- Personal Finance
Life Insurance Coverage
There are several factors that influence the amount you pay for life insurance coverage, including age, health. If you smoke, if you have other health problems or if you like to do dangerous extreme sports, forget the low prices, because it will represent a greater risk to insurers.
Here are some tips to save on life insurance coverage:
If you have a life insurance benefits as part of a business, all right, but you shouldn´t have only this life insurance, because the jobs do not last forever. This means that you should add a supplementary insurance to cover what is not in the policies of your company.
Compare the conditions of the insurance you have in your job with the insurances you can buy separately and make the necessary adjustments to get as much coverage you can without being tied to one company.
Negotiate life insurance
As on any purchase you make, you must negotiate the price. If you have very good physical condition and minimal risk to the insurer, throw those assets to lower the amount payable. Not smoking can lower the monthly payments by 50% due to the risk it represents.
Find a medical specialist in case of problems
If you have some kind of health problem, but that is not serious when compared with most other patients with similar symptoms, you must go to a specialist and get a medical report indicating that there is no severe disease, if that´s the case.
For example, if you´re diabetic but you can show that the values are controlled with medication, you may prove that you´re not in the same level of diabetics who are at higher risk for a life insurance policy.
Keep yourself healthy
As mentioned above, only the act of no smoking may be enough to lower the insurance premium by 50%, but being in excellent physical condition could mean even lower premiums. So exercise yourself and lose weight to save money on life insurance.
Beware of the extras
The insurers and authorized agents will try to increase the monthly premium as they can get, because it´s part of their business. So, they will offer you several extra coverage for more than a small monthly amount. For example, death by accident is statistically unlikely, so it is no worth betting your money in the way how the accidents can happen. Make the necessary basic coverage and enjoy the money you save to invest and get rich.
Avoid hidden fees
There are many forms for insurers to charge more for your life insurance. One of the most common is the ability to pay the premium by doing monthly payments – This way you´ll pay more 10%. If you choose the annual payment, usually you get lower prices.
A life insurance coverage is very important and you should not risk living without it. However, as in all financial transactions, we can try to save money in this business.