Life Insurance and Social Security Explained | Ethos Life (2024)

Do you need social security for life insurance?

Life insurance is available through the private market and can be purchased whether or not you receive social security benefits. Citizens have the legal right to buy life insurance policies, and the social security administration lacks the authority to counter that.

However, if you want the life insurance benefits of social security, you'll have to be eligible for social security. Eligibility requires paying into the social security system for at least ten years. So, instead of seeing the options as social security vs. life insurance, know that it's wise to have both. For instance, you may live off your social security while maintaining a life insurance policy to protect your mortgage.

Can you get life insurance through social security

Does social security have life insurance? It's possible to receive life insurance protection through the social security system. If you pay into social security, you may be eligible for social security life insurance protection. However, life insurance protection through social security can be somewhat limited compared to many private policies.

These social security life insurance policies are known as survivor benefits and are more restricted than private policies regarding beneficiaries and coverage amounts. Specifically, these benefits can only go to your widow, widower, divorced spouse, unmarried children, or children who are still dependents.

Buying private life insurance for retirement

When searching for affordable life insurance for retirement to complement social security, some prefer permanent life insurance policies. There are a few prominent reasons for this. First, these policies are generally more available, with less medical restriction to older individuals.

Second, these policies include cash-value investment features besides their payout coverage amount. That cash value can also be utilized by the insured during their life. While term policies are often less expensive, they lack these specific benefits. (Note that permanent policies offered through Ethos are primarily for older individuals and are designed to be accessible and affordable, so they won't accrue the same value as a policy purchased earlier in life).

Still, there are many ways to use life insurance in estate planning, no matter the policy type.

At Ethos, our available life insurance policies include whole life and term. Applying for life insurance online is designed to be quick and easy. Most applicants can apply without needing a medical exam, although health questions are still included. If you're considering life insurance policies, get a free quote today.

Life Insurance and Social Security Explained | Ethos Life (2024)
Top Articles
Latest Posts
Article information

Author: Terence Hammes MD

Last Updated:

Views: 5948

Rating: 4.9 / 5 (49 voted)

Reviews: 80% of readers found this page helpful

Author information

Name: Terence Hammes MD

Birthday: 1992-04-11

Address: Suite 408 9446 Mercy Mews, West Roxie, CT 04904

Phone: +50312511349175

Job: Product Consulting Liaison

Hobby: Jogging, Motor sports, Nordic skating, Jigsaw puzzles, Bird watching, Nordic skating, Sculpting

Introduction: My name is Terence Hammes MD, I am a inexpensive, energetic, jolly, faithful, cheerful, proud, rich person who loves writing and wants to share my knowledge and understanding with you.