Useful advice on life insurance policies

Posted on:
July 27, 2012

Getting a life insurance doesn’t have to be an unpleasant task if you know which questions to ask and which things to take into account when choosing the right policy for you. You don’t have to be an expert or know any legal terms, but by following the advice we got from the people who are in the business for years you can save yourself a lot of time and money. Here’s some of the experts’ tips on choosing the best life insurance…

Don’t be afraid to ask

You have the right to know all about the policies to be able to understand them better and pick the one that meets your needs best. Ask the advisor the things about policy exclusions, the duration of premiums guarantee, whether the policy is renewable or not and everything else you are not sure about. By asking all these questions you’ll appear like the person who knows what they want, and will save yourself some time not hearing the usual talk made to convince you into going for whole life insurance.

Never go for the first thing you run into

No matter how affordable a policy plan might sound, be sure to check out other companies and compare similar policies. Shopping around is a smart thing whether you’re buying food, clothes or car insurance. Make your pick just after you’ve made sure you’re getting the best deal possible. It might take a little bit more time, but the money you can save is definitely worth the trouble.

Don’t replace old whole life insurance policies

This is one of the worst moves you could possibly make. If you still have a whole life policy, by replacing it with a new one you’re risking losing all premiums, plus there could be unexpected fees and other unpredicted costs. In case your life situation has changed and you need to improve your insurance, just buy more instead of replacing the policy completely.

Stay clear of the pricey riders

Most advisors will try to sell you one of the expensive riders as that’s one of the first things they are taught in training, and one of the last things you actually need. Unless you’re 100% sure you fully understand and need a certain rider, don’t get it because chances are you won’t get any benefits from it.

Use the free 30 day look

During the first 30 days, you are entitled to look at the life insurance policy and learn all about it. If you change your mind during the 30 day trial, you can return and cancel the policy and you won’t lose any premiums. It’s all about your satisfaction and there is nothing wrong with returning it if you change your mind.

Be wary of know-it-all agents

If the advisor appears to know the answer to all your questions straight away, they might be faking it. There are too many complicated policies and no matter how experienced the agents are, it’s hardly likely they could know all the details without having to look things up.

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