There are many things you can do to bring down your rates by a huge margin. In this article, I'll share 6 simple but highly effective ways to pay a lot less...
1. Quit smoking if you want more affordable life insurance. Smokers are more likely to die young and are also more likely to suffer many harmful diseases.
This multiplies their risk to a life insurance carrier and therefore increases their rates considerably. If you can stop smoking you will attract rates that are dramatically lower when you reapply after 12 months.
2. If you want a discount, buy your life insurance policy from the same insurer you bought your other policies from. All insurers will usually offer a discount if you make a purchase of more than one policy from them.
Nevertheless, it may not benefit you more to do this as you might gain more if you buy each policy from different insurance companies.
3. Are you aware of all the discounts that your insurance carrier offers? There's a possibility that your agent might have overlooked a discount you're eligible for. The only way to be sure this is not true in your case is by taking the time to ask your agent to list out every discount that your insurance provider offers. You might be astonished at discounts you have not benefited from.
4. Maintain an outstanding credit rating. Having a poor credit rating is simply making hard for yourself apart from the fact that your rates will be much more. For some insurers it shows a pattern they believe you might repeat with them in premium defaults. Once you are seen as a higher risk you will get more expensive life insurance rates.
5. If you choose to pay your premiums monthly, you will pay higher life insurance rates. You may be told monthly payments are convenient but what you don't know is how much extra you pay for this.
If you do transactions with banks you'll agree with me that each check you process is regarded as transaction which attracts a certain charge. Over the course of a year, your monthly checks would be processed separately because they are all different transactions. This implies that you'll pay transaction fees 12 times..
Besides, there are also administrative costs that are incurred due to the monthly payment option. For example, it costs insurers to send payment notices each and every month.
These costs plus a profit margin for this feature is added to your life insurance rates making it more than a similar profile that pays annually every year.
6. You'll save much if you will shop around and do detailed comparison. The difference in quotes returned per query could be as wide as $1,000 for a given profile. While this is a good thing, it's advisable that you don't get too excited yet. It's not usually that straightforward if you want the best price to value ratio. The lowest quote may not offer you the best price/value.
Notwithstanding that each of the quotes presented will certainly give you the same basic coverage, there could be several differences in the details of each insurer's coverage. This makes it important that you find out if there aren't any exclusions you won't like. Remember to treat these no-obligation quotes as their name implies. Don't feel obliged to pay unless you've got all your questions answered to your satisfaction. You will be spared rude surprises down the road if you do this.
Source: EzineArticles.com/?expert=Chimezirim_Chinecherem_Odimba
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