The life insurance business is a twisting road of loopholes and exclusions. While buying insurance can be beneficial, make sure that you know the details of your policy. Ask your agent these questions on life insurance before it’s too late.
Will I have to complete a medical exam to be eligible?
Many companies require that applicants undergo a medical exam to determine their rates and coverage needed. For those with poor health records, this may be an insurance nightmare that will leave you with an empty wallet. Find out what the insurance company requires before you commit to the policy.
What’s the deal with coverage, and how much do I actually need?
No two insurance companies are the same. What may be covered under one company’s policy may be extremely different than another company. Make sure that you understand what is covered under your current policy, and get your agent’s advice to determine how much coverage you actually need.
What can be added to my policy to increase coverage?
If you feel that your current policy is lacking the full protection that you would like, there are ways that you can expand your coverage. Check with your agent to see what can be done to ensure that you get the right policy for all your insurance needs.
Term or whole life insurance, which is best for me?
Depending on your age and health, your insurance needs may vary. While permanent health insurance can be more beneficial in the long run, short term health insurance can be more cost effective depending on your needs. Make sure to have your agent explain all of the options so you can figure out what is the best choice for your insurance.
How long will my current policy last?
If you choose to purchase term life insurance, you must find out exactly when your policy ends. By being aware of this date, you can make future arrangements for life insurance after your current policy expires in order to stay covered. By being proactive and making arrangements in advance, you will not be at risk of going without life insurance
What are living benefits, and are those included in my policy?
Life insurance certainly helps financially after the death of a family member, but what if you need the insurance money while the ill person is still alive? This is when living benefits come in handy. They can help support the policy holder when a serious illness is costing the family a fortune. However, there are some loopholes with these types of policies and some policies do even provide living benefits. Get the facts before you purchase your while term life insurance.
Will my premiums increase over time?
As we get older, our health tends to fall through more often. As a result, our insurance premiums tend to soar as we age. If this is frightening to you, ask your agents about your premiums to see if they will be locked in. Also, ask how inflation may affect the premium to see if that is another factor you should account for.
What happens if I cannot pay my premium?
During tough financial times, life insurance may be too costly to pay on your own. Even if you do not predict this happening to you, prepare for this situation just in case. Ask your agent how you can continue to get coverage and see what loans can be taken out under these circumstances.
What happens if I become disabled or critically ill?
As we all know, life can be pretty unpredictable at times. Be prepared for the worst case scenario by making sure that you will have coverage when you most need it. Life insurance is here to financially support you when you cannot support yourself. Don’t test your luck; ensure that you will have coverage or find a better policy.
How can I save money without cutting corners?
When money is tight and their health is up to par, people will do anything to try to cut down their insurance costs. This may seem like an easy answer to save money, but can increase your risk of liability. Ask your agent what you can do to lower your premium costs, without actually skimping on your insurance.