Term insurance for elders

POSTED BY Gaurav ON December 1, 2010 11:43 pm COMMENTS (4)

Hi All,

I am in dilemma whether to buy term insurance for my father. His age is 60. He is not insured till now. I know premium will be on higher side. Also I found out that LIC term insurance is not possible at his age now. Please guide me on following:

1. Should I go for insurance for him? (I think I should…better late than never)

2. Which term insurance provider should I look for?

3. If someone has two policies from two different insurance companies, can both be claimed in case of eventuality?

 

4 replies on this article “Term insurance for elders”

  1. Gaurav says:

    Thanks Ramesh, Ankur , Jitendra for answers. All of the above comments are helpful.
    Thanks for pointing out that its my father who has to go for it rather than me.

  2. jitendra solanki says:

    Gaurav,

    For taking a term plan on your father age you need to work out his income and expenses and
    dependents on him.

    If you are looking at becoming a proposer and paying the premium,then its not possible. As per Insurance act childrens cannot take insurance on their parents because insurable interest is not there.

    But if your father is working and interested in taking the same,then do some homework for the amount of cover required and then search for companies.

  3. Ankur Lakhia says:

    Gaurav,

    Term plans are one of the ways for insuring life.

    Basic reason for taking life insuarnce is to compensate loss of income in case of demise of policy holder.

    If your father is 60 years of age, I assume that, as typically happens in India, he is retired and / or he does not have anyone dependent on him financially. In this case, there is no need to buy term plan for him as life cover is not needed.

  4. Ramesh Mangal says:

    Insurance is done to protect the “financially” dependents in case of an unforeseen eventuality. For life, health, and otherwise.

    1. In your case, are you dependent on your father financially? Are there any other financial dependents on him? How much does your father earn and what are his current assets? Insurance is NOT for everyone.
    3. In that case, both policies can be separately claimed.

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