Life insurance is more than simply a luxury to indulge in when you have extra cash. It’s critical that you have life insurance that can cover your loved ones should something unthinkable happen. People come up with all kinds of reasons not to have proper insurance, from confusion about choosing from whole term life insurance quotes, to uncertainty about prices and even a lack of knowledge of how the insurance process works. None of those excuses work, however, when your family is left in a bad position. If you want to take a look at life insurance term quotes but aren’t sure how, here are a few do’s and don’ts that can help.
Don’t Buy The First Policy Offered
When reviewing whole term life insurance quotes, it’s easy to get bowled over by the first thing you see. You may be eager to get the process over and that’s when mistakes are made. For instance, you may consider buying a policy just because a friend or family member told you it was great for them. Other times, an agent may pressure you into a particular policy type. Make your own decisions and do your research. There’s a reason why companies offer free quote comparisons. They want to help you see the forest for the trees before you make a choice. Ask your agent to explain calculations and details of specific plans to you before you decide.
Do Buy Enough Insurance to Replace Income
If something were to happen to you and your family lost your income, how much could they reasonably get by on? This is the type of question you need to answer well before an accident or some other tragedy occurs. A general rule of thumb is to buy up to 12 times your income in life insurance coverage to ensure your family would be secure. Does your work policy truly cover that much? The answer is typically no. That means you probably need to shop around for whole term life insurance quotes to provide supplemental income. Make sure you don’t forget to get coverage for both spouses, even if one of you is a stay-at-home spouse. Taking these relatively little steps now can make a major difference in the future, allowing your family to be safe and secure while they figure out next steps.
Do Buy for a Long Enough Term
Choosing shorter term coverage seems like a great way to cut price corners. But this short-term fix doesn’t take into consideration long-term possibilities. For instance, you could review life insurance term quotes and settle on a 10-year policy only to develop medical issues in year 11. Those could be issues that make it hard to get more, of affordable life insurance quotes. It may cost you more, but you should buy based on when your kids are going to college. For many people, that translates to a 20-year plan.
Life insurance is a major investment with major implications for your budget but also for your family’s future. Whether you’re shopping whole term life insurance quotes or are ready to make a choice, it’s important that you use the above tips to make the best choice that will support your family for years to come.