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Life Insurance Money Saving Tips
Life insurance, specifically Term Life, is arguably one of the best values in the entire financial services
Hot Topics
- What is Life Insurance?
- Life Insurance (with terminal cover included) is a form of insurance that pays out a lump sum if you die or fall terminally ill during the period covered by the policy.
- What is the difference between a Guaranteed and Reviewable life insurance policy?
- With a “Guaranteed” policy the Life Company guarantees that it will never increase the premium.....
- How is a claim made under a life insurance policy?
- All claims are made against the Life Company who issued your policy. You will find details of the claims procedure within the policy documents they provide with your policy and in the key features document.
- Laws and Life Insurance
- The following Questions represent the legal aspects of Life Insurance we think you will be most interested in. The information is not definitive nor is it exhaustive but simply an introduction into the legalities involved.
Buy when you're young. Although your financial needs may be lower at a younger age, the rates are also substantially cheaper when you're ( cheap life insurance ) young. Remember, the goal is to cover your primary assets (like your salary and house) so that if something were to happen to you, your beneficiaries would be able to persevere financially. The best advice is to lock in as much protection at a young age while your health and prices are still good.
Your "half" birthday could be costly. While some companies raise their prices based on your actual age, most companies increase the price of their policies six ( secured loans ) months before your birthday. It's a term called "Age Nearest" in the industry, and that half-year price increase could really add up over a 20-year term policy.
Buy before any major health issues arise. Healthy people have the best mortality risks and thus are much cheaper for companies to insure. This translates into lower rates for the "Super Preferred" customer than someone with higher risk factors such as a heart condition, cancer or diabetes. Conversely, if you were unhealthy when you acquired your policy, and your health has now improved, it might be time to shop for a new policy, as your rates are likely to be lower.
Select the right length of coverage. Everyone has different needs, and not one size fits all when it comes to term life insurance. While it may make sense for people in their 30s and 40s to secure a 20-year term length, a 10-year term might be more appropriate for someone nearing retirement.