Comparing Life Insurance Policies
Now that you have decided it is time to get life insurance coverage, it is imperative to investigate what policies will give you the most cost-effective coverage for your needs. There are many factors that you can compare while shopping for a policy, and you should certainly take the time to do so, as not all life insurance policies are created equal.
It can be helpful to use an online comparison tool when you are looking to compare the coverage that different companies offer. Typically, you will want to compare like-policies that offer the cover options you are looking for. Traditionally, the guideline is you should insure yourself for at least 10x your salary before taxes are taken out. Therefore, if you make $100,000 annually, you should be seeking a one-million-dollar policy.
It is also imperative to understand the specifics that policies offer when comparing coverage. Some life insurance policies will allow you to attach riders to them such as trauma cover or accelerated life cover which can lower the annual premium cost and provide much-needed cash advances to your beneficiaries in the event of a covered health event.
Do not fall into the trap of looking only at premium costs when shopping for a life insurance policy. Very often, you do get what you pay for when it comes to insurance coverage. Policies from different companies may offer varying features that will require you to read the fine print. Some policies will provide very limited basic cover options like simply taking care of your mortgage if you die from a health event that is covered, whereas other policies will payout money to be used for anything needed, regardless of how you die.
When comparing policies, make sure to compare cover with like terms and understand what, if any, add-ons such as accelerated life or trauma are available. It is also vital to choose an insurer that has a good track record with its policyholders. Take the time to read reviews from others with the same cover that you are looking into. If a company has multiple poor reviews for customer service and ease of getting policy payouts, it may be well worth looking elsewhere.
No matter your situation, the advisors at Compare can help you to decipher the oft-confusing world of life insurance policies. We make it easy to get the coverage you need at a price you can afford, giving you and your loved ones peace of mind.
Important: All information on this site is of a general nature only. When you compare or complete the assessment online, we will connect you with an advisor who can give you advice at no charge. All advisers who are authorised to use this site, for their marketing purposes, are authorised financial advisers. A full list of advisers and what they can advise on is listed here under our terms & conditions of this site usage.
