Posts Tagged ‘sum insured’

Protect Your Loved Ones With The Right Coverage

Thursday, March 22nd, 2018

Why buy life insurance? Its main purpose is to provide for the needs of loved ones after your death. These tips can help you find the right life insurance policy for you and your family.

Determine the lifestyle and needs of your family when trying to figure out how much life insurance you should buy. There will be different needs for different people after they experience the passing of a family member. Your policy should cover expenses related to the funeral, real estate taxes, mortgages and loans, as well as usual expenses your salary would cover.

Remember that the reason it is inexpensive, is that term life insurance does not cover your whole life. Term insurance is attractive because of the lower cost, which is why many people buy it. You do need to keep in mind, however, that whole life policies are enduring financial investments offering equity that can be tapped if necessary. Term life insurance on the other hand, only lasts when you are making payments.

Activities like bungee jumping, scuba diving, or skydiving carry risks that may equal higher life insurance premiums for you. The fees for your policy can increase significantly if you happen to have a risky occupation such as a firefighter or drag racer.

Choose a life insurance policy that is adequate to fit your family’s needs. It can be overwhelming to consider all of the options and terms, but in the end, it will cost you less and better protect your family. Think about things like taxes, mortgage and your spouse’s retirement when trying to determine how much you need.

Inform your family and loved ones about the life insurance policy you choose and what it entails. Make sure that your beneficiary has all the necessary information, such as where the documents are located and the sum insured.

By making sure you are healthy, you have the opportunity to reduce your life insurance premium. Usually, healthier people get better deals on life insurance since they are expected to live longer.

Look for the lowest possible commission when you buy a life insurance policy. These commissions are paid to a broker and agent, and the cost of them is included into the premiums. “No load” policies can save you money if you can find an insurance company that will sell you such a policy directly.

You may be able to pay less for life insurance when you buy more than a minimal amount. There are some policies available for purchase where the higher the sum insured, the more cost effective the premium is, which of course means more money available to your family.

When you are purchasing a life insurance policy, ask about cancellation options. You may want to cancel the policy at some later time if your needs change or you are dissatisfied with the company. Some companies out there will charge a form of penalty for cancelling out of the policy. You want to know exactly what is going to happen when you change up a policy, what fees or anything else might apply, so you aren’t shocked.

Doing preliminary research by yourself is always good when buying life insurance, but at some point, you’ll want to speak with an insurance agent. They will be better able to help determine what coverage you need, and will be there to help if you have questions, or want to make changes to your policy.

If you are married, you should get a two-in-one policy. This allows you and your spouse to be listed on a single policy, instead of having to carry two separate policies. The premium is lower on these compared to the separate ones. The coverage you receive will be identical, you will simply pay a decreased amount to have it.

In most cases, you should find other solutions to financial problems, rather than cashing out your insurance policy. There are a lot of different people who find financial hardships and have to cash out their policies. Even if you need the money, you will have wasted the time and money you invested in your policy. If you run into financial difficulties, there are alternatives to cashing out the policy.

It is important to feel confident in the abilities of your broker; otherwise, you may encounter problems along the way. Make sure to ask about premium guarantees, and ask whether your policy can be renewed or canceled. Find out as much as possible about these details before buying a policy.

Stay away from caffeine before you take the necessary medical exam required by life insurance companies. Caffeine is not prohibited, but since it is a stimulant, it can play havoc with your blood pressure, heart rate and may even give you the jitters, which won’t come off well during a medical exam.

How much life insurance should I purchase? First, you should ask yourself whether or not you absolutely need to pay for a policy. For most single men and women who do not have kids, the answer is ‘no’. The general rule is to purchase around five and ten times the amount of your annual salary.

Purchasing a life insurance policy carries heavy responsibility, so you must be knowledgeable about all of your options. Remember the tips in this article to choose a plan wisely.

Find The Perfect Life Insurance Policy With These Tips

Tuesday, March 8th, 2016

Life, however, often has different plans. Just when you think you’re safe, the unthinkable can happen and leave your family high and dry. In the following paragraphs, you’ll find tips that will help you better understand how to select a good life insurance policy. You will gain a sense of relief knowing that your loved ones are protected.

When deciding how much life insurance you need, consider your family’s particular situation. When a loved one is no longer in the picture, needs will vary according to each family. When something like this does happen, it’s good to know that your policy will be there to provide for their loved ones and cover the monetary damage.

Make sure that you are adequately covered in the sum insured before you make your purchase. Over-buying can needlessly cost you too much money, as under-buying can stress your family out financially if a tragedy happens. It will make you feel better by making wise life insurance choices.

Don’t buy life insurance until you’ve taken the time to look around and compare policies. The price differences between companies can vary widely, as much as 50%. Check the coverage prices online at comparison websites as well as the insurance companies’ official sites. Ensure that every quote you get is based on the knowledge of the existing medical conditions you have.

When calculating the appropriate amount of coverage to purchase with your life insurance policy, consider all the expenses that will need to be covered. Life insurance also helps to pay for expenses that happen only once, like funeral costs and estate taxes, both of which can be high.

Once you get your policy for life insurance together, let those involved with the policy be made aware. Provide the heir will all details of the sum insured, where you have located the policy documentation, and all the contacts for financial representatives they need to call to make the claim when the time arises.

By improving your health, you will be able to get lower premiums for your life insurance. Normally, an insurance company will offer a better rate to a healthy person because they are expected to live longer.

Stay away from life insurance policies where unusually high commission rates are in place. These commissions go to your agent or broker, but they are included with your premiums. Policies such as “no load” policies might save you money, because they are bought directly from the insurance company, so the commission to an agent is eliminated.

Decide how you are going to find and purchase a life insurance policy. This can either be done on your own or through your employer. You may also want to talk to a financial planner. You can buy a policy through them, or through an insurance agent.

By now you should realize the important of planning ahead by purchasing life insurance, though you may not see an immediate need. If you study these tips, you can ensure your family will not be in trouble later on.

Excellent Tips To Maximize Your Life Insurance Dollars

Saturday, September 19th, 2015

Life insurance is meant to help your loved ones survive, should you pass on. These tips can help you find the right life insurance policy for you and your family.

While term life insurance is less expensive than other coverages, it will not last. Many people purchase term life insurance because of its lower cost. Whole life policies are permanent assets, though, and you can even borrow against them. In contrast, term life insurance lasts only as long as you keep up the payments.

Make sure that you are adequately covered in the sum insured before you make your purchase. Buying too much insurance can be expensive, and not buying enough can give your family an abundance of stress. You and your family will have peace of mind if you make solid decisions when it comes to buying insurance.

When purchasing life insurance, make sure that you buy enough coverage. If you croak unexpectedly, the insurance payout needs to be enough to cover your mortgage, any consumer debt, and your children’s education.

Before purchasing life insurance, be sure to shop around and compare prices. The premium amount varies by as much as 50%. That is why it is wise to look at different companies and comparison shop so you can find the best price. The quotes you get for life insurance need to factor in any medical history you have.

Skydiving, scuba diving, and bungee jumping can increase the premiums on your life insurance. An occupation of a higher risk, such as a helicopter pilot, will greatly increase your premiums depending on the level of danger.

Take in consideration ongoing and fixed expenses when choosing a policy. Life insurance is also use to pay one-time expenses like estate taxes or funeral costs, which are often times be quite high.

Work on improving your lifestyle and health before subscribing to a policy. Life insurance is something that is quite costly. People whose poor lifestyle choices have compromised their health will ultimately pay more for an insurance plan. You should do as much as you can to whip yourself into shape before purchasing life insurance. Adopt a healthier diet, and shed some of your excess weight. Do whatever you have to. Doing so could dramatically decrease the amount you have to pay for your policy.

Get just the right coverage for your family. If you need to find out how much life insurance coverage you need, it can be a very confusing process to go through, but it can in fact save you some time and hassle in the long run. Consider what the cost of your mortgage, college tuition, property taxes and the retirement of your spouse, as well as inflation will be, when considering how much to get.

Fully disclose any high risk activities you participate in. Your premiums will be higher, but you will not risk being disqualified for coverage should the insurance company discover you have withheld information. In addition, not disclosing this information might be considered to be fraud, which carries large penalties.

Whether you’re young or old, single or have a family, taking out life insurance is something you should consider as long as anyone depends on you. A solid life insurance policy affords you peace of mind. You will be able to send your children to college or help your partner with housing even after you are gone.

If you need to save money on your life insurance, try getting healthier. Normally, an insurance company will offer a better rate to a healthy person because they are expected to live longer.

Purchase additional life insurance for family members to save more money. There are some policies available for purchase where the higher the sum insured, the more cost effective the premium is, which of course means more money available to your family.

Naturally, you’ll probably want to exercise prior to having a medical exam in order to appear healthier, so that you can receive a better life insurance policy. However, this will in fact spike your blood pressure, possibly giving an incorrect reading to your physicians.

Because this is so crucial to them, you should know all the relevant information so that you are able to select the right policy. The advice from this article can help you do that.

Tips On How To Get Cheap Life Insurance Rates

Sunday, December 8th, 2013

Unfortunately, death is the only certainty in life. Make sure your family will have everything they need to live comfortably if you die. This article can help you make important decisions about life insurance.

Make sure that you are adequately covered in the sum insured before you make your purchase. Buying too much coverage is a common mistake. This can cost you money. Not buying enough, though, will leave your family financially stressed. You will feel a lot more protected when you decide on the right decision for life insurance.

You should not feel pressured to invest in a policy that pays a significantly large sum of money. Policies with high payouts are more expensive than their lower paying counterparts. Instead, purchase a policy that is just enough to cover your family’s expenses if you die.

Make sure that you land the proper levels and limits of coverage for your life insurance before you make the final commitment. It might take you a while to figure out just how much money you will need to cover expenses and to provide for your family, but the extra time spent is well worth it. Think about things like taxes, mortgage and your spouse’s retirement when trying to determine how much you need.

If you have any dangerous hobbies or are in a profession that is hazardous, your premiums will be higher for life insurance. You may want to give up scuba diving, bungee jumping and skydiving if you see your rates as being excessive. Traveling to risky areas around the world could also make you ineligible for discounts.

As you research the available life insurance providers, it is advisable to choose a prominent company with a good reputation. An inexpensive policy through a firm with a poor reputation will not provide much security if they cannot pay out your policy in the event something happens.

Make sure those that are included in your insurance policy know about it. Make sure that your beneficiary has all the necessary information, such as where the documents are located and the sum insured.

If there are individuals that depend on you financially, you should think about getting life insurance. In the event of your death, life insurance will provide for the financial needs of your spouse and children. It may enable them to pay down a mortgage or pay for college.

It may be easier said than done, but try to avoid higher commissions when getting your hands on a new life insurance policy. These commissions fees are paid to the agent or broker and are usually included in your premium cost. It is to your advantage to opt for a “no load” policy, if you can locate a company that offers one.

Purchase more life insurance to save money overall. Buying greater coverage sometimes means that the company will charge less as you’ll have more preventative care leading to reduced chances of major illness.

If you want to get life insurance, work with an independent broker, rather than an actual insurance company. Unlike firms dedicated to selling only their products, an independent broker can search multiple options and find the best deal for you. Choosing a life insurance policy is a major undertaking and should be treated appropriately.

You should rarely ever cash out your policy. Many people are turning to their life insurance policy as a means of cash if they need the money for something else. Cashing in early wastes both your time and your money, so this option shouldn’t even be on your radar. There is always a better method out there, it just takes some digging around.

When dealing with life insurance brokers, you should watch out for brokers who pretend to know everything, including what is in your best interest. People like this are usually unreliable and they only want your money.

It’s not wise to ingest any caffeine before attending your medical examination for life insurance. Even though caffeine is legal, it’s a stimulant, and has properties that can increase your heart rate, elevate your blood pressure, or make you feel anxious. This can hurt the results of your examination.

Always put life insurance policies in an accessible place. Let the beneficiaries know where the policy is so they can go through it and send a claim if they need to.

Take the time to evaluate your needs before you begin looking at insurance policies. Failing to properly assess your life insurance needs could lead to you buying too much coverage or not enough. In both cases, you can also miss an opportunity to get a more cost effective rate.

When term insurance is going to end, make sure you are proactive. If you are in good health, try to find a new policy that is term life. If your health has suffered, convert your term life policy into a permanent life insurance policy. Doing so can keep you from having to undergo new medical testing, and over time, the cost may be lower than a that of a term policy.

You must face the fact that some day you will inevitably die. For some, it happens way too soon. A family could be wiped out financially by an unexpected death and it is important to be prepared. You can plan for your family’s future by following the advice in this article.

What You Must Know About Life Insurance

Thursday, September 6th, 2012

If you have a family or other dependents, buying life insurance is a crucial step. If your income supports your family, you need to make sure that they are protected should you pass on. This article will help you find the right life insurance for your situation.

Before you purchase life insurance, it’s a good idea to know a little bit about your family’s history of illness and disease. For example, if your family doesn’t have a history of diseases, you may qualify for some serious discounts. Life insurance companies will also look into your personal history to determine a rate. A healthy history and a clean bill of health usually equal better rates.

You need to purchase enough coverage that the needs of your under-age dependents will be provided for until the point they are old enough to take care of themselves. For your spouse, be sure the coverage will be adequate to cover them until their retirement benefits kick in.

A great way to save some big money on a life insurance policy is to purchase a larger package. There are some policies available for purchase where the higher the sum insured, the more cost effective the premium is, which of course means more money available to your family.

Consumers who are healthy have lower life insurance costs. Before you start shopping for life insurance, it’s important to ensure that you’re in the best health possible. Serious areas to make lifestyle changes are to lower your cholesterol, lose weight and stop smoking. Get yourself into shape so you can lower your monthly premium costs.

If possible, choose a life insurance policy when you’re young. Older policy applicants are considered a far greater risk. Buying a policy when you are young and healthy can lock in a good rate and coverage rather than waiting to buy it when you are older or in poor health and really need it.

Be sure to get the right amount of life insurance coverage. Determining the right amount is often a challenge, but it will ultimately make things much easier. Think about how much you spend on mortgage, tuition, taxes and retirement, to determine how much coverage you need.

The coverage range for life insurance policies is vast. Give careful thought about the amount that will best fit your family’s needs. Take into consideration the expenses that your family will face after your death.

Once you have your life insurance policy in place, make sure that those impacted by the policy are aware of it. Make sure that your beneficiary has all the necessary information, such as where the documents are located and the sum insured.

Premiums can vary up to 40 percent between companies. Try comparing quotes online from various insurers, and pick a website that adjust quotes to your own medical history.

Be sure that you place your policy in a safe place. Let the beneficiaries know where the policy is so they can go through it and send a claim if they need to.

You want to avoid “guaranteed issue” insurance policies at all costs. This type of policy targets individuals who have been diagnosed with a serious, pre-existing medical condition. Getting a guaranteed life insurance policy does not require you to get a medical exam. You will have to pay higher premiums though, and the coverage may only be available for limited amounts at face value.

Before making any decisions, you must do your work and compare the rates offered by several different companies. You can usually do this in a couple hours over the phone or online. Do not offer any personal information at this time, as just basic demographics are needed. Never commit yourself to a deal without comparison shopping first.

You might want to look into paying for term life insurance. When receiving any kind of policy that’s investment related, you could discover the costs are much larger than term life insurance. In addition, you could be under-insured at the end. Term life insurance gives you the choice of repurchasing a policy with different times, and keep the same exact value during the course of the term.

If you happen to be a smoker, consider the option of purchasing a term life policy designed specifically for those who indulge in tobacco products. In most cases, these policies carry a bigger price tag than traditional life insurance policies. On the upside though, the fact that you smoke does not automatically prohibit you from obtaining this insurance. In addition, they’ll cover any medical expenses that are linked to diseases caused from tobacco and any other health issues. One thing to keep in mind, however, is that each smoker is categorized based on how many cigarettes are smoked on a daily basis, so this can affect the rate of your premiums.

Before you purchase your first life insurance policy, ask yourself the question as to why you are buying it. Question what other people try to press on you, even life insurance. Life insurance is usually only necessary for those who have dependents. If something should happen to you, the coverage will pay their living costs. Policies are cheaper for younger people, but this doesn’t mean they should be purchased.

Did you know it’s possible to use your life insurance to help fund your retirement? Select a life insurance plan that includes a policy for return of premiums. You pay your premiums in full for a certain length of time, and then if you outlive the term of the policy, you will get your premiums back. Now you can go on vacation!

It is unfortunate if a family has to be concerned about how they will provide for themselves while dealing with the loss of someone they love. If you should meet your demise, it is critical that your dependents have the means to continue meeting financial obligations and avoid financial ruin. Keep the suggestions in this article in mind when you set out to chose the best policy for you, and the future of your loved ones.