Life insurance is purchased to financially protect dependents and loved ones upon the death of the policyholder. Life insurance for seniors can be a source of replacing lost retirement income, paying off debt when a spouse dies or paying estate taxes. There are also several options for cashing in on a policy before a policyholder dies.
Life settlements: When you sell your life insurance policy to a third party for cash.
Accelerated death benefits: When you’re facing a terminal illness and collect a portion of your life insurance policy before you pass away.
Life insurance might be right for you if you don’t want to leave your loved ones with a heaping pile of bills when you pass. It can also provide added cash in your senior years.