It would appear that life insurance for those above 65 years is difficult if not impossible, while it actually is not. As one grows old, your immune system weakens, and you become more prone to diseases and death. At one time, the risks the underwriters must take were considered as non-remunerative. The situation, these days, is drastically different in the life expectancy has gone higher, and the general health of the population is much better because of better awareness. Widespread screenings have also helped in deducting diseases early and instituting appropriate treatment. There are many policies to suit practically any requirement. One is almost spoiled for choice of life insurance over 65. As one ages, the requirements become specialized and policies to meet these demands have also been designed and made available.

The types of life insurance over 65 are as many as six different types – the usual term insurance, Annually Renewable Term Life Insurance, Whole Life Insurance, Guaranteed Universal Life Insurance, Universal Life Insurance, and Burial Insurance, also called as Final Expense Insurance. Each one of these has features to serve the specific needs of special groups.

• Term Life Insurance is the best option for most people irrespective of age because it provides the most risks covered at the lowest cost, especially if one is in good health. Its cover is for a specific number of years called the term. The term is normally for 10 to 30 years in increments of five years. The premium remains the same during the entire term. The problem with this policy is that at the end of the term if nothing has happened to the insurer, he stands to get nothing. One has to accept the fact that one can outlive the policy. In fact, the money paid is for covering the risk over the period of the term.
• Annually Renewable Term Life Insurance has only a slight difference from the term policy. The premium is renewed every year with premium increased from year to year as your age and risk increase. This is ideal for people like those who are about to retire and needs to cover very short-term risk like paying off a mortgage or other things like that. In this one, the risk is covered for the current year only unlike the term policy and the premium is much less. The money thus saved could be used to buy a regular term policy.
• Whole Life Insurance covers your life for the rest of your life. The premiums are guaranteed to remain the same for the entire length of the insurer’s life. The policy, besides the death benefit, has a small cash value segment. After your lifetime, the beneficiary will be paid the death benefit, and against the cash value, one can borrow. However, the death payout will be reduced by the amount of outstanding loan. When the insured deceases, the insurance company keeps the policy’s cash value. In spite of the policies being expensive, complex and gives relatively small returns, this policy is the best insurance for over 65s. Under certain situations like one wants to reduce his estate duty or leave an amount to a charity regardless of your age at death.
• Guaranteed Universal Life Insurance is an intermediate between the whole life policy and term policy. The insurer chooses the period of the policy while the premium remains constant throughout the period. The premium is in between the two being somewhat costlier than term while falls short of the Whole Life Insurance policy. This does not have a cash value component. This policy is useful in many scenarios like avoiding estate duty, maximizing pension benefits, repaying adult children who will pay for your old age care.
• Universal Life Insurance, also called non-guaranteed life insurance, lasts till the insurer’s life and accumulates cash value which is linked to investment performance. If the investment does badly, one will end up paying an additional premium. The insurer can borrow against the cash value when one is alive, and the death benefit will reduce by the number of outstandings. In the event of the death of the insured, the insurance company keeps the cash component. As this policy has many disadvantages, this is one to be avoided. High premium, expensive management charges, unguaranteed rates, 3% annual investment charge.
• Burial Insurance is a type of insurance with a death benefit typically $5000 to $25,000. This is specifically indented to cover one’s burial expenses. The policy is small and has only minimal medical risk underwriting.

All the above policies underwrite substantial medical risk as such would have a medical check or an intensive review of one’s health status before being given the policy. It is always better to consult an independent broker who is not affiliated with any one company. By that very virtue on is likely to get a more objective assessment of the policies on offer.