Literally thousands of consumers look to the internet to shop for the best Term life insurance quotes to protect their families. The number one mission these folks all have is finding the lowest Term life insurance rates along with the very best life insurance company and plan design. There are many different carriers out there to choose from and they all underwrite their applications differently than one another.
Many people get overwhelmed when looking at all the different products and companies to choose from. This article is designed to help take the mystery out of purchasing low cost Term life insurance and point you in the right direction.
Contact an experienced independent life insurance broker to help guide you through the process. Don’t waste your valuable time!
Like they say, time is money and trying to research the best Term life insurance for your specific needs will be very time consuming. Without the experience and training of an insurance professional, you will find that researching the life insurance market solely on your own will quickly become a fiasco. There is no cost involved in working with a broker. Keep in mind that an independent insurance agent otherwise known as a broker will represent many different companies unlike a captive agent such as State Farm, Allstate or Country Companies just for example.
You will need a vast selection of companies to choose from in order the secure the lowest possible life insurance rates. Comparing Term life insurance quotes on a modern quoting system will only take a matter of minutes where it would have taken several hours years ago. We will cover this subject later on in this article.
Create a list of monthly expenses to determine what the life insurance will be used for.
Making a list of your month to month expenses will help you to determine how much your policy face amount (death benefit) should be. This is a very important category to consider when designing your life insurance plan. You don’t want to over insure yourself or under insure yourself.
Over insuring yourself will increase your cost of the life insurance and under insuring yourself will lead to your dependents not being able to pay the expenses after your demise which could cause a financial jeopardy that could last for many years to come which is the primary reason for life insurance in the first place. There are online face amount calculators to help you do this but the original way of calculating this on paper is just as good.
Give careful consideration as to what would be a comfortable premium for your new life insurance.
You never want to place yourself in a position where your insurance premiums are becoming a financial burden. Everyone has a budget and you must keep in mind that premiums will rolling in for many years to come depending on the type policy you purchase. I always recommend people to buy only what you can easily afford. A life insurance policy has no value if it is cancelled for non-payment of premium.
Keep in mind that if you ever have a financial problem with paying the premium, you can always contact the insurance company and reduce your face amount which will lower your premium vs. cancelling the policy. Having a lower face amount is better than having no life insurance at all. Purchasing a life insurance policy is no different than anything else when it comes to cost, simply purchase what you can afford.
Where do pre-existing health conditions come into the picture.
Health conditions such as Heart Disease, Cancer, COPD, Diabetes, Hypertension, High Cholesterol, Lupus, Crohn’s Disease, Bi-Polar Disorder, Anxiety, Hepatitis C, Barrett’s Esophagus, Breast Cancer, Open Heart Surgery, Multiple Sclerosis, Sleep Apnea, Stent Surgery History, Colon Cancer, Congestive Heart Failure, Strokes, Overweight/Obesity, Alcohol Abuse, Drug Abuse and many more diseases and conditions are handled on a case by case basis.
When any one of these conditions are on your health history the life insurance companies look at the severity of the condition and how the condition is being controlled. Naturally serious issues like heart disease and cancer are going to be considered more of a high-risk illness vs. being 20 pounds overweight or have a case of simple anxiety.
Term life insurance for people with health conditions is a matter of using the most applicable company.
A medical pre-screen is the first and foremost way to begin the quest for affordable life insurance rates for people with health conditions. We often run a pre-screen by submitting the applicant’s health conditions and medication use to multiple companies to see who will come back with the lowest premium. The identity of our client is never given to an insurance company, only the age and medical conditions.
Using the correct company for the conditions in question will make all the difference in the world. This is the most important way to land the best Term life insurance rates for people with health conditions. One such company is Prudential, there usually one of the very best life insurance companies for applicants that are not in good health. High risk life insurance is one of our specialties and from experience we usually know what company will make the best fit for our high-risk life insurance clients.
Affordable Term life insurance for people with hazardous occupations and sports.
Quite a few people have jobs, hobbies or sports that offer a hazardous environment. Here is a list of some of the occupations I am referring to:
- Commercial Fisherman
- Airplane and Helicopter Pilots
- Roofers, especially using hot tar
- Iron and Steel Workers
- Farmers and Ranchers
- Truck Divers, long and short haul
- Construction Workers including Loggers
- Electrical Power Line Repairmen
- Refuse and Garbage Collectors
Hazardous sports and hobbies also play a big part when searching for the lowest Term life insurance quotes.
Some of the sports would be scuba divers, hand gliding, cliff diving, motorcycle racers, drag racers, sky diving, cave diving, wreck diving, boat racing, stock car racing and a number of others. These types of occupations, sports and hobbies can be considered high risk with the life insurance companies which could promote them to add a “flat extra” fee onto the base rates of the policy. An example of this could be a $2.50 charge for each one thousand dollars of life insurance coverage. For example, if you had a $100,000 face amount policy and the premium was $750.00 per year, a $2.50 flat extra charge would be calculated as $2.50 X 100 which would equal $250.00 which would put the grand total to $1,000.00 per year.
Flat extra charges will vary depending on the risk of the applicant’s occupation, hobby or sport. Again, using the most applicable company for a high-risk life insurance application is critical. This is where the training and the experience of a life insurance professional comes into play to guide his client through any hurdles may come along the way of the quoting and application process.
Always compare the rates from multiple life insurance companies.
Let’s take a look at some sample rates by using a 30-year-old male with a $500,000 face amount for a 20-year term period with a rate class of Preferred Non-tobacco. We will compare the rates with 12 of the most competitive companies.
- John Hancock – $306.50
- Lincoln National – $310.00
- American General – $314.00
- Transamerica – $315.00
- Protective Life – $317.27
- Banner Life – $318.99
- SBLI – $319.00
- MetLife – $319.00
- AXA Equitable – $320.00
- Mutual of Omaha – $332.50
- North American – $335.00
- Principal National – $338.00
The final rates after the underwriting process will be based on:
- Health History
- Height & Weight
- Driving Record
- Para-Med Visit Information
- Medical Records
- Family History of Serious Illnesses
- Hazardous Job or Sports (if any)
A pre-screen of your medical history and other information can provide an accurate projection of what your final rates will be.
Most of the time if your rates change after the underwriting process has be completed, it will be from your health history and medications used. Medical conditions can increase your premiums so it is vital to run a quick 10-minute pre-screen to see what company will offer you the lowest rates. All the companies vary in their application underwriting process. Choosing the correct company can make a world of difference when searching for the lowest Term life insurance rates. Permanent life insurance such as Universal Life works the same way.
Non-Med life insurance also known as No Medical Exam life insurance is an option to consider.
Some people do not like medical exams unless it is from their own trusted Physician. If this is the case will you, looking at a company such as Lincoln National, John Hancock or Fidelity Life can be a good way to go. A Non-Med life insurance application can also take less time that the fully underwritten applications. The only drawback is the premiums can be higher in some cases.
We utilize over 40 life insurance companies to make sure we are covering all the bases and getting our applicants the lowest premium possible. Take a moment to read out blog post rating the top 12 life insurance companies in the US.
The best Term life insurance for smokers and tobacco chewers.
If you use cigarettes, cigars, pipes, chewing tobacco or snuff there has been a lot of changes in the industry to offer lower rates. Traditionally in the past all tobacco users were all lumped together in the same rate class. We now have new avenues to take for cigar, pipe and chewing tobacco users. Cigarette users are mainly going to fall into a traditional tobacco class but the users of the other tobacco products can be given special consideration and be given non-tobacco rate classes.
Transamerica is one of the best life insurance companies for tobacco users. They have special considerations for the various forms of tobacco use without being given a traditional tobacco rate classification. If you use tobacco, the choice of what company to use will be very important.
Read our blog post the cheapest Term life insurance rates for smokers. This article we wrote goes into detail and will tell you the whole story on how smokers and other form of tobacco users can save money on their Term life insurance rates.
Use a quoting engine to view Term life insurance with the lowest rates.
Complete the quoting form on the right to be able to compare Term life insurance quotes with the lowest rates in less than a minute. Using a consumer quote engine is a simple and quick process to get a good idea what your monthly or annual premium will be. Just take into consideration you will need an experience agent to determine what rate class you will be placed in. Not everyone can receive Preferred rates.
A fully underwritten application process can usually take on an average of 4-8 weeks on an average to complete.
If you Doctor’s office supplies your insurance company with your attending Physicians statement promptly, it could easily take less time. The life insurance companies request medical records from your Doctor and send them a check to pay them for their time to put an attending Physicians statement together. This will be one of the key sources of information the carrier will use to determine your rate class.
Working with an experienced independent agent will make purchasing life insurance a simple & easy process.
Comparing Term life insurance quotes online can be very simple with the help of an independent life insurance advisor. You are welcome to use our life insurance quote engine at any time. Feel free to call us toll free 7 days a week with any questions you may have with no obligation what so ever.
The list below are all the states we provide the lowest Term life insurance rates in our service area.
Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming, District of Columbia.