|
by
Chris Johns
If
you have a family or other dependents who rely on you for financial
support, a simple life insurance policy can provide real peace of mind
and a financial safety net for those left behind should you die within
the policy term.
Many
people assume that life insurance is just too expensive to bother with.
In fact, when you know what cover you need and how to compare the
market, it's not that difficult to find affordable life cover.
Apply
just some of the tips below and you could cut your premiums by up to
40%.
Decide what you need before you shop
Shopping
around is crucial to getting a good deal but when you know what you
want it's easier to find. The same applies to shopping for life
insurance. With so many insurers and policy options, the only way to
make sense of it all is to do your home work or take advice from an
insurance expert. Whichever route you take, once you're certain you can
filter out much of the market and compare like with like to reveal the
best deals.
Consider term insurance
Term
Life Insurance is much cheaper than other types of cover such as Whole
Life Insurance, simply because the policy doesn't last as long. In some
situations it can be more appropriate to save the money and get term
insurance anyway. This is particularly true if you're recently married
or plan to start a family. This is often is a time when it's difficult
to afford life insurance, but you can get all the protection of whole
life insurance at a much reduced rate, simply by choosing a fixed term
that coincides with a period of risk. For example, buying a policy for
family protection that lasts until your children are eighteen or twenty
one.
Use a discount broker
If
you know what cover you need, using a discount life insurance broker
can save you time and money. Discount brokers can compare multiple big
name insurers and provide policies below their standard premium rates
by sacrificing some or all of their commissions. There's no real
disadvantage to using a broker, however you may have to do some extra
research, as they won't generally provide you with any advice.
Get it while you're young
Life
insurance is cheaper when you're young, because your risk of dying is
lower, and therefore the risk of insuring you is also lower. Save some
money in the long run by buying a policy in your twenties or thirties
rather than waiting till your forties or fifties.
Stay healthy
Applying
for life insurance usually means declaring your health history and
lifestyle which may result in a medical examination. The results of
that examination will play a big role in determining how much your
insurance costs. Cut your premiums by staying fit and healthy, and
quitting if you're a smoker. On average a smoker pays twice as much for
life insurance as a non-smoker does, making a huge difference in the
amount you pay over the term of a policy.
Pay premiums annually
You can save around 15% on your life
insurance premiums simply by paying annually instead of monthly.
Remember to review
Once
you buy life insurance, don't assume that the policy you get in your
twenties will still meet your needs by the time you're in your forties.
Your insurance needs change when you get married or start a family,
when you pay off your mortgage, when your children become financially
independent--and yet again when you retire. Reviewing your policy every
three years or so will ensure that it continues to meet your needs and
provide value for money.
About
the Author
Life
Saver is a life cover broker providing discount life
insurance quotes from leading insurers at up to 40% less than
standard premium rates. Permission is given to publish this article
provided that this statement and all links stay live.
For more information
about insurance visit: AllQuoteInfo.com
|
