How to Find the Cost Of Term Life Insurance from Your Home That Fits Your Needs
Do you want to protect your family’s finances in case something happens to you?
If you’re on a budget the cost of terms insurance is important to you.
It is good to know that you can locate low cost life insurance when you search for a term life insurance policy.
Term life insurance policy premiums are much cheaper than universal and whole life insurance policies, especially if you are young and in good health. A low cost term life insurance policy will do exactly what you need it to do: financially taking care of your beneficiaries if you die.
The Core Elements of Buying Term Life Insurance
You buy a low cost term life insurance policy with a specified time period, or term. This term is usually one, five, or ten years. During that time, you pay a fixed amount of money, called the premium. You may pay a premium every one, 3, 6 or 12 months, depending on what you want to do. If you die during the term of the policy, the people you specify – your beneficiaries – will receive a lump sum of cash, called a death benefit.
When you examine a term life insurance policy, you want to know what you are getting. Here are some things to look for:
Is the death benefit the same amount of money during the entire term of the policy?
When is the term over?
What happens after the term is over – can you still get coverage?
Can you renew your policy without taking another medical exam?
Is Term Life Insurance for You?
The plus side of term life insurance is that it costs less than a universal life policy. The minus side is that term life does not build cash-value or have the tax benefits like universal or whole life. If you are on a budget, in good health, relatively young, recently married, or have young children, a term life insurance policy may be your best choice.
Ask an Agent About Term Life Options
When you are looking at doing your research on term life insurance, you will be talking to an insurance agent. Make sure to ask many questions to understand what you are buying. Insurance agents do not get paid high commissions for term life insurance – you may have to probe deeper to get the answers you are looking for.
Here are 5 things to look for.
1. Find a term life insurance policy that has a guaranteed renewal. This means that after a term of 15 years, for example, is over, you can renew your policy for as long as you want.
2. Check that your term life insurance policy will have a fixed payment schedule with a non-changing premium for as long as you own the policy. There are many good life insurance policies with fixed premiums. However. There are some policies where the cost goes up after the first few years. Avoid those. Keep your eyes open if the initial premium is well below the cost of other policies. If so, ask if the payments are fixed for the entire term of the policy.
3. Shop around before you choose a term insurance company. You can find many companies that offer term life insurance. Getting a term life insurance quote online is a quick and easy way to compare term life insurance company prices in the privacy of your home. You can compare many different companies you will be able to choose the term insurance rate that best suits your budget.
4. Don’t get a term insurance policy that offers more insurance if you become deceased in a certain manner. Your survivors need the same amount of financial support regardless of how you die, and policies such as these may have an added cost to them.
Investigate the strength of your term life insurance company. Do your due diligence. Not all insurance companies pay their bills. Check out their rating at A.M. Best and select a AAA company rating. If you are paying your premium, you want to know that they are going go pay your claim!
The cost of term life insurance is easier to determine when you do your research on-line. Make sure to visit review websites and insurance companies on the Internet to get the facts before you buy.