A life insurance offers financial cover and invaluable peace of mind for your entire family. The sum received on maturity can replace the lost income as you kick the bucket, unfortunately. It can help your family to meet their day-to-day expenses and mortgages. They also feel better for making other necessary arrangements when you are not there with them anymore.
Though, the peace of mind generally gets disturbed while comparing the premiums of various offered policies.
So, this article helps you compare the life insurance quotes fast, without affecting your work life and homely peace.
Look For The Type Of Insurance
There are two types of policies. One is a term policy where the years of policy period are fixed or pre-set. The other one is the whole life policy terms. The difference between the two about their premiums can be huge.
In a term policy, the premium you pay can be much lower. It works like any other general insurance where the period and coverage are fixed.
Whereas, in a whole life policy, there is something called cash value and growth rate. They make it more complicated and costlier; up to 5 times the premium of a term policy.
The insurance companies guarantee a minimum rate on which the cash value of your policy grows. But this growth is much lower as promised initially. The whole life insurance also has a maximum fee, paid by you on your policy.
You must look at these clauses carefully before buying a whole life policy. It can cause you to pay huge sums of money where your growth diminishes by annual expenses.
Factors Determining The Premiums
Do not get baffled by the various premiums you see online. The insurance company prices your premiums according to your risk profile. Major factors deciding the risk factor of your profile are as follows:
- Period of the policy
- Your age
- Your health records
- Your gender
- Your income
The premium may change 5%-20%, depending on the change in these factors.
Remember to not list any dangerous hobbies like skydiving in your policy. It can otherwise increase your premium rates unnecessarily. If you are a smoker and say in a higher age bracket of 40 to 50 years and above, the premium again soars.
Coverage Of Your Policy
Your policy coverage scope must extend to the areas of risk you feel you are vulnerable to. Say, if you are in debt for the next 25 years, the current coverage of your policy may not be enough.
This must be reviewed by you every year to incorporate a change in your policy’s sum assured. This will either instantly increase or decrease your annual premium.
Conclusion:
To compare different life insurance quotes, place the request for a quote at https://bedrockinsured.com/ today.
