You already know that a life insurance policy is a critical component in your plan to protect your family and your assets. That said, those premiums can be costly – and if you’re looking for term life insurance policies, you probably have more control over that premium amount than you think.
Three primary factors affect your life insurance premium, and unfortunately, two of those three are pretty tough to change. Your policy premium will take into consideration your age (which we all wish we could change!), your family history and your lifestyle. Your age is your age and history is history, but when it comes to lifestyle, that’s all up to you. In fact, there are several lifestyle – and policy selection –changes you can make now to save more on your life insurance policy right away.
If you’re still smoking, what gives? Today, the science and medical industry have offered countless reasons to nip the butts in the bud. Well, here’s one more: Your life insurance policy premium will likely increase if you report being a smoker. That’s because, in the insurer’s view, there are fewer years of life left with which to collect premiums. That should tell you something right there.
Lose Some Weight
If you’re like most of us, this has been on your “to-do” list for longer than you’d care to admit. But losing weight could actually pay off in the end. That’s because weight loss not only lowers your cholesterol and your blood pressure, which makes you healthier overall, but it also reduces your “riskiness” in the eyes of your life insurer. Get to a healthy weight and reap the benefits – and savings!
Be a Better Driver
Is your driving record terrible? If so, you could pay more than you’d like for life insurance. That’s because, like auto insurers, life insurers reward perceived riskiness (in this case a lot of moving violations) with higher premiums. Practice safe, slow driving and you could see better numbers on your next bill.
Unhappy with your premiums? The first step to saving some money on life insurance is comparing rates and policies! Depending on your needs, another insurer could be able to offer you a better price on a policy that works just as well for you and your family. Representing countless insurers, we can help you find the best – and most cost-effective – policy.
Reassess the Riders
Life insurance riders are “optional” policy provisions, which – you guessed it – require additional premiums. But if it’s been a while since you’ve looked at your policy, you could be paying for riders you don’t really need. Talk to your agent about which riders you can say “so long” too – and how much you’ll save by doing it.
Assess Your Medical Information Bureau File
Life insurance companies have smart ways of learning your medical history – even if you haven’t offered up the information yourself. But what happens when information in your Medical Information Bureau (MIB) file is inaccurate? You could be paying the price for incorrect data. You can request a free copy of your report from the MIB website – and we recommend that you do.
Switch to Term
It’s a fact of life (insurance): permanent insurance is much more expensive than term life insurance. Depending on your needs, it may be smart to switch from a whole life policy to a term life policy. If you’re not sure what you need, that’s okay. We’re here to help you get the best coverage at the best price. Talk to us today.
Got a life insurance question or need help saving on your current premium? We’re here to help. Give us a call or pop by to see us today!