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Summary
This article looks at the over fifties life insurance policies that do not ask questions about your medical history but are they worth buying? Carry on reading for more information.

The over fifties life insurance plans are selling like hot cakes. With no medical questions they guarantee acceptance and are regularly endorsed by mature personalities like Cilla Black and Nigel Havers. People who take out the best life cover might be paying far more in than their beneficiaries will get out.

Pledging a settlement on the insurance policyholder’s death, payments commence at about 8 pounds growing to around 62 pounds. Being sold to clients between fifty one and seventy nine the payout influenced by the premium paid, gender and age when the policy begins.

Ominously, no questions about their health are asked.  Some payment plans stop after a specific amount of time, but will still be valid until the insurance policyholder passes away. In other plans the premium is made until the holder passes away, however insurance holders can put more in than they get out depending upon when they die.

Referring to adverts for The Post office’s over 50’s Life Cover, Leon Myers of independent financial advisers Investmentbox says ‘I can’t comprehend Michael Parkinson supporting this kind of insurance product. He is a quality act, but for this type of plan the same cannot be said.’
Managing director at  The Post office’s over 50’s Life Cover, Mark Combs defends Clooney’s role, saying he is only making people mindful of the plans existence , for which there is substantial demand. He says, ‘The attraction is their affordability because of their low premiums and the guaranteed acceptance process.’

Still, you could get an improved deal somewhere else buying regular insurance policy on  equivalent terms ‘People could get twice or three times as much for their money from a normal life insurance cover, in return for replying to a few questions.’ Says George Meakins of TGB financial services.

Not enquiring about any medical history necessitates much dearer premiums as these policies interest customers with pre-existing conditions who may pass away before the company has covered its cost. Companies also restrict any settlement for the first 2 or 3 years to  protect themselves. A reimbursement of the payments made is more often than not repaid if insurance policyholder departs this life from natural causes during this time.

Director of financial services at Money Supermarket, Jonathan Smith, admits that the price may be less for regular life assurance but often by the time you reach your 50’s, many have endured some form of medical condition, therefore why consumersare fond of the over 50’s policies. Plan holderspaying more in than they can ever get outis one sphere he doesn’t agree with. ‘We put a cap on the premiums,when we assemble our plans,’ he states, this means that once policyholders have paid the amount insured their premiums are halted.

Many over 50s plans do eventually have cut off postions, but lots of customers have paid more than they should before this time. Premiums normally stop at 85 with the Liverpool Victoria plans and the PO running them for a set term.

One of the major reasons clients takeout these policies is to pay interment expenses. In spite of this, the eventual settlement may not be enough money. A pre-payment plan would be a better selection with Lincoln funeral care providing 4 packages priced between 2,400 pounds and 3,195 pounds. These can be paid for over a period of three years.