One of the most trivial questions of life when you reach a near-retirement age is choosing the right life insurance for you. Like a credit card, each company has its own pros and cons. To top it all, you also have insurance terms and lingo which tend to be confusing more than ever. I don’t know, but each time I surf the net for something new in the insurance industry, there is always a new plan/term/whatever developed. During my time, it was just a matter of choosing an insurance company you are most comfortable with, choosing a plan which fits your budget perfectly, and that’s it, you’re done! Nowadays, I sometimes feel that picking the right life insurance for you should mean hiring a lawyer to inspect what goes on the contract you are about to sign in! –come to think of it, maybe that’s not a bad idea after all!
The debate has always been between term and whole life insurances. However, recommendations vary widely from one person to another, from one insurance agent to another and yes, your financial adviser may have his or her own say about which is better of the two. The key is to have your financial standing assessed before actually going out shopping for a life insurance. While you’re at it, consider your lifestyle and your retirement plans as these things will affect your choice in the long run. Lifestyle factors to consider:
·    Are you employed or running your own business?
·    Do you plan to put up a business or continue the one you already have now for as long as you live?
·    Will you be needing lifetime coverage or just for a specific period of time?
·    Why you need a life insurance, do you consider life insurances as an investment which you can use later in life or solely for your beneficiary?
·    Your financial capability even after retirement.
These things will affect your choice between whole life and term insurances. As a general guide, whole life insurance is for people who intend to keep an active financial standing even after retirement while term insurance is for people who just wanted to pay fixed amount at a certain span of time. Senior business owners are most likely to be recommended with whole life insurance as they can cash out their whole life insurance anytime they want to, of course, under specific terms and conditions. On the other hand, employed seniors who just wanted to live a simple, non-complicated life after retirement should go for term insurances, by which only their beneficiary will stand to gain after your death. By the way, term insurances are the original form of insurance. This is exactly what my time has grown familiar with.