Buying life
insurance is a difficult factor, especially when you’re the only responsible
for income and making financial decisions for your family. Many people think
that, they save every penny for his/her family’s future, but the fact is – your
deposits and properties may not fulfill your future expenses after you. Only
insurance can help you to protect your family’s future. Your life insurance is
a vital decision, so it is very much important that, you must check the most
important aspects before buying it. However, here are some key factors that you
MUST consider before buying –
Factor #1 How Much You Want To Pay?
Before buying any
insurance, you must determine how much amount you’re willing to pay every month
or quarterly or yearly. There are a number of insurance available in the market
that offers large insurance coverage, but the problem is they charge large
monthly/quarterly or annual premium. If you pay hefty amount of insurance premium
monthly/quarterly or annually, then it must affect your family budget. So, be
careful and choose your life insurance such a way that the insurance premium is
affordable and gives you handsome insurance coverage.
Factor #2 Determine Your Actual Coverage
It is very common
that, people usually over-insured or under-insured. So, you must not fall into
those two categories. You’ve to determine your future financial needs, family
income, expenses and calculate them accurately and then buy your insurance.
Factor #3 Compare Multiple Life Insurances
Comparing multiple
insurances gives you the best deal. It not only save your hard earned money, it
also helps you to find the best life insurance that gives you complete peace of
mind.
Comparing
insurance can be done through two different ways. You can do it manually or
through online. You can collect the insurance quotes from several companies by
visiting their local branch office or call their agent by phone and get the
quotes. This process is tedious and takes long time to complete. On the other
hand, you can compare the insurances through online services. You can collect
the quotes from respective insurance company’s website and compare them or
there are numbers of third party web services gives you the opportunity to
compare multiple insurances without any cost. You can compare multiple
insurances with few mouse clicks within no time.
Factor #4 Know The Renewal Timeframe
If you miss the
renewal date, right that point – you’re uninsured and your previous insurance
policy was void. So, be careful and know the renewal date and the process of
notification that the insurance company uses. Usually, some insurance companies
offer life insurance policy renewal with every insurance policy, whereas, some
insurance company asks for resubmission of documents after a couple of moths.
However, the guidelines may be different from one company to another, but you
must not fail any insurance premium. The final thing – ask for the alternatives
to renew your insurance policy if you miss any premium unfortunately.
Factor #5 Read The Policy Documents Carefully Before Signing
Read all the
clauses, the scenarios (for what situation you can claim what amount of money),
required documents for the claim, associated document requirements, tax
benefits or applied for the insurance and many other things stated on the
policy document. So, read it carefully before signing.
Finally, submit
all necessary documents, renew your life insurance regularly and keep your
family’s future safe from after you.
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