Spain continues to be one of the countries with the highest life expectancy in the world, although the coronavirus crisis has pushed us back to 2015 levels; from an average life expectancy of 83.3 years we have dropped to 82.62, according to a recent study conducted by the University of California Los Angeles (UCLA).
The “silver economy“
But we are bound to recover these lost 0.71 years to further underline an undeniable claim: in Spain we live longer and we live better. In fact, it is expected that Spain will top the world’s longevity table from 2040. How does this affect the insurance field? Taking into account the fact that in Spain there are already about nine million people over the age of 65, insurance companies currently offer protection and assistance to this important segment of the population, the so-called “silver economy”.
Life insurance for the elderly
And this paradigm shift begins with life insurance itself. Gone are the times when it was impossible to take out this kind of insurance after blowing out your 65 candles. Of course, the normal thing in this case – and subject to a medical examination – is that life insurance for the elderly only covers the main risk – death – and not additional guarantees such as disability or accidents.
In the case of health insurance, some insurers are already offering specific products for people over 60 or 65 years old. The premiums are logically higher than in other age groups, but it is also true that they offer a medical service that not only covers conventional diagnostic tests but also provides access to geriatric specialists and specialized implant and prosthetic services.
Another protection formula of particular interest to this group is dependency insurance. In this case, there is usually a maximum age limit of between 70 and 75 years old. This insurance will provide protection for any needs that may arise if the insured person suffers any restriction, whether physical or mental, that prevents them from carrying out basic everyday activities.
Insuring the “other” pension
Life annuity insurance, which guarantees a source of income until death, is one of the most popular insurance products among the over-65s. This option transforms the personal savings from the sale of an asset (such as a second home, an investment fund, shares, etc.) into a kind of monthly “pension”.