Life insurance rates are regulated by law in every state in America. Quite a few people I converse with share a mutual misconception about life insurance premiums. Many consumers actually believe that insurance premiums vary from one insurance agent to another. Many feel that the more they shop the more they might save. Wrong and wrong again!
This could be true if they were buying a new Sunbeam toaster or a new Sony television. Nothing is farther from the truth due to the fact that all life insurance premiums are regulated by law.
All insurance rates are regulated by law, not just life insurance.
Regardless of what form of insurance you want to buy, there is only one set of rates. These rates are published by the insurance companies actuaries. First, the rates are published by the carriers and then your states Department of Insurance reviews them. If each states department of insurance officially approves them, they can be published and offered to the America’s consumers. If you are looking for accurate and immediate life insurance quotes, you will find them on our website’s quoting system. It if free for you to use as much as you would like.
This misconception was created by people witnessing thousands of other goods and services that have variable pricing between sellers. The auto industry is the most common area of sale that people are aware of. Insurance premium regulation is an absolute must in the United States. Otherwise the life insurance industry would become another used disgusting user car lot type atmosphere.
No one can sell the same exact policy for more or less than another.
Just image if the insurance industry operated like many of the others. The American consumers would be playing “let’s make a deal” with some salesman over price. You would feel like you were in a Ford dealer haggling over a Mustang. Nobody would ever know if they paid a fair premium or were raked over the coals. The statistics show that over 40% of intended new car buyers stop shopping because of the haggling involved.
Many consumers are taken advantage of because of their lack of skill in negotiating so these people end up pay more than they should for the same product someone else pays. We can thank our lucky stars that the insurance industry has set the standard for fair sales practices. Between the insurance carriers and your department of insurance you have no such thing as a variation in prices.
All Life Insurance agents use the same exact published rates!
Did you ever see some of these life insurance websites and see the message they are trying to get across? Such statements as “Save up to 73% on your affordable life term insurance”. Another one I see is “protect your family now and save up to 70% on your term life Insurance”. They usually display a numerical percentage of what you should expect to save. This is simply crock of total Bullshit so you would believe those numbers.
These are actually two phrases currently used by a couple of the big life insurance call centers. You will see these on TV and show up all over the internet. We believe in offering the best online life insurance quotes with no “dog or pony show”.
If anyone said they can save you more money that another agent for the exact same product, then you just became his new sap.
Some of the others will use phrases such as “we have the rock bottom lowest premiums”. Another is “we have the lowest premiums” and the list goes on and on. This type of advertising is for all types which include term, universal life and whole life insurance quotes. Many of these types of websites claim they have the best life insurance quotes available.
In reality the premiums for a specific plan design and face amount are the same across the board. Premiums never vary from one agent to another and this holds true in all states. High risk life insurance also works the same way. A person applying for life insurance with medical conditions can pay more than a healthy person but that is normal. But in a case of high risk life insurance the rates are still regulated and controlled by the insurance industry and government. Your states Department of Insurance enforces this regulation. This protects you from unethical pricing tactics or who knows what you would be paying in premiums.
Finding the best rates requires work on your agents part. Pre-screening your application to utilize the correct company is crucial.
We will shop the life insurance market hard to get our clients the lowest premium. This is done by utilizing the carrier that is offering our client the best premium on the market. This will also depend on our clients current health history. Also including their age, gender smoking status and lifestyle. The other main ingredient to the lowest premium is using the most applicable carrier that is offering the very best health rate classification.
This is how we are able to save our clients a considerable amount of money on their premium versus our competition. It simply takes a lot of effort to truly look for the very best plan design with the absolute lowest premium. We do not save people money based on the fact we can just give them a lower price as if insurance agents were selling Chevy’s or Ford’s.
Finding the best online life insurance quotes in not like shopping for refrigerator at Best Buy.
The one concept that these agencies have in common is to influence the consumer market to believe premiums are negotiable. The very simple truth is that all types of life insurance rates are regulated by law for your protection. There is no such thing as an agency “cutting you a better deal” or giving you some sort of a “discounted premium”. Always keep in mind that the golden rule is life insurance rates are regulated by law.
Don’t fall for any deceptive advertising stating discount percentages, this is false advertising.
Many people because of this actually believe if they shop the market long enough they will find a better price from some other insurance website or agency for the exact same product. Insurance carriers set the premiums which are then supervised and authorized by the state Department of Insurance. Any agent that tells you they can save you more money on the same product is violating the law and simply lying to you.
Life insurance rates are created by the companies actuaries and not by insurance agents or brokers.
The fact is the life insurance companies have complete control of an applicants final rates all the way to the point when the underwriting process is completed. Quote engine quoting rates are 100% accurate due to the fact they are updated on a regular basis. The insurance carriers and the quote engines are updated just like clockwork to insurance accurate premiums. When you see rates show under “standard”, “preferred”, or “super preferred” rate classes. They are always totally accurate for those rate classes if a person qualifies for them.
The key is to know what exact class is a person going to qualify for. This is going to require the help of an experienced agent to review their perspective client medical history. A quick and simple medical pre-screen is necessary to make that judgement call. The quoting engines are a great way to review the plans pricing from one carrier to another. There is more to it than that if you want to get serious about what your premium. Naturally, everyone is looking for low cost term life insurance.
If you have health conditions, we always suggest a pre-screen to get an accurate idea of the outcome and eliminate surprises.
Our office does not “throw numbers” at a consumers looking for rate quotes. We always like to know the specifics of the application so we can give them accurate rates. These would be rates they deserve to see, not rates that would be displayed in a “perfect world”.Everyone’s health history is different and that is why it takes the training and experience. A life insurance agent has to guide their client through the complete process.
Independent agents have the best advantage in saving you for money due to their ability of shopping the entire market for you.
They also have to be able to choose the correct carrier and plan design for their clients needs. If rates were not regulated by law, the industry would be in the same situation as buying a used car. At that point the consumer would never know if he or she is paying too much money. You can find more information on how life insurance rates are regulated by law by contacting your Department of Insurance listed on their government websites. There are many ways the agents can find the very best life insurance rates for their clients. It all revolves around putting in the effort to choose the most applicable company and the best health classification for their client.
Don’t hesitate to call us 7 days a week with any questions snd we will answer them over the phone.
Shopping for the best life insurance rates may seem confusing simply because you don’t due it every day. But, if you have an experienced independent agent helping you it’s a piece of cake. Your agent is you most important asset when applying for life insurance. Read our “about us” page to learn more about us and our business.