Life insurance provides essential protection if you have loved ones that are financially dependent upon you. Unfortunately, many people do not know how to buy life insurance, especially when it comes to securing the coverage they need.
If you are ready to buy your first life insurance policy, but do not know where to begin, relax! You are not alone. It can be a complicated process for first timers. Why? Because, unlike buying insurance for your car or your home, there are many different types of life insurance policies, each with potential pros and cons.
Additionally, there is a wide range of premiums.
If you want the best and most comprehensive coverage at an affordable price, you need to request quotes from many different insurers. Being able to make comparisons between insurers allows you to compare the costs with the coverage options to ensure you and your family are fully protected but, at the same time, not paying more for premiums.
In the market for life insurance? What do you need to know before purchasing a policy?
The following is a guide you may find helpful when it comes to purchasing, a policy that fits your particular needs.
The process
What are the first steps involved when buying your first life insurance policy? First, determine how much coverage is right for you. Generally speaking, you will want to purchase enough coverage to support your financial dependents for several years after you’ve died. This should be based on your current lifestyle and financial situation.
Next, pick the type of policy that suits your needs. There are two main types of life insurance: term and permanent. Before purchasing life insurance do your research to figure out which option is the best for you.
Once you have selected a few potential insurers, request and compare life insurance quotes. When you request a quote, the insurer will typically ask you to provide some personal information. All information collected will then be used to calculate your life insurance rate.
After choosing the insurer that you feel best fits your need, the next step is to fill out their application. Some applications can be filled out online but be prepared to have your medical information on hand, including your medical history.
Many insurers require applicants to get a physical exam before they can be approved for coverage. This is usually based on your age and whether you have any chronic or pre-existing conditions.
Now all you have to do is wait to be approved!
Did you rush into your first policy?
If you have already bought a life insurance policy, you may be having second thoughts. Perhaps it’s turned out to be more expensive than you initially thought it would be, or it doesn’t provide the options that you need.
Contact Stratus Financial Partners to schedule a life insurance policy review. Our Stratus Policy Assessment℠ eliminates the confusion and is easy to understand. We ensure that you and your family are protected.
