In today’s economy we are all looking for ways to cut expenses and save a few dollars where possible. Life insurance is the least likely place that you would think of saving money on since the rates are fixed by the law. However, there are a few things that you can do that industry veterans use to save their clients money. When used in combination the savings can be incredible over the years. So read on to find out what everybody can do to save money on life insurance today.
1. Prepare for the Medical Exam
Most life insurance companies require that you complete a medical exam in order to qualify for the coverage. The exam will consist of the nurse checking your blood pressure, taking a urine and blood sample along with verifying your build. You may be wondering how you can save money here. Well the issue is that sometimes what you do before the exam can affect your lab results drastically. With that being said, you should stay away from fried fatty foods few days prior, avoid alcohol and caffeine on the day of the exam since they can increase your blood pressure. Also make sure you drink lots of water before the exam as this is the fastest way to improve your levels. Another option is to go with a no exam life insurance plan altogether.
2. Pay Annually
If you have applied for life insurance before then you must know that you have an option to pay monthly, quarterly, semi-annually or annually. The longer the payment, the more you save, so therefore you should definitely try to pay annually if you can. Annual payments typically will reduce the total premium by about 3% to 5% in comparison to a monthly option. It might not seem like much, but over a 20 or 30 year term of the policy it can become a nice chunk. Another benefit is you won’t have to worry whether you paid your life insurance premium every month.
3. Work with an Independent Broker
When shopping for life insurance it’s common for you to go to an agent that represents one or fewer companies. This is not such a great idea since the life insurance rates can vary greatly from one company to another. By working with a broker who represents 30 to 60 different companies, you can ensure that you are getting the most affordable life insurance rates. Just be sure to apply with a reputable company. This is one way of saving a couple thousand through the life of the policy.
So when shopping for life insurance don’t forget to work with a broker, prepare for the exam and pay annually. By following the tips above you can save more for retirement, buy more coverage or spoil yourself a bit. In addition, when you look for life insurance quotes online don’t provide your personal information just to get a quote because your information will be sold to a bunch of agents. Instead, use a website like insurechance.com to run unlimited quotes without giving away your personal information.