Getting The Best Rates on Term Life Insurance

By bioorg on March 4, 2013

Term life insurance is great for people who want to protect their family. With a term life insurance policy, the insured can get a terrific deal when compared to other life insurance policies. A lot of people forgo life insurance as they feel it is too expensive. In reality, it is easy to find an affordable policy.

When beginning the search for a policy, one must know what factors affect rates. The two biggest factors are age and gender, seeing as these factors cannot be changed, one must dig further. Current health status is another key factor when determining the rates. A smart consumer should kick any unhealthy habits such as smoking. One must remember, when applying for insurance, a non-smoker will get more favorable rates than a smoker.

When looking for a policy, one must know how much coverage they require. Obviously, the higher the coverage needed the more money the insured will need to spend. Most people try to save money by obtaining a smaller policy this is often a mistake. A consumer must remember, in the event of their untimely death, their family may need to rely on the life insurance funds for years to come.

Once a shopper knows what affects rates and what they need from a policy, they are ready to begin searching for a policy. Ideally, a consumer would use the Internet in their search for a good deal on a policy. There are plenty of comparison websites that allow the consumer to get quotes from multiple companies at one time. For example, a site like www.termlife360.com allows users to quickly get a quote from some of the best life insurance companies.

With a comparison website, a consumer would put their information in and then receive quotes from multiple companies. From here, one can compile a list of the best companies. Remember, price should not be the only factor; it is crucial to use a solid life insurance company.

Next, a consumer needs to sit down with an agent and get a quote. Sometimes agents will have the ability to get a good deal for their customers. If the agent offers a poor deal, the customer should show the agent some quotes he or she reviewed on the Internet. Oftentimes, an agent can attempt to meet or beat a quote from the Internet.

When a customer has a few quotes, he or she should research the insurance companies. One can research by checking out reviews online and by searching on the BBB website. With insurance, it is crucial to choose a solid company with a great history.

With a little research on the Internet and in person, one can find a superb deal on a term life insurance policy. One must remember; it is okay to pay more money for a policy; a well-established company may be worth the extra cost.

Posted in | Leave a response

Should I Sign Up For Medigap Insurance?

By bioorg on February 2, 2013

In order to understand Medigap insurance, it’s important to understand what Medicare is. Medicare is a federal health insurance policy that focuses primarily on senior citizens. There are different options to choose from with Medicare and depending on what you qualify for, as well as what you can afford on your own, you may get coverage for things such as home care or hospice coverage. There are many things that Medicare does not cover so many people turn to a supplemental plan like Medigap. There are different options to choose from here as well.Medigap is considered a “supplemental” insurance because it works with your Medicare insurance. Many find that Medicare covers what they need, but that is not the case for everyone. Some people need further coverage to help with health expenses and Medigap can provide this coverage. Services included with Medigap insurance are an additional year of hospital services, the first three pints of blood needed every year are covered, and there is also coverage of the hospital coinsurance. All Medigap plans also cover the 5 percent coinsurance for prescription drugs during a hospice stay.

In total, there are 10 different Medigap plans to choose from and they are labeled Medigap plan A through Medigap plan L. Some of these plans may have a lower premium with higher out-of-pocket costs come time to receive medical services, or vice versa. If you need help deciding which plan may work best for you, you should contact your state’s insurance department for more details. Regardless of which plan you choose, it can be beneficial to have these insurance gaps covered with Medigap to ensure that if something were to happen to you, you will be covered.

In order to enroll for Medigap Insurance, you need to make sure that you are enrolled in both Medicare A, which covers hospitalization, and Medicare B, which covers doctor’s visits. You cannot have any other type of insurance from an employer or retirement plan. You also need to decide exactly how much you are willing to, or can afford to, spend on your monthly premium. You also still have to pay your Medicare premium as well.

Unlike other forms of health insurance where you may find widely different plans from market to market, because Medicare supplemental insurance is government regulated, the coverage options are identical in almost every state. Wisconsin, Minnesota, and Massachusetts have elected to create their own programs which differ slightly from the standardized programs adopted across the other 47 states. What that means for you is if you are examining Florida medicare supplement quotes and comparing them to quotes on the same Medigap plan in Iowa, the coverage is identical. The only thing that may be different is the price offered by different carriers.The best time to enroll in Medigap coverage is right when you turn 65 years old. This is called your “open enrollment” period and you cannot be turned down or charged more for any past health problems, assuming you have Medicare coverage already. If you do not enroll during this particular time frame then you could be denied or your premiums could be higher.

Posted in | Leave a response

Term Life Insurance is Enough: Avoiding the Whole Life Trap

By bioorg on January 24, 2013

its-a-trap“You have to be prepared, you never know what is going to happen. If you died a month from now, how would your son be taken care of?” the insurance agent asked me over the phone. I had called to get a quote on a term life insurance policy, but the agent obviously wasn’t interested in selling a policy that would bring in about five bucks a month in premiums.

“I just need term,” I responded, “Once my kids are grown they can fend for themselves.”

The agent snorted as if I was the worst parent in the world. But I still believe now, as I did then, that whole life insurance is a bad deal all around (even for those who want to leave something behind for their children.)

This story may sound familiar. It is a scenario that plays out far too often in the insurance world, but with a different result. It far too often ends with the customer being bullied into signing a whole life insurance policy instead of standing their ground like the character in this story.

When approaching the question of life insurance, it’s important to go into it knowing what your goals are. For most people life insurance is truly only a necessity during the years of their lives when they have others (who are incapable of working) dependent upon them financially.

This is where term life insurance comes into play. Term life insurance covers a person for a set span of years, generally in ten year increments. Additionally,term life insurance is a great deal cheaper than whole life insurance and offers larger amounts of coverage in comparison to premiums paid than whole life.

How much cheaper is term life versus whole life? For an average male, age 30 premiums for a $500,000 twenty year term life plan can run upwards of thirty-five dollars a month. Whole life plans can run closer to $250 dollars a month. That two hundred plus dollar difference could be put to better use in any number of ways over the course of your lifetime, especially if you’re hoping to leave something behind.

Term life does have its draw backs. Unlike whole life, which pays your survivors upon your death, term life pays nothing out if you live to the end of the term. It simply expires. So yes, if you live (and here’s to hoping you do) to see the end of your twenty or thirty year term, then you are indeed left with nothing.

In reality, the actual need for whole life insurance in an estate plan is rare. Do your research and review your goals for the future thoroughly before committing to any insurance plan.

Posted in | Leave a response