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How To Get Life Insurance If You’re On A Budget

Life insurance can be expensive if purchased at the wrong time—but if you get it early and in good health, it’s pretty affordable. Your life insurance premium is based on several variables, which you have no influence over (such as your age and health when you buy the policy). In other cases, the decision comes down to the specifics of the policy you purchase.

So, how can you shop for life insurance on a budget? And how can you make sure you’re getting the best rate? Keep reading for some helpful tips.

Get insured when you’re young for the best rates

Don’t make the mistake of putting off buying insurance until later in life. The more you wait, the higher you’ll have to pay when you do apply for life insurance. Age is a major consideration for the cost of life insurance, even for otherwise healthy people. Life insurance premiums often increase by 8 to 10% each year you wait to apply. In addition, premiums for life insurance can increase dramatically if you are diagnosed with serious health problems.

Consider term life insurance coverage

If you’re over 50, getting term life insurance coverage may be a good idea. Term life insurance policies are often more affordable than whole life insurance policies since they pay out a death benefit only after the insured person dies (during the policy’s term). Term life insurance may not offer the same coverage options as whole life insurance, but it’s still a viable and cost-effective option. It is an excellent choice for people of all ages.

A senior couple smiling

Go for a medical exam policy if you’re in good health

A policy that calls for a medical checkup for life insurance may be the best option if you’re in good health. It’s like getting a physical; you can do it whenever and wherever it’s most convenient for you. A technician will inquire about your health background, conduct a nicotine test, and monitor your vitals (blood pressure, glucose levels, cholesterol, etc.). After collecting this data, the insurer will determine appropriate premiums. Insurer risk increases without this information, which is why no medical exam life insurance premiums are typically higher.

Get off the nicotine!

Cancer, lung diseases, and diabetes are just some of the many health problems connected to tobacco and nicotine use. The American Lung Association reports that smoking is the top preventable cause of mortality in the United States.

Due to the increased risk, life insurance premiums are typically more expensive for smokers. Cigarettes, cigars, chewing tobacco, pipes, e-cigarettes, nicotine patches, and gum can all make you a smoker in the eyes of your insurance provider.

The standard requirement for receiving nonsmoker discounts is a 12-month period during which the customer has not smoked. Suppose you are trying to quit smoking but need life insurance immediately. In that case, you should consider purchasing a shorter-term policy and applying for regular-term coverage once you have quit properly.

Don’t purchase riders if you don’t need them

You always have the option of adding a variety of riders to a life insurance policy to provide even more protection. You can choose features such as coverage for your spouse, assistance with premium payments in the event of a disability, and reimbursement for long-term care expenses.

Purchasing more life insurance coverage is always appealing and can provide you peace of mind. However, it’s important to remember that the added expense may not be justified if you only look for the most affordable policy possible.

A life insurance agent talking to a senior

Consult an independent insurance agency

While having a firm grasp on the life insurance purchase process is necessary, it’s just as crucial to know when you need some extra guidance in making the final decision. An independent life insurance agency can advise you on the best life insurance plans to buy, give you insider knowledge about certain insurance companies, and smooth over any bumps along the road. Working with a reputable insurance agency in your area is a good idea if you’re having problems making a policy selection or just want some guidance.

If you’re looking for a reliable life insurance agency in Houston, TX, get in touch with Franklin Life and Annuity. We are an independent agency committed to helping individuals and families all over Houston find the best financial protection. With our help, you can protect your loved ones in case something happens to you.

Call us at 281-688-8166 today to learn more about our final expense and life insurance services.

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