How to buy life insurance online
Purchasing life insurance is a smart way to provide for your loved ones once you pass on. In some cases, it can even serve as a financial safety net while you're alive too.
It's not difficult to purchase either. In fact, many insurers allow you to purchase a life insurance policy fully online.
If you're in the market for life insurance you can easily get started online right now.
Are you interested in getting a life insurance policy or increasing the life insurance coverage you already have? Here's how to buy life insurance online.
1. Determine how much coverage is needed
The first step is to determine what type of policy you need and, most importantly, how much coverage to get. If you want lifetime coverage, a whole life insurance policy is best. If you just want coverage until a certain point in life, term life insurance may suffice. There are also policies (like variable life insurance and universal life insurance) that allow you to withdraw cash or borrow against your policy's cash value.
To calculate how much coverage you need, you'll want to take into account your age, income, debts and household expenses. What expenses would your loved ones be left with should you pass away? You may also want to purchase enough coverage for funeral and burial expenses, too.
2. Comparison shop
Not all life insurance companies are created equal, so be sure to consider at least a few options. To start, get quotes from any insurers you have existing policies with — like car or homeowner's insurance, for example. They may offer a bundling discount for having multiple policies with them.
You can request quotes from a few others, too, but make sure to research customer reviews first. You may be stuck with the company for many decades to come, so choosing a provider who's well-known for quality customer care is important.
Speak to a life insurance expert now or use the table below to start comparing providers.
3. Complete the application
Once you choose which insurance provider you'd like to go with, you'll need to fill out their full application. For this, you'll need to provide some basic personal details and, typically, complete a medical questionnaire. Depending on your policy and insurer, you may also need to have a quick phone interview or submit an Attending Physician Statement.
4. Take/decline the medical exam
A lot of life insurance policies will require a medical exam. This helps the insurer assess your risk factors and set your premiums. If you're healthy, the exam could make life insurance coverage more affordable. If you're not, on the other hand, it may mean higher costs.
If you don't want to have a medical exam performed, there are specific types of policies you might consider. These include guaranteed life insurance and group life insurance — like those offered through employers. Also, consider no-exam life insurance.
5. Finalize your policy
Once you receive your approval, you'll sign your policy documents and designate your beneficiaries — the loved ones you want to receive your policy's payout when you pass away. You will also pay your premium — either the first monthly payment or your annual premium in full.
If you're not comfortable buying your life insurance policy fully online, you can work directly with an independent insurance agent or broker instead. They can help you shop for insurers and policies and ensure you get the best one for your needs.
