Insurance Life Insurance

Really Save On Life Insurance Today

Life insurance is a necessity to provide for those you love but like everything else you buy, you can actually pay too much for it. There are several ways you can save money on a policy, though, without compromising the quality of coverage.

Change Your Lifestyle

The most obvious way to save on life insurance is to abandon any bad habits you have. Smoking, drinking and overeating are risky behaviors but they're red flags for insurers! They know that people who are overweight, drink regularly or smoke are risking their health and thus, their lives. Remember, the insurer is betting you won't use the policy and you are betting you will. The higher the possibility that they'll have to pay off, the higher your premium will be. So lose any excess weight and dump those bad habits. You'll save money on insurance as well as other places in your budget.

See if you can save money by paying your premium once per year. Many companies offer to put you on a monthly payment plan, supposedly for your convenience in planning your budget. But did you know that most insurers tack on a small convenience fee to those installment payments? You could be paying hidden fees without realizing it if you choose the monthly payment option.

Do the Calculations

Another way to save is to pay close attention to the charges you'll pay for each level of coverage. If you've estimated that you need $250,000 of coverage for $300 a year, look at the next highest amount. You could get more coverage for less money!

You can save on insurance, too, by accurately figuring out how much you need. Just picking a large figure is not a good way to estimate the coverage you need! First estimate how much you want spent on your burial. It's an unpleasant thought but it can be a huge expense that you'll want covered. There may also be unpaid medical bills, probate costs, legal representation for your loved ones, etc. Your survivors' living expenses, education costs and your mortgage must be taken into account, too. You might want to add an emergency fund to be put into a trust, too. When you add up all these figures you'll know how much life insurance you'll need. That way you won't be paying for too much coverage and you'll know that your family will be provided for.

Explore Your Options

You can also save by choosing term instead of whole life insurance. A whole life policy allows you to borrow against it but costs much more than term insurance. Term insurance is, as it implies, for a term of time you'll determine and can be much less expensive than whole life.

Finally, shop around! Get quotes from several different companies and compare their prices. It's easy to get online quotes and very convenient. You can examine them at your leisure without pressure from a salesman. Shopping around for the best price can save you a considerable amount of money!

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