Get Life Insurance Quotes Before Buying

by Allia Vidmer on February 19, 2010

The soft economy has created some opportunities for the well informed consumer. Insurance is no exception to competition, that is why it is very important to obtain life insurance quotes before settling on a policy. Because insurance is a recurring expense you need to be even more vigilant. If it was a onetime buy you would do some upfront research and know that you are getting the best price for whatever you might be purchasing. A good example would be a television set. You make your list of features you want, do your homework, and decide on a particular model. With insurance you would be wise to follow similar steps. Find a policy that covers your needs. Determine how much coverage you want and settle on a company and an agent. The similarities, however, end there.

Insurance companies use various criteria in determining the premium for your particular policy. In order to do this they employ actuarial scientists to calculate a return on the investment. Some of the determining factors are pre-existing conditions. Your health history statistically factors in to your longevity. Your life style is another factor which will determine what level of premium you will pay. One factor that every insurance company takes into account is whether you are a smoker or non-smoker. It has been determined that smoking can cause cancer and emphysema, and a slew of other life shortening health problems. Again, this is determined by the actuarial who calculates the difference in lifespans between a smoker and non-smoker. The insurance industry relies heavily on statistical analysis in determining premiums. There are exceptions to every rule, but those exceptions will not persuade the overwhelming facts to the contrary.

There is no ideal recommended number of companies that you should check into, but four to five should be sufficient. You would be wise to use an agent that comes with a high recommendation and has been in the business for a while. A good agent will take the time to explain the different kinds of policies and give you some good life insurance quotes. If they are unwilling to do so, you may wish to consider going somewhere else. Companies usually give you discount options if you have more than one policy with a particular insurer. You will definitely want to check this out before proceeding on your search. You may want to also find out what a package of policies would cost if you decide to get quotes elsewhere. Their discounts may be even greater than those being offered by your current carrier.

Once you have decided on an agent and company you will then have to decide the amount of coverage that you want and need. This is best determined by how much your surviving family would require to maintain the lifestyle that they currently have should something happen to you. You will also want to consider who will be the beneficiary. In most states the primary beneficiary is your spouse. Children should also be listed as secondary beneficiaries in the unfortunate event of losing both parents. These are hard decisions to confront but you really do owe it to your family to have some sort of safety net in place in case of your untimely demise.

In general, the best time to get life insurance is when you are young and healthy. This will allow you to have smaller premiums over a longer period of time. Whatever you decide there will be life insurance quotes that are just right for your individual needs.

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