These days you can buy almost anything online: running shoes, groceries, and a ton of other stuff. Buying life insurance online is no exception.
How does one go about buying life insurance online? When should you get life insurance?
Hopefully, this brief overview will give you some guidance in this area.
How Much do you Need to Buy?
First, you must determine how much life insurance you will need. If you are under 40 years old, then multiply your gross income by 6, 7 or 8. If you are over 40, then multiply your gross income by 4, 5 or 6. If you have a mortgage, make sure to add that to your amount. This should give you an estimate of the amount of life insurance you will need. If you’re still not sure, be sure to use our term life needs calculator.
When you’re begging to search for life insurance you have to realize that some important factors will affect the outcome of your policy. We gave you a quick roundup above, but we are going to give you a more detailed explanation to ensure that you’re getting enough life insurance coverage for your loved ones.
Some of the most important numbers to crunch are how much debt and unpaid bills that will mount up after you pass away. As we mentioned, your mortgage is a large debt, but that’s not the only number that you’ll need to account for. Make sure that you add up everything from mortgage payments to student loans. Also, don’t forget to add in any of the expenses that your family will run into in the future, like your funeral expenses and college tuition for your kids. If you were to pass away, would your family struggle to pay those bills in the future, try and anticipate as many of those expenses as possible.
The other factor that you need to look at is your annual income. The secondary goal of life insurance is to replace your salary if you were to pass away. As we mentioned earlier, you need to look at how many more years that you have until retirement, but you also need to look at how long your loved ones are going to benefit from your salary. if anything tragic happened to you which is why it’s vital that you have the insurance protection that they need.
Choosing the Right Company
In choosing a company from which to buy life insurance online, it is probably wise to select from companies with which you are familiar. This is also an opportunity to investigate companies whose advertisements have caught your attention. It is perfectly fine to apply to more than one insurance company at the same time, but takes a lot of time.
Some insurance websites (like ours!) will even compare their rates and those of a few others. This will save you a ton of time and headache. Many of these websites will have insurance calculators on them to help you determine your policy amount.
There are thousands of different insurance companies on the market, which means that you could spend hours talking on the phone to different companies, or you can work with one of our independent agents. And these agents have figured out that no carrier is the same. Each one have variations on how they calculate monthly premiums. That could translate into drastically different payments from two companies for exactly the same coverage. It’s easy to see why you should always receive several insurance quotes before you choose the one that fits your goals best.
We’ve got contracts with numerous life insurance companies and all of them are rated high. Let us bring you low monthly premium quotes. No calling. No hassle. Just the best rates for the perfect insurance coverage for you and your loved ones.
Fill out the questionnaires as honestly as you can. When answering the health questions some suggest leaning toward the pessimistic side. Just answer what you know, since you will have to supply recent doctor’s records. If you have to schedule a physical examination for your policy, it is often best to schedule it for the morning hours for better results.
If your exam has to be conducted by a doctor other than your own, then you can request that your results be sent to your physician. Other life insurance companies can share this same information, so there is no need to take separate physical exams for each potential insurer.
Better health records will result in a policy with lower rates and there are companies that cater to those who may need “impaired risk” or “sub-standard” life insurance policies.
What Type of Policy to Choose
When buying life insurance online, you may want to consider going with a term plan. Your premiums do not increase for a set period of time. If your term policy is for a period of 5, 10,15, 20 or 25 years, then your premiums will remain the same during that time frame. When the end of the term is near, you will have the opportunity to renew your policy or convert it to another type of life insurance policy. A low cost term life insurance is a type of protection policy. There are also investment life insurance policies. After all, of your online insurance shopping you will be able to find the best policy and company for your needs.
In just about every case, a term life plan is going to be the cheapest insurance policy that you can get, but there is another type of life insurance policy that you should consider before you make your decision. The other type of life insurance is whole life, which as you can guess by the name, is permanent coverage unlike term life.
These whole life policies are effective for as long as you continue to pay the monthly premiums on the insurance policy, which means you’ll never have to reapply for coverage in the future. For a lot of people, they like to have the security of never worrying about life insurance again. The major downside to these policies is that they are more expensive than their term insurance counterparts. You’ll have to weigh the advantages and disadvantages of each type to see which one fits your needs the best.
In most situations, a term life policy is the better option because you won’t need a life insurance policy for the rest of your life. With the term plans, you can purchase a policy that fits your needs without paying for additional coverage that you don’t need.
Getting Affordable Life Insurance
Life insurance can be expensive in certain situations, but we know some tricks and tips that should help getting a plan with the best rates. Getting healthy will always be our number one suggestion. Unless you pick a no exam policy, the company is going to require that you complete a medical exam before they accept you for coverage. If your results fall within certain parameters than you could get lower monthly premiums.
Starting a healthy diet and getting regular exercise helps get the best results from your medical exam. Both of those lifestyle changes will help you lose weight, lower your blood pressure, lower your cholesterol, and much more, all of which are going to mean lower monthly payments and more money in your pockets.
The next thing to do is stop using tobacco, like smoking cigarettes or using chewing tobacco. Smokers are going to pay twice as much or more for the same plan NT applicant would pay. Quitting cigarettes is the best thing you can do for your health and your bank account.
Review Your Policy After You Buy
Once you do successfully sign up for life insurance, carefully go over your policy and make sure there are no errors. You will sign and return the required documents that have been sent to you by the insurance company. You may want to send a check with your new policy unless you have decided to pay electronically. Your copy of the policy should be safely kept as you would any legal document.
Your beneficiary should also be informed of its whereabouts or be given a copy of your insurance policy for safekeeping. It is a solemn subject, it is often a wise investment, and you can buy life insurance online.
.Concerned your questions might go unanswered? Not with us! Our agents are standing by and excited for the opportunity to work with you. It is our hope that you find the most affordable coverage to fit your needs.