Life Insurance - Money Saving Top Tips
In this post, we'll explore ways you can reduce the cost of life insurance, make your family feel more secure when you're no longer there to support them, and save yourself a lot of money in the process.
Firstly, it's important that you get a good idea about how much life insurance you need before shopping around for policies. It's also handy to note that older people typically only need $100,000 in coverage while younger people should aim for $500,000 or higher.
Secondly, if your income is high then it'd make sense to pay for life insurance premiums with pre-tax dollars via an employer-sponsored plan like a 401(k) or 403(b). Not only will you be saving on taxes, but the money you set aside will also be earning interest.
Thirdly, if you'd prefer to save yourself a little bit of money, then try to buy term life insurance rather than whole life. This is because term life insurance has a much lower cost per $100,000 of coverage than whole life does. Plus, term life isn't as expensive as people tend to think it is.
If you're in your forties or fifties and don't have any kids yet, then take out a 20-year policy instead of 30 or 40 year one since you'll be saving $10-$20 per month on premiums by doing so. You'll also have the opportunity to buy term life insurance when you reach retirement age.
Lastly, if you want to cut costs with life insurance, then it's best not to put a cap in place on the amount of coverage you want. If you do this, then you'll be forced to take a higher premium policy which often ends up costing more in the long run.
Finally, don't forget that it only takes a minute or two per day to make your financial and public records just a little bit better for your family if you happen to die suddenly. It might seem like too much trouble but it's really worth it.
The next time you hear people saying that they don't want to save for their retirement, try to argue that saving for life insurance is just as important. [END OF POST]
Title: The Undervalued Life Insurance Claim
There are a number of factors that go into an insurance claim, and in some cases the results of one can determine if you'll be able to recover from a loss. Whether it's the type of claim, the amount of coverage you have or how you file it, there are many things that go into an insurance claim. In this article I will discuss those things in depth and what role they play in your claim.
I have seen insurance claims in my career that have been handled incorrectly from the start. These claims are usually for smaller amounts and take far too long to settle. The purpose of this article is to help you avoid some of the mistakes I see others make when it comes to filing an insurance claim.
Filing Your Insurance Claim Early- Although most people assume that you need to file your claim as soon as possible, this isn't always the case. Up until this point it is important that you have made certain decisions on how you would like things settled and what type of claim will be filed so it's always best to plan ahead.
Your Claim Needs- You need to determine what type of claim you are going to submit and if the amount is a required one or not. There are some insurance companies that will require the submission of an itemized letter instead of a standard form letter. By having your claim completed in the proper form, you increase your chances of being able to settle it quickly and easily.
The Proper Fees- If your insurance company requires an itemized letter, meeting a set fee to settle the loss can be difficult at times if you don't meet this cost. Some companies will not pay the fee unless they receive money from another source. Make sure you always confirm how much the fee will be to file your claim in the first place, and if it's not in your favor, make sure you have the money to cover this loss before you begin.
The Timing of Your Loss- There are steps that are required by each insurance company before they can settle a loss. Some will require an adjuster visit and others will not, but all insurance carriers have a process that must be followed before making any claims payments to their policyholders.
Once you have determined what type of claim needs to be filed, determine if your itemized letter is required or not. If it isn't then hand write out your claim and send it off immediately. If an itemized letter is required, then make sure you meet the estimated cost for this letter to be sent out.
Once you file your claim and have met all of the requirements necessary, it is then time to wait for your insurance carrier to contact you. Some companies will take longer to settle claims than others will. It is always best to wait patiently and not call or write in asking about your claim as this can only slow things down further. [END OF POST]
Title: 7 Reasons Why You Need To Carry Life Insurance At All Times
Life insurance is something that most people are familiar with but it's something that not many people take advantage of. The purpose of this article is to illuminate why you should carry life insurance coverage at all times, and how you can most efficiently make money off of it.
I have seen many people add a small amount of life insurance coverage to their policies, either from their employer or by purchasing it on their own. I have also seen many people end up canceling the policy once they become too old to continue paying for, or receiving other types of life insurance such as a whole life policy.
When I first started in the financial services industry, I only carried two different types of life insurance coverage: term and whole. I worked, paid the premiums and forgot about it. Now that I have a bit more knowledge under my belt, I know much more about life insurance coverage than I did before.
The truth is that even if you don't end up using a life insurance policy at all, you should still consider adding some type of coverage to your existing policies. Before reading this article, you should understand what the following terms mean:
Term Life Insurance- Term life insurance is purchased to cover a set period of time but only when the policyholder is alive. If for some reason the insured person dies within that set time period then they will recover a pre-determined sum of money from their carrier.
Conclusion- The best way to visualize this is to think of term life insurance as a set amount that you will never be able to recoup. If you were to purchase $100,000 worth of term life coverage and lose the insured person within the first year, the entire sum would go towards their estate but nothing more. This would be a wasteful policy and I personally wouldn't even consider it.
Whole Life Insurance- Whole life insurance is purchased to make sure that no matter what happens can actually recoup your money when they die. This type of coverage pays out a pre-determined sum each month until the death of the insured person.