Is Life Insurance Worth It After 60? What Connecticut Families Should Consider

If you're in your 60s, chances are you've heard mixed messages about life insurance. Some say it's no longer needed once the mortgage is paid off and the kids are grown. Others argue it's a smart way to leave a legacy, cover final expenses, or even supplement retirement income. So what's the right answer?

As a Connecticut resident nearing or in retirement, your needs are unique. In this post, we break down when life insurance makes sense after age 60 — and when it might not.

 

1. Start With Your "Why"

Do you still have people who depend on your income? Do you want to leave money behind for loved ones or charitable causes? Are you concerned about the cost of funeral and burial expenses? These questions help determine whether coverage still plays a role in your financial plan.

 

2. Term vs. Permanent Life Insurance at This Stage

 

  • Term Life: May still be available in shorter terms (10 or 15 years) and is more affordable. Good for covering debts, replacing lost income, or providing peace of mind during a key transition period.
  • Permanent Life (Whole, Universal, or Indexed Universal Life): Offers lifetime coverage and often builds cash value. More expensive, but can support estate planning or create a tax-advantaged asset.


3. Consider Final Expense Coverage

Also called burial insurance, this is a smaller permanent life policy (typically $10,000–$25,000) designed to cover funeral costs or remaining medical bills. It's often easier to qualify for and can bring peace of mind to families.

 

4. Can Life Insurance Help With Retirement Income?

Some permanent life policies, especially Indexed Universal Life (IUL), offer a way to access tax-free cash value during retirement. While not a substitute for a 401(k) or IRA, they can serve as a supplemental resource when structured properly.

 

5. Factors That May Affect Your Rates

At 60+, underwriting still considers your age and health, but many policies are available with simplified or guaranteed issue options. Working with a local advisor ensures you're looking at carriers that understand your market and offer competitive rates.

 

Conclusion

Life insurance after 60 isn’t a one-size-fits-all decision. It depends on your goals, your finances, and the people you want to protect. Whether you’re looking for affordable final expense coverage or a long-term asset to round out your retirement strategy, we’re here to help you weigh your options.