We’re looking at our life insurance at the moment. Life insurance plans differ in terms of coverage and the various types of policies that are available. We have great cover in place to cover us until our youngest is 12 years old. What we didn’t consider when taking this out, is what to do about us after that! One thing you should never do is rush into the decision of purchasing a life insurance plan, clearly. This mini guide looks at choosing life insurance the right way.
Life Insurance: Tell the Truth
One of the biggest mistakes people make when applying for life insurance is failing to reveal any health issues they are suffering from. Some people think it is better to lie on their application or purposely disclose information, as they will be able to lock in better premiums. But, if you do this, you will only suffer in the long run, as your policy will become invalid, and your loved ones won’t receive a lump sum when you pass away. Assuming life insurance is the only type of policy you need is another error. QAccounting.com can help you with this. What about policies that can protect you while you’re still alive?
Choose Your Life Insurance Mindfully
You also need to be mindful when choosing reviewable life insurance policies from insurance companies. While there is nothing wrong with going down this route, you do need to be fully aware of the fact that the premium is only guaranteed for a set period of time, anything from around three to ten years. After this time your policy can be repriced. Moreover, if you are thinking about taking out a joint life insurance policy for you and your partner, you may be better off going for two separate life insurance policies, as they offer more value and flexibility. Finally, watch out for low start policies, as the monthly premiums can increase throughout the policy term.
Finding The Best Life Insurance Quote
Life insurance quotes may be something you have searched on the Internet already. You may be startled by the difference in the quotes provided. This is because there are a number of different factors that are considered when working out life insurance premiums.
It is important to understand what is considered by insurance companies when they put together a quote, as this will help you to understand what is a fair price and what is not. Basically, the greater risk you are, the more you will pay. So, to put it bluntly, if an insurer deems you have a higher chance of dying than someone else, you are going to pay more. The main factors they will consider are your health, age, family medical history, and lifestyle. Of course, your health is important because, if you have any on-going medical issues, the insurer is clearly going to deem you to be high risk. The older you are, the more you can expect to pay. If there is a history of cancer or any other type of serious issue in your family medical records, you may be charged a higher rate. Also, if you live a dangerous or unhealthy lifestyle, this will also make you a bigger risk.
Despite all of this, one thing you should never do is lie on your application. If you do so, the insurer will make your policy void, meaning your children or partner are left with no money at all. This is not a risk worth taking. Instead, the best way to find a good life insurance quote is to use a comparison website.
Our Life Insurance
The above advice is sound. Now that we are looking for separate insurance to protect us in our twilight years we are finding that there are a huge number of products and options available and that our premiums may be higher because I am now diabetic. I am considering specialist insurance that caters for specific health issues, ensuring proper coverage without the ridiculous costs. Who said that adulting wouldn’t be fun?