Archive for the ‘How to Buy Life Insurance’ Category.

What Should I Do If I Have Problems In Getting Life Insurance Coverage?

Of course, life insurance companies cannot issue policies to everyone just because they want it. Then you would have terminally ill people purchasing high amounts, not paying very much into the policy, they would die soon after and the insurance company would have to pay out the cash amount of the policy. Generally, the life [...]

What are My Life Insurance Requirements?

Your life insurance requirements are dependent on an overall analysis of your financial situation. A “needs analysis” will help you to determine what type and amount of coverage is most appropriate for your situation. Consult an advisor that will sit down with you and compare your financial assets (e.g. investment accounts, retirement assets, property holdings, [...]

How Can I Avoid Paying High Agent Commisions On My Life Insurance Policy?

Believe it or not, just because insurance agents receive a commission, it does not necessarily mean the policy is over-priced. There are a lot of companies that sell insurance directly by mail and over the Internet who never use agents at any point in time. Just because there is no one receiving a commission when [...]

How Can a Consumer Find the Best Coverage For The Lowest Premiums for Life Insurance?

When shopping for life insurance, it is wise to get quotes from as many different companies as possible before you purchase a policy. There are insurance agents that deal with multiple companies that can provide several quotes and policies from different companies. It is always a good idea to meet with several different agents before [...]

Is It Possible To Receive A Refund on My Life Insurance Policy?

There is a “free look” period in most states which allows life insurance policyholders to receive a refund on a newly purchased policy. The “free look” period was established to allow life insurance policyholders ample time to review policy details. Usually a refund is available within 10 days of receipt for a new policy and [...]

What is the “Cost Disclosure” of a Life Insurance Contract?

The Department of Insurance requires the insurance companies to provide a cost disclosure form with the life insurance contract. This is the form that outlines all of the costs and fees that the consumer will be paying for the policy. It is meant to give a standardized measure of the insurance coverage. Once the disclosure [...]

What’s the Difference Between “Projected” and “Guaranteed Rates”?

Life insurance is a sales job.  Projections mean nothing.  Guaranteed rates mean everything.  Remember, a projection is just that: a hoped for outcome, not a guaranteed payout to you. Your life insurance company is not necessarily obligated to pay exactly what they say they will on a projection. There are numerous things that can affect [...]

Will My Life Insurance Company Require a Medical Exam?

In general, it will be necessary to undergo a medical exam to obtain full life insurance coverage. In order to properly assess the risk that your policy represents to the company, some basic medical information will be required for actuarial purposes. The insurance company will set your premium rates based on the amount of risk [...]

When Applying for Life Insurance, Will I Need to Give Personal Information About My Health and Finances?

The answer is usually yes, you will have to give information regarding your medical state and finances. You might have to take medical tests. These are to help determine how much of a risk you will be to the company if they decide to insure you. They will most likely ask for some other information [...]

What Happens to the Medical Information I Disclose on My Life Insurance Application?

It is used only for underwriting insurance purposes. However, there is an organization known as the Medical Information Bureau (MIB), which is located in Boston. The purpose of this organization helps check the accuracy of some information that is asked for on applications, and because of this, certain excerpts from the application may be shared [...]