Getting life insurance is unlike shopping for most items. In a sense, it's something that might not be enjoyable. Many people either put off or sign up for a life insurance policy without caring much about the details, which can lead to the following common mistakes.
A recent LIMBRA-Life Happens study on millennials found that nearly half thought the cost of a term life plan (for 20 years) was over $1,000 per year. According to LIMBRA, the typical cost of such a policy is about $165 per year.
Another mistake commonly made by people who try to rush through setting up life insurance without considering important issues is they often choose the first insurance company they find online. It's a good idea to check out various websites and take down notes on insurance quotes and whether the companies serve your needs. If you don't have time to evaluate different insurers, you should select an insurance agent who does the work for you.
Hiding or obscuring important facts about your lifestyle can lead to your application being denied. You may be asked to take a medical exam. The insurance company will also check with DMV to verify your driving history.
The information you'll likely be asked to provide for a medical exam includes your height, weight, and blood pressure. You may be asked to provide a urine sample as well. It's a good idea to improve your health prior to taking this exam because the more health problems you exhibit in the exam, the greater risks for the insurer.
Just because you have a health issue doesn't mean you can't get an affordable life insurance plan. Each insurer sets its own policies and underwriting guidelines that reflect specific health conditions. Working with an independent insurance agent gives you the best chance of finding the best rate from a narrowed list.
The size of your family will be a big factor in determining the type of life insurance policy you buy. Here are other important questions to answer:
The thought of what happens after you die is a difficult topic to finally focus on after years of enjoying life with family and friends. But it's important for all families to plan ahead to pave a clear path for their loved ones. Contact us today at Udell Family Insurance for more information on getting the right life insurance coverage for your family.