Eight Ways to Reduce Life Insurance Premiums
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Stacy Johnson of money.msn.com/ recently wrote a good article listing eight tips you might consider to cut what you pay for life insurance.
lifeinsurancenebraska.com may not agree completely with Ms. Johnson’s ideas. You can decide if the advice fits your situation.
Her suggestions include avoiding no exam life insurance if you are healthy. Insurance companies use health information gathered from insurance physicals to give credits to healthy applicants. So if you are healthy, no exam life insurance will probably be more expensive.
Avoid guaranteed issue (if you can).
Ever see a TV commercial, usually directed at older folks, offering insurance with no medical exam and insisting “you can’t be turned down”? That’s guaranteed-issue life insurance. It doesn’t take a rocket scientist to figure the angle: The death benefit is so low, the first few years of premiums may add up to more than your beneficiaries will receive.
Avoiding a physical sounds convenient, but you’ll probably get a better deal by submitting to one, even if you’re not in the best of health. If you know for a fact that you’re otherwise uninsurable, you may not have a choice. But if you have alternatives, explore them first.
You can pay life insurance premiums in several modes from annual to monthly bank draft. You may think the annual rate is just 12 times the monthly rate – but not so.
As with most kinds of insurance, companies often charge a little more if you pay premiums monthly rather than annually. You should also ask about discounts for allowing the company to tap your bank account and collect the premium automatically.
Additional advice ranges from the correct type of insurance to buy to the obvious don’t buy more than you need.
You can find the entire story at http://money.msn.com/saving-money-tips/post.aspx?post=5d5c144e-50e1-4e78-be32-cbfe2ca847b9.