton Group's annual home affordability index, the average first-time buyer is now 34 years old. With mortgage terms commonly stretching to 30 years or more, it’s not unusual for borrowing to continue well into your 50s and even retirement.
On top of this, there are other expenses your loved ones may need to cover, such as funeral costs and any personal loans or credit commitments you may leave behind.
Having cover like over 50 life insurance in place can ensure that your loved ones are left with the money to cover your lost income or pay off any debts. It could also mean leaving something for your children or grandchildren after you're gone.
Life insurance options for over 50s
There are still plenty of cover options available to people over 50. Depending on your age or health, some options may be more suited than others. Often it will depend on what you’re looking to protect as well as how long you need cover for.
Over 50s life insurance
Over 50s plans are designed specifically for people aged 50 and above. They usually offer guaranteed acceptance, meaning there are no medical questions.
Because acceptance is guaranteed, payouts tend to be smaller and premiums can be relatively higher for the level of cover. It also comes with a waiting period between the policy starting and a potential payout - 2 years, for example.
These plans are commonly used to cover funeral costs or leave a modest lump sum to your family. They can be simple and easy to access, but they may not always be the most cost-effective option if you’re in good health.
Term life insurance
Term policies provide cover for a fixed period, often somewhere between 50-50 years.
If you pass away during the term, the policy pays out. If you outlive the term, there is no payout. There are specific levels of cover that can be used to protect certain aspects.
Decreasing term cover is often used to cover a repayment mortgage, typically known as 'mortgage life insurance'.
Whereas level term is more universal, as the cover amount and premium remain fixed throughout the policy. This can make it more suitable for giving financial support for a partner or dependants until they become financially independent.
Increasing term aligns with inflation so that the payout retains its value over time. In doing so, premiums can also increase.
For many people over 50 in good health, term policies may provide higher levels of cover at a lower monthly cost compared to over 50s plans.
Whole of life insurance
Whole of life insurance provides lifelong cover and pays out whenever you pass away, as long as premiums are paid. During this time, the premiums and payout amount stay fixed.
Because the payout is guaranteed, premiums are typically higher than for term insurance. However, there is the added benefit that the policy won't expire. It can be used to cover a whole host of expenses like mortgage, living costs and even act as an inheritance too.
This type of policy may suit those who want certainty that a payout will happen, whether that’s to cover funeral expenses, inheritance planning, or leaving money to family.
Joint life insurance
Life insurance isn't just designed for one person. Policies like joint life insurance cover two people under one policy, usually paying out on the first death.
This can be suitable for couples who want to ensure the surviving partner receives financial support. However, once the policy pays out, it ends. The surviving partner would need to arrange new cover if required, which could be more expensive at an older age.
In some cases, having two separate policies may provide more flexibility.
Quote & Apply Online
How much life insurance do you need over 50?
Some people over 50 may only want enough cover to pay for funeral costs and leave a small lump sum to family. Others may still have larger responsibilities such as a mortgage, dependent children, or a partner who relies on their income.
When deciding how much cover you may need, it can help to consider:
Any outstanding mortgage or debts
Household living costs your family would need to cover
Future expenses such as education or care costs
Funeral expenses
Whether you would like to leave an inheritance
You may also want to support your partner through retirement. If you've not done so, it's worth setting up some form of retirement plan if you are still in full-time employment.
Can someone in their 50s still get cheap life insurance?
In many cases, yes. Premiums do increase with age, but cost will largely depend on aspects like your health, lifestyle and smoking status.
It will also depend on the level and length of cover you choose.
If you’re in good health, life insurance can often be more affordable than people expect. Premiums for over-50s life cover could start from as low as £7 per month.
Comparing options across the market can make a significant difference, which is why we recommend using our online quotes service.
Can you get life insurance over 50 with health conditions?
It's still possible to get policies like term or whole life insurance if you have pre-existing health conditions. However, the monthly premiums may be higher, and certain conditions could affect eligibility.
Over-50s insurance policies, however, have guaranteed acceptance without the need for a medical exam. However, it's important to bear in mind that these policies might come with certain limitations, like a waiting period.
Some insurers specialise in covering individuals with medical histories. What's key is providing accurate information during the application process so the insurer can assess the risk correctly.
What happens if my health changes after I take out a policy?
Because of underwriting, once your life insurance policy is in place, your premium and cover are usually fixed for the agreed term. If your health changes later on, it won’t typically affect an existing policy.
However, if you apply for additional cover in the future, your current health at that time will be taken into account.
Is there other protection available?
Life insurance isn’t the only option worth considering in your 50s. Additional policies are available, including:
Critical illness cover
Critical illness insurance pays out a cash sum if you’re diagnosed with a specified serious illness during the policy term, such as cancer, heart attack or stroke (subject to policy definitions).
This can help cover treatment costs, clear debts, or provide financial breathing space while you recover.
Income protection insurance
Income protection replaces a portion of your income if you’re unable to work due to illness or injury.
For those still working in their 50s, this can be particularly valuable. It provides ongoing monthly payments rather than a lump sum, helping you maintain your lifestyle if your earnings stop unexpectedly.
Get a quote in minutes...
Peace of mind for your golden years
If you are a UK resident interested in an over 50s life insurance plan or alternative cover, Cavendish Online can help you find protection that suits your needs and budget.
We can help you compare life insurance policies from across the market and explore suitable types of cover. Our online quote service also allows you to review options quickly and choose a level of cover that works for you.
Call us today on:
01392 436 193
(Monday to Thursday 9am – 5.30pm, Friday 9am – 5pm)
