Purchasing Life Insurance
When should I buy my life insurance?
The best time to purchase life insurance is right now before you get any older than you already are. The sooner you purchase your life insurance the lower the rates will be. Life insurance companies will use either your actual age or your insurance age which is your age closest to your next birthday. Once you make the purchase, you will have a locked in rate guarantee for the life of the policy.
The lower your age the lower the premium will be. The longer you wait the more you will pay for the same policy. Procrastinating will always cost you a higher premium. The is due to the simple fact that quoting rates go up as you are procrastinating away sitting back and getting older and taking a chance on your health changing for the worst.
If I decide to go with a Term Life insurance, how long of a term period should I choose?
If you are planning on purchasing a Term Life plan, it is wise to go with the longest term period that the carrier will allow you. You simply don’t know what the future holds in store for you and you do not want to take a chance on cutting yourself short and running out of insurance.
You can always cancel the policy if you find you do not require it any longer. If you end up buying too short of a term period you would have to totally re-apply at your current age and health history which would again cost you a higher expense. Keep in mind that if your health history takes a turn for the worst you could find yourself uninsurable. Feel free to use our modern and secure quote engine to review the best Term life insurance quotes & comparisons.
Should I buy Term or Permanent life insurance?
In many cases it is a good idea to have a combination of Term & Universal life insurance. The term insurance is the least expensive and can be purchased in larger face amounts to cover you during the most financially volatile times in your life and the Universal life which is permanent insurance will cover you for the rest of your life which will normally be long after your Term product drops off.
This is a very important subject due to the fact that many people buy term policies at a young age especially with a short term period like 5,10 or 15 years and find themselves without insurance after they outlive the policy. This is very profitable for the insurance companies because they do not have to payout a death claim in a situation like this. When you purchase life insurance you must consider the long range possibilities down the road to play it safe.
This is all about purchasing life insurance like a smart consumer. Always remember the golden rule of thumb, Universal Life is permanent and will last you the rest of your life and Term life insurance is a temporary product that terminates on the anniversary of the last year of the term period.