Life insurance is something that everybody with children or dependents should obtain, even if it is not required by law like other types of insurance. Some folks want it, but are afraid it will be too pricey. Here are seven suggestions to help you save money on your insurance policy:
1. Examine Your Insurance Coverage Amounts
Having an insurance policy that pays out eight to ten times your annual salary is a good option. Inquire about price differences if you’re seeking a policy worth between $500,000 and $1 million. For a nominal fee, you might be able to acquire double the coverage. If you’re single and don’t have any children, a life insurance policy that’s only five times your annual salary may be a better fit for your budget and circumstances.
2. Term life insurance is affordable.
Because term life insurance is only valid for the duration of the term, it is less expensive than whole life insurance. Term life insurane policies are products that only last for a certain amount of time with a specific amount of life insurance. Term lengths are usually 10, 15, or 20 years. This may be a good fit for many in that the main concept is that if you’re 30 today, your children will be grown in 20 years, and your partner will have less need for additional funds in the event of your death.
3. How Long Do you Need the policy?
A ten-year policy may be enough for a 40-year-old with college-aged children depending on personal needs, but it depends on your specific circumstance. The money you save by deferring payment for another ten or fifteen years will add up. If you’re in your twenties and want to start a family soon, a 20- or 30-year insurance is a better option.
4. Get Yourself in Shape
A fit person can obtain more coverage for less money than an overweight counterpart. Begin by setting a target of reducing 10% of your body weight, then contact your insurance carrier to see if you can receive a lower cost once you’ve lost the weight. Eating correctly can also help you maintain a healthy blood pressure and blood sugar level, lowering your risk of sickness.
5. Get Rid of Bad Habits
Because of the numerous health problems that smoking causes, regular smokers have some of the highest premiums. To qualify for preferred rates, quit smoking and limit your alcohol use.
6. Avoid Riders Who Aren’t Necessary
There may be add-ons (or “riders”) to your insurance that provide additional coverage for a cost. Examine them and evaluate whether they are useful to you. If not, let them go.
7. Make a yearly payment
Insurance companies often give you a slight discount if you pay for your policy in full each year rather than on a monthly or quarterly basis. This lowers their costs, allowing them to pass some savings on to you.
Always remember to browse around and compare prices. To discover more about how we may assist you, call or text us at (405) 373-2977.
