Al Woods words
Buying life insurance has become easier than ever thanks to technology. Today, it is possible to purchase a whole life insurance policy without even needing a medical exam in the comfort of your own home. After the COVID-19 pandemic, people have become more aware of the fragility of their own health.
Even if you take all the necessary steps to live well, there is always a risk that something will happen. It brings the peace of mind of knowing that your family is protected no matter what.
There is also a significant financial benefit to purchasing life insurance, especially if you are only 30 or 40 years old. In this case, you have the option of using your policy to save money and plan for retirement, paying off student debt and other significant costs. But there are a lot of companies and options to choose from, and it can get overwhelming quickly. You may reach a point in your research where you just want to buy what you find the least complicated. Before signing a life insurance policy, be sure to go through this checklist first.
What type of coverage is available?
There are different types of life insurance, and if you buy a cheaper option, you might find yourself poorly covered or missing features you thought you had. If you want to use your coverage to settle a cash payment later, then you will need to purchase variable or whole life insurance. Comprehensive coverage, also known as permanent life insurance, has both a death benefit and a cash value that increases over time. Variable insurance policies invest in stocks, bonds and funds on your behalf, which you can then resell for a profit. Each has their pros and cons, and you’ll want to make sure you understand them all before you buy.
Options for end-of-life care
While no one wants to imagine themselves dying anytime soon, it’s important to consider how life insurance would protect your family if you were to receive a terminal diagnosis. Rather than dying from an accident or sudden injury, you could be diagnosed that leaves you two years or less to live. There are many pressing financial issues that you will have to deal with in this case, and life insurance can help. If you realize that you need more money now for medical bills and hospice care, you can sell your life insurance as part of a viatic settlement. You can check out this guide on everything you need to know about Asian settlements. While you never have to use one, it’s still important to keep this in mind when discussing the topic of buying life insurance.
Your health risks
Some health conditions are not covered by the providers, and you may face a higher premium cost if you have a particular diagnosis or illness. Your lifestyle also plays a role; people who smoke and drink are more likely to pay higher premiums than others. You could also face higher premiums if you have high blood pressure, a high BMI, or a history of mental illness. You should carefully review the covers from each supplier and ask them for a quote. Make sure you are honest; disclose your information, and do not withhold any information or outright lies. This is considered insurance fraud, and even if you managed to avoid serious consequences, your death benefit would likely be forfeited if you died from a risk-related condition that you failed to disclose.