Buying life insurance can be a long and challenging process. There are thousands of different companies to choose from, all of them have different benefits and rates that you have to compare. Deciding between the companies can be overwhelming and frustrating, but it doesn’t have to be.
When you’re looking to purchase a life insurance policy, there are several different factors that you need to consider both from the policy and from the company that’s selling the coverage.
The first thing that you need to look into is the financial stability of the company. Buying a life insurance policy is a long-term investment that shows you trust the company to still be operating in 30 years or more. If that company were to go bankrupt or run into financial struggles, your policy could be worthless. The easiest way to see the stability of a company is to check the ratings from companies like the AM Best or S&P 500.
The next thing that you’ll need to check is any customer feedback that they have received in the past several months. This is something that you need to view through a cautious eye. There are millions of customers on the Internet that looks for any reason to leave negative feedback on a company, but if you see dozens of consumers complaining about the same thing, it can give you insight into any problems you might run into.
Additionally, you’ll need to look at the types of policies that the company offers. Every business has different kinds of policies, and you need to find one that has the plan to fit your needs. There are the two basic types of plans, term and whole life that companies offer, but inside of those are variations and some companies offer additional benefits.
A term insurance policy is only going to be effective for a certain period of time, and after that point, they are no longer going to be active, which means that you won’t have insurance protection. Term insurance plans are going to be the most affordable type of coverage that you can buy.
The other main type is a whole life insurance plan. As you can guess from the name, these plans are a permanent form of insurance protection, which means that as long as you continue to pay the premiums for the plan, you’ll have coverage. Because these plans are never going to expire, they are going to be more expensive than other options.
The most important factor to look at is the companies’ rates. Each company is different and has various ways that they calculate monthly insurance premiums. You could receive drastically different quotes for the same coverage. If you want to ensure that you’re getting the lowest rates, you’ll need to compare dozens of companies.
The Best Companies to Purchase a Million Dollar Policy
Because every person’s situation is different, it’s difficult to say which companies are “the best” to buy a million dollar life insurance plan from. Some companies specialize in insuring older applicants, while others are better for high-risk applicants, but some companies continue to be at the top of the list every time.
Some of the most popular companies that sell affordable and quality million-dollar life insurance policies are Protective, Principal, SBLI, AIG, and several others that tend to have some of the best rates. As we mentioned, because there are so many factors that go into calculating insurance premiums. It’s difficult to say which company is going to fit your needs the best without knowing your specific details.
While we can’t accurately say which company is going to be the best, the ones that we have listed above are going to be the best places to start your search. Those companies tend to have some of the best rates for clients that we work with, but you could still find that you get drastically different rates between the companies.
If you’re a healthy 40-year-old male that doesn’t use any tobacco, you can get an affordable million insurance policy from any of these companies. If you don’t have any severe pre-existing conditions, you could pay as little as $70 a month for your plan.
Getting the Lowest Insurance Rates
Because each company is different, they all offer different rates, but there are some lifestyle changes that you can make to ensure that you’re getting lower rates. The first is improving your health. Unless you choose a no exam policy, which is hard to find for one million dollars of coverage, the insurance company is going to require you to take a simple physical exam before they approve your coverage. The results from the exam are going to play an important factor in how much you pay every month.
If you want to save money on your million insurance plan, you’ll need to start getting regular exercise and cutting out the junk food. Both of these are going to help you lose weight and lower your blood pressure, which is going to translate into more savings in your pocket.
Additionally, another lifestyle change you’ll need to make is cutting any tobacco usage out of your life. Being listed as a smoker on your insurance application is going to cause your rates to skyrocket. In fact, smokers are going to pay double what a non-tobacco user is going to pay for life insurance. If you want to get the most affordable life insurance coverage, it’s time to kick the cigarettes.
As we mentioned earlier, comparing quotes from several of companies before you choose the one that works best for you. There are hundreds of companies that you could spend weeks comparing the rates and benefits of each one, or you can make one simple call to us and let us handle the hard work.
Unlike traditional insurance agents, our agents are independent, which means that they don’t only represent one company, but can give your quotes from dozens of companies at once. They can help connect you with the best company for your million-dollar life insurance policy.
Calculating Your Life Insurance Needs
Before you apply for any life insurance coverage, it’s important that you understand what your life insurance needs are and that you’re purchasing a large enough plan. Not having enough life insurance is one of the worst mistakes that you could make for your family. If you were to pass away, then your loved ones would have additional expenses that they didn’t have the money to cover.
The first number that you should look at is your debts and unpaid expenses that your loved ones would be left with. The first goal of your plan is to give your family the money that they need to pay off those bills and ensure that they are responsible for a mountain of debt. Losing a loved one is never easy, but having to pay off their debts is going to make the situation a thousand times worse. Add up your mortgage, student loans, business loans, and much more and ensure that your life insurance policy is large enough to cover those bills.
The next number that you should add into the equation is your annual income. If you’re one of the primary income earners and you have several people that rely on your paycheck, then they would struggle without that source of income. The secondary goal of your life insurance plan is to give your family the money that they need to replace your salary without having to sacrifice their standard of living.
The last number that you should put into the equation is any funeral expenses or burial fees that they would be responsible for if something were to happen. The average funeral costs $10,000, which can be difficult for your family to cover without warning. Your life insurance coverage will give them the money that they need to fill your final wishes.
Once you’ve added up all of the different categories, you may be surprised to see how much insurance your family will need if something tragic were to happen to you. There is a chance that you may need more than a million dollars, or in some cases, you could need significantly less. Finding the right sized life insurance policy is a delicate balance if having enough protection for your family and not paying for additional coverage that you don’t need.
Buying Million Dollar Life Insurance Policy
Life insurance is the single most important investment that you’ll ever make for your family, which makes it easy to see why choosing the best company is vital. If you have any questions about which company works for you and your family, please contact us today toll free at 800-866-8780. We are dedicated to ensuring that your loved ones have the insurance protection they need.
You can’t predict the future, but you can plan for the first. Life insurance is the only way to know that your loved ones will have the money they need, even if anything tragic were to happen to you. Don’t want any longer to purchase a life insurance plan.