Life insurance dos and don'ts all adults should know
Investing in life insurance can be a wise move, particularly if you have dependents. These policies can provide much-needed money to your loved ones when you pass, helping to cover funeral expenses, medical bills or even debts you leave behind.
But not all life insurance policies are created equal — not in cost or in coverage.
That's why it's smart to speak with a life insurance expert who can help you find a plan that works for you and your family. You can get a free quote right now.
Are you considering buying life insurance or adjusting the coverage you already have? Keep these dos and don'ts in mind as you start the process.
Life insurance dos
Do start early
Life insurance premiums get more expensive as you age, so it's best to invest in coverage early. Additionally, you can't always predict when you or your spouse will pass on. If an unexpected death were to occur, you'd want coverage in place to help with funeral costs, lost income and other expenses your beneficiaries would face in the weeks and months following.
Do shop and compare providers
Coverage options and premiums can vary quite a bit from one insurance company to the next, so it's important to consider at least a few insurers when buying your policy. You can get quotes from several insurance companies, or there are online rate marketplaces that allow you to compare several options at once. You can also enlist an independent insurance agent to shop around on your behalf.
Speak with an insurance professional now or use the table below to compare providers, rates and options.
Do get enough coverage
Take the time to calculate how much your loved ones will need in your absence. Make sure to include things like funeral and burial costs, any outstanding debts you have and the annual income that will be lost when you pass on. You may also want to add a buffer in there, too, in case you need expensive medical care or have other bills that must be settled at the end of your life.
Life insurance don'ts
Don't wait to buy it later in life
Waiting too long can have serious drawbacks. For one, it can leave your loved ones without financial support should you pass unexpectedly. On top of this, you'll also pay more for your coverage. Life insurance premiums increase with age, so buying a long-term policy early is key to getting one affordably.
Don't skip the medical exam
There are life insurance policies that don't require an exam, but they typically cost more and provide less coverage. If you want the maximum coverage and are generally healthy, getting a policy with an exam requirement is typically the best and most affordable option.
Don't pick the wrong insurance type
There are many types of life insurance policies, so make sure you understand your needs before shopping for coverage. How long do you want it for? What's your monthly or annual budget for premiums? Do you want to be able to withdraw cash from your policy or adjust your premiums or death benefit later on in life? Knowing these details can help you choose the right type of coverage for your household.
Act before it's too late
If you're considering buying life insurance, don't put it off — especially if you have loved ones who'd need financial support in your absence. Start comparing insurers and policies and purchase your coverage as soon as possible. If you need help with the process, enlist an insurance agent in your area.
A life insurance expert can also answer any questions you may have and help you build a policy that works best for your and your family.
