I ain’t Dead – How to choose a Life Insurance
Life insurance is a promise from an insurance company to pay a specified sum to someone you choose — your beneficiary — at the time of your death. One of the best uses of life insurance is to protect anyone who relies on you financially, such as a surviving spouse or dependent children. Life insurance also has more advanced estate planning uses, such as preserving cash flow to pay estate taxes.
Two basic types of life insurance are available: term and permanent. Term life insurance remains in force for a specified period of time. Permanent life insurance includes a savings component, which you can withdraw or use to help pay premiums. Life insurance can vary widely in cost, from as little as about $500 a year for a young, healthy term applicant to 10 or 20 times as much for an older, permanent life applicant — and even more for smokers. The easiest way to save money on life insurance is to buy a term life insurance policy instead of a permanent one. Term insurance offers no savings component, which means all of your money goes toward insuring your life. With competition increasing in the life insurance sector, the agent has no alternative but to get as many leads as possible and from as many sources he or she can. Good leads are one of the strong pillars of business for any life insurance agent. Hence, it becomes very important to not only get as many leads as possible but to also be sure that the leads are worth following up further. You can check the complete guide about life insurance here.
It is for such reasons that an agent has no other option but to compare life insurance leads from various companies. Various Internet-based and telemarketing companies are in the business of providing life insurance leads. Obtaining leads from such companies can be a smart move on the part of the agent. He can hire, on a trial basis, different companies that provide leads and follow up further on the leads. When comparing life insurance leads, it is extremely important to find out how many leads were converted in the end. An agent cannot know for sure the worth of the leads until he or she calls or meets the prospects and tries to sell them an insurance policy. If the lead company has been good and honest enough, there should not be much difficulty in selling policies to interested people. On the other hand, if the lead has been obtained by unscrupulous methods, it could very well mean that the person is not ready for a life insurance policy and may express anger at being approached about a policy. The response of the prospective customer will clearly show the extent of hard work put in by the company providing the leads.
Life insurance agents are the representatives of a life insurance company who contact people and make them aware about the various insurance options available. They help the customers decide the insurance policy that would suit their needs as well as budgets. However, life insurance agents need to find and filter potential customers out of the huge population that provides the customer base. As there are many types of policies, there are also many types of life insurance leads.
Today the Internet is one of the biggest and possibly most reliable source of generating life insurance leads. Customers who are looking for life insurance quotes submit their details for assessment. This information is collected and stored as a lead. The life insurance agent, who receives this lead, will then contact the potential customer and offer more details. Usually, people do not submit their request on only one website. This means that multiple insurance agents will have the same lead and will contact that prospect. This is advantageous to the customers, as they will now get competitive rates. Customers usually inform the insurance agents, that they are getting better rates elsewhere, which might result in the agents revising the quote to a lower rate
Permanent life insurance lasts a lifetime instead of 10 or 20 years like Most child life insurance policies. In addition, permanent insurance — including whole life insurance — always has an additional savings or investment platform, and that costs money.
You can visit an agent for an in-person evaluation, but many insurance issuers will give you quotes over the internet if you provide your basic medical and demographic information. However, the lowest price you receive might not be the best policy for you.
Insurance can be expensive and you shouldn’t buy more than you need. But you might not quite know the answer to the question, “How much life insurance do I need?” To figure that out, decide what you’ll want covered in the event that something happens to you.
To replace lost income, one formula suggests that you should buy coverage equal to 15 times your current salary, which means your beneficiary would likely get 75 percent of your salary.
When you’re shopping around for life insurance, don’t forget to ask what discounts are available — they might vary among companies. For example, some companies might offer discounts if you buy certain levels of life insurance, such as $250,000 rather than $200,000.