Life Insurance Tips To Save Time And Money
If you’re buying life insurance for the first time it can be kind of an uncertain thing. You probably don’t really know what to expect and you may want to have some information about what you need to know in order to get the best cost of plan for yourself. Here are some life insurance tips that will give you all of the important information that you need to know.
1. Compare Quotes
If you were buying a house or a car you wouldn’t just buy the first one that you saw. You need to shop around and make sure that you get the best deal, right? Well, the same is true for life insurance. You will need to shop around and find the best plan for you. Some plans are tailored towards people who have special activities and interests. Others simply have different underwriting tactics. You need to find the best plan for you.
2. Get a Plan With Living Benefits
In life insurance, living benefits are ones that you can still access when you are alive. It is usually something in your plan that says if you get a fatal illness you will be able to access the money to help pay for end of life costs. Some of these riders say that you must have a prognosis of 12 months or less to live, while others also have provisions for the development of a chronic illness.
3. Send Payment Before You’re Accepted
Send in a payment with your application. That way if they accept you, you will be covered right away and you won’t have to worry about a period of not being covered. Anything can happen at any time and you want your family to be covered if something does happen. That’s the whole point of life insurance!
4. Take Advantage of Making Policy Changes
Most life insurance policies have a period of time in the beginning known as the “free look” period. This is when you can take a look around the policy and find out if there is anything that you would like to add to it. This is an amazing feature of some policies that gives you time to mull it over. Make sure you find out if your plan has this feature and how long it lasts for your life insurance policy.
5. Do Your Research
You need to pick a good life insurance company. You want to do some research on their financial ability to pay out and you want to make sure they are a reputable company. You will also want to check with your local department of insurance to make sure that the company is in good standing. You can even check on your particular agent to see if they have had any bad marks on their record.
6. Term Life Insurance Could be Right for You
Term life insurance is a plan that is just for a certain period of time, usually 20 or 30 years. This is a great idea because you can have the life insurance policy while your kids are growing up and when they are adult and independent you don’t have to have it. This can save you hundreds of dollars per month because a term life insurance plan can run around $30-50 per month for some, while true life insurance plans might be a few hundred dollars for a month.
7. Get it While You’re Young
Life insurance is so much cheaper when you are young so it’s best to lock in your rate when you are early on in your years. This is because older people are more likely to develop health problems. Around the age of 35 is when the rates start to go up.
8. Quit Smoking
Smokers pay up to 50% more for their life insurance policies than others. There are many tools out there to help you quit smoking so just do it. You will save a ton of money and some policies will flat out deny you if you are a smoker who has other health problems.