Top 10 Tips for Saving Money on Life Insurance

Top 10 Tips for getting Life Insurance!

  1. As a general rule when applying for Life Insurance the more medical underwriting questions you answer or medical tests you go for the greater level of information the insurance company can obtain.  If you are a fit healthy person then this will dramatically reduce your premium.  If you aren’t so healthy then you may be paying more than with those that offer limited underwriting and set premiums.
  2. If medicals are required when applying for your Life Insurance policy then establish upfront whether the Insurer of you are covering the cost of those tests.
  3. Be wary of Life Insurance policies that don’t have underwriting (medical questions) associated. These may go through a process of “Underwriting at claim” and your families claim maybe denied due to pre-existing conditions.  Ask details and ensure you read the fine print with any Life Insurance policies not requiring medical questions at the time of application.  Also make sure you aren’t being offered an Accidental Death Insurance policy instead of a full Life Insurance policy.
  4. If you are declined by one provider, simply try another – Life Insurance providers aren’t all the same and some see different medical conditions as different risks.  Always tell the truth when applying, but don’t be afraid to try the next company on your list if you are declined by a particular insurance company.
  5. As always make sure you contact several Life Insurance providers to obtain as many quotes as possible.  Like shopping around for anything make competitors compete for your business.
  6. Always ask a lot of questions – you need to understand exactly what details each Life Insurance policy covers and the conditions of each policy such as cut off ages, when the premiums increase etc
  7. Ask about available discounts – some providers may not offer them but you won’t know if you don’t ask.
  8. Read the key points in the Life Insurance PDS (Product Disclosure Statement) and your Life Insurance policy documentation when it arrives.
  9. Ask about commissions made by either brokers or Life Insurance sales representatives.  If they are making ridiculously high commissions then are you paying too much for your policy?
  10. If you need a hand or have further questions, get in touch with the team at Insurancepoint.