Over-50s Life Insurance: How It Works and the Catches (2026)

• You must be over 50, and the older you are, the more your monthly premium is for the same payout
• Acceptance is guaranteed: you do not need to answer any health questions or get a medical check to be accepted for cover
• You pay a fixed monthly premium for the rest of your life or until the age set out in the policy agreement, so the insurer can't increase it
• You are guaranteed a fixed payout when you die, and you choose the amount when you take out the plan, so you know exactly how much it will be
• The money is often used to help contribute towards funeral costs, but your beneficiaries can spend it however they wish
• You can only take out a single policy

You are fully covered after one year. Before you buy, check the terms and conditions for how long the waiting period is before the policy will pay out, and whether it covers death caused by drug or alcohol abuse.

• The payout amount stays the same and won't keep up with rising prices
• You only get money back if someone makes a claim after you die
• Even with an existing health condition, a regular life insurance policy may be cheaper, as lots of health conditions are accepted

Over-50s cover might suit you if you are in poor health and don't expect to live long, since there is no medical check required. If you already have a plan and have paid in for a while, it might make sense to keep paying, but think about how much longer you will be paying compared to what your beneficiaries will actually get. Even then, it is worth comparing with regular life insurance first. Other options to compare:

• Regular life insurance, where you can choose a joint policy or a single one
• Saving regularly: put money into a savings account each month and, if you can avoid touching it, you will build up more money than most over 50s plans provide
• Using existing money: most banks release funds for funeral costs before probate is granted
• Checking work benefits: many employers provide death-in-service benefits, and trade unions and professional bodies sometimes offer death benefits too
• A pre-paid funeral plan: since July 2022, all pre-paid funeral plans are regulated by the Financial Conduct Authority

Our guides explain funeral costs and the help available with paying for them and how to make a will.

Shop around and compare quotes from different companies, and check on the FCA website that the company is authorised. You can get quotes from specialist brokers and comparison sites. Keep your paperwork safe and tell your next of kin about your policy. You have 14 days to cancel your plan after taking it out if you change your mind, which is called a cooling-off period.

You might need to complain if:

• you were given bad advice about taking out the plan
• you weren't told about the risks or drawbacks
• your insurance company won't pay out when they should
• you've had poor customer service

Make a complaint to your insurance company first. If they don't fix the problem, or you're still not satisfied after eight weeks, you can then contact the Financial Ombudsman Service for free. You normally have 6 months from when the insurance company gives you their final response to contact the ombudsman. Our guide to a refused insurance claim covers the complaints route in more detail.