050922 How Much Does Life Insurance Cost?

The cost of life insurance varies significantly depending on

several different factors. One of the biggest cost factors will

be the type of life insurance you buy. For example, a term

life insurance policy is significantly less expensive than a

Whole life insurance policy for the same amount of coverage.

Here are some of the most common factors affecting life

insurance rates…

Age…

The younger you are when you buy a policy the less you’ll pay.

That’s because your chance of death is smaller.

Sex…

Females have a life expectancy that is nearly five years longer

than males, according to the National Center for Health Statistics.

This means that men generally pay more for life insurance than

women (except in Montana where insurers must provide gender

neutral life insurance rates).

Health…

Your health has a major impact on your life insurance rates.

The insurer will evaluate your past and current medical conditions

in order to calculate your life expectancy.

Lifestyle…

Your driving history (such as a DUI conviction), criminal record,

and dangerous occupations and hobbies (such as scuba diving)

can all result in higher life insurance rates.

How to Get Life Insurance Quotes

According to the Insurance Barometer Report, 15% of people think

they can’t afford life insurance. At the same time, many consumers

overestimate the cost. The only way to know what you will pay is to

get life insurance quotes from a few companies. Quotes are free.

An experienced life insurance agent will know what companies tend

to give the best prices based on your age, health and desired

coverage amount.

Expect to be asked about your age, health, tobacco use, your family

health history, driving record, and any dangerous occupations or

hobbies.

When you have a quote that you like, you can start a formal

application. You answer more questions in detail and apply for a

specific policy type, amount of coverage and policy length

(if you’re buying term life insurance).

Once you’ve submitted the application, some insurers may require

a life insurance medical exam. These exams can take place at your

home, work or sometimes a local exam office.

The time it takes to process an application varies significantly among

companies and policy type.

Some insurers offer fast life insurance, including instant approval,

to people who qualify, who are generally younger (under age 60) and

without medical issues.

Some insurers use “accelerated underwriting” to skip the medical

exam and process applications in a day or a week, depending on

the company.

And some insurers use a traditional process with a medical exam

and an approval process that can take over a month.

https://www.forbes.com/advisor/life-insurance/how-it-works/#22527ac27f30

Hayden Childs

Alabama Licensed Agent

(205) 269-1382

https://www.helloplum.com/agent/childs-806

Comments

022823 The 9 Benefits of Whole Life Insurance...

(1) Provide for Loved Ones… It’s the basic need everyone thinks about. You have a young family. You are the major breadwinner. Something happens to you. How is Your family supposed to make ends meet? It’s a form of protection. Peace of mind. (2) Key Man Insurance… You and your partner own a business. It’s grown. Many employees Depend on you. If something happens to your partner, it’s likely their Spouse or family will inherit their share of the business. Cash would Be a lot more useful to them. Life insurance on both partners can Provide the cash to buy out heirs and keep the business intact. (3) Emergency Loans… Hopefully your client lives a long life. The whole life policy accumulates Cash value, eventually growing to the full face value, or beyond. Many Policies allow you to borrow money against the cash value. You would pay interest. (4) Funding Estate Taxes… Your client owns a farm. I...

090921 Those Dying From Covid-19 Are Least Likely to Own Life Insurance...

Many companies have sharply reduced estimates of their exposure, as measured by payouts per 100,000 U.S. fatalities As the number of U.S. corona virus deaths surpasses 200,000, public-health experts point to a series of missteps and miscalculations in the country's response. Here’s a look back at how the U.S. became the center of the global pandemic. Sept. 28, 2020 5:30 am ET U.S. life insurers are paying out far fewer Covid-19 death claims than initially expected, largely because the virus is disproportionately killing people with little to no insurance. In the past few weeks, many life-insurance companies have sharply reduced estimates of their exposure, as measured by payouts per 100,000 U.S. Covid-19 fatalities. Estimates have come down by an average of 40% to 50%, according to Credit Suisse stock analyst Andrew Kligerman. Driving the rapid reduction in exposure are two groups… older Americans and minoriti...

080822 Less Common Life Insurance Needs

On top of the most common reasons for buying life insurance, It can help cover some less common needs. These could include… *Insuring Children Buying a policy on a child can ensure that the family will financially Survive the loss of the child, but keep in mind that such a loss is Fairly unlikely. It can also ensure the child’s ability to qualify for life Insurance in the future. That could be helpful in the case of a health Diagnosis that might make it harder to pass the underwriting process. *Replacing Retirement Benefits Life insurance is often marketed as income replacement for an Insured person during their working years, but some retirees may Choose to keep theirs after leaving work. It can be used to replace The loss of any retirement income for their spouse or any dependents. *Investment Permanent life insurance can provide you with a potential income Source. You can access your cash value once it has buil...

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