Life insurance is an important part in anyones life, especially once you get older or have kids. Life insurance is cheaper than ever, now is a great time to start getting quotes. Here are a few things you should know before you start getting your quotes.
1. Determine how much coverage you need – When you are getting your life insurance quotes, make sure you know what you are looking for before you settle on something. It may look good on paper, but it might either be not enough coverage or too much, costing you a lot more money than you need to spend. If you are the main income in your family, you should cover your salary. If you have kids, you should probably increase the amount of your insurance.
2. Change your life in a positive way – If you smoke, or don’t eat healthy, change what you are doing! It’s not the greatest thing for you to be doing, AND it will increase your life insurance police premiums. That will cost you more money in the long run. If you are staying healthy, it will put you in the low-risk category meaning you will not have to pay as much.
3. Term policy versus whole policy – There is a huge difference between these two types of policies. Term policy is set for a selected amount of time. If you die within that time frame, your family will be covered. Whole policy is something that will have a lot more options for you, but is a lot more complex than a term policy. Most of the time, a term policy is appropriate for you. If you think you want to use a whole policy, talk to a financial advisor.
4. Research different insurance companies – This is pretty self explanatory, explore your options before making a decision. There could be a better life insurance quote than what you are currently looking at.
5. Read the fine print – This one is also pretty easy to understand. Fine print is tricky, if you don’t read what you are signing, it could get you into a lot of trouble.