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What You Need to Know About Shopping for Life Insurance

 December 20, 2022

By  Kyrie Mattos

You would do anything for your family, except when you can’t be there anymore. That’s when life insurance comes in. This policy provides financial protection for your loved ones if you should die unexpectedly. Here are some life insurance basics to help you decide if it’s right for you.

Reasons to Get Supplemental Life Insurance

Purchasing a supplemental life insurance policy fills gaps in your coverage. You can buy it from your employer or through a private insurer. The cost depends on the company and your coverage level.

Many life insurance companies offer online quote generators that are quick and easy to use. These calculators calculate your rate based on your financial information and personal information. Generally, you should purchase enough to replace your annual income. 

Still, your situation may require a higher amount. Additional life insurance will prove useful when you need to cover about tenfold your annual salary. For instance, you may decide to purchase a supplemental life policy for funeral and burial expenses. In addition, some supplemental policies offer a “portable” version of coverage. This is a policy that allows you to take the increased coverage level with you even if you switch jobs.

Choosing the Light Life Insurance Policy

While shopping for a policy, you must consider many factors to ensure that you and your loved ones are adequately protected. You’ll need to find one that meets your unique needs and fits within your budget. 

How much coverage do you need? What type of policy is best for you? And, of course, how much will it all cost? 

An online premium calculator can give you a ballpark estimate of what you’ll pay for life insurance. However, for a more accurate picture, it’s best to speak with a financial advisor. They can help you understand all the options and make an informed decision about the best life insurance for your family. 

How to Buy a Life Insurance Policy

Life insurance protects you and those you love in difficult times. With the right policy, your family’s future will be secure if you experience a financial setback. Keep in mind that life insurance is usually a long-term commitment, so always find a policy that closely meets most of your needs before signing up. 

An insurance agent or broker can assist you in finding the right policy at the best rate. If you hire an independent broker, they will shop around for you, compare quotes from multiple insurers, and may charge you a flat fee.

Once you find the insurance you like, the company may require a medical exam or need to verify the information you provide. 

How to Sell Your Life Insurance Policy

In the event you decide to sell your life insurance, you will receive a lump sum of cash. The amount will depend on the policy’s value and health. Taxes may also be due on the sale.

Selling life insurance can be beneficial if you need to eliminate enormous debt or get back on your feet after an economic setback. You may also want to sell a policy if you don’t have a beneficiary who needs the death benefit. 

You can find either an independent advisor or a broker to help sell your policy, and they can help you find the best price.

Your  Financial Plan Should Include Life Insurance

When protecting your family’s future, taking the time to research can make all the difference.  Before purchasing a policy, ensure you understand the different types of life insurance, the amount of coverage you need, and the available features. The right life insurance will provide security for you and your family.

Kyrie Mattos


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