SENIORS who do not have dependents should consider various life insurance products currently on the market that will assist with taking care of them or providing coverage for their final expenses in the event of an early death, says Othneil Blagrove, senior manager, sales and marketing, JN Life Insurance.

Blagrove said there were insurance products on the market that will provide coverage in the event of illness or death and these could be considered.

“For many Jamaicans, children are perceived as a pension plan, which is not a good idea. However, there are Jamaicans who do not have children and are nearing retirement. Some may or may not have a pension to ensure they can cover their basic expenses when they retire. However, one of the sure ways to cover yourself is to have life insurance. Even if you are nearing retirement, there are now policies on the market which can provide both coverage and/or investment,” he said.

The senior manager said one of the products to consider is a term life insurance policy which can provide coverage up until the policyholder turns 75. He further explained that this product can be purchased by individuals up to age 65.

“Term insurance is designed by life insurance companies to provide insurance protection within a set period of time, or where larger coverage amounts are needed and affordability is an issue. Term insurance also has more affordable monthly payments and is the lowest cost for life insurance. You can tailor the duration of your policy for 10 or 15-year periods to cover your needs. However, with exception of the JN Life Vest, term life insurance policies do not have an investment option,” he added.

Blagrove pointed out that another insurance product that can be considered is a critical illness product.

“Critical illness products provide coverage in the event of a major illness such as a heart attack, stroke, cancer, or kidney ailments. Depending on age of the insured, these products can be purchased to cover themselves and/or other family members,” he explained. The coverage is for anyone who has never been diagnosed with a critical illness, and individuals up to the age of 60 years, would be eligible,” he added.

According to Blagrove, a critical illness plan is important because treating these illnesses could be very costly, therefore, seniors need to be prepared to cover these expenses.

“These policies normally last for 20 years and have a refund benefit if there is no claim upon expiry,” he stated.

He added that JN Life offers JN Life Comfort in the event of death to cover burial expenses, which can be quite costly.

“If as a senior you cannot afford a life insurance policy, you may purchase what is called a burial plan, which is a whole life plan designed to fund final expenses. It also provides coverage up to the age of 76 years,” he said.

He added that seniors, especially those nearing retirement, should always seek advice from a financial advisor to find which policy is best for them.

“You should have a conversation with a financial and insurance advisor who is trained to recommend the best insurance options for you. This would be central to your retirement planning to ensure that you remain covered for all eventualities,” he stated. “What you don’t want is to retire and be concerned about finding funds, in the event of illness, when you should be enjoying the funds that you had put away for your golden years.”