How To Save On Life Insurance
Print this pageLife insurance rates are based on a number of factors, including the type of policy purchased (Term Life, Group Life, Whole Life, Universal Life, Variable Life), age of the person insured, and health of the person insured. Even with all of those variables, there are several things that you can do to reduce the cost of your life insurance:
- Know what you need. The classic and best reason for buying life insurance is to protect your family from financial instability in the
event of your death.
Learn about the difference in the two basic forms (temporary insurance and permanent insurance) and determine what you need based on your goals and objectives in our article Life Insurance Basics. - Start a life insurance program when you're young. Every adult should consider starting a life insurance program while young and in good
health.
The most important factor in determining life insurance premium rates is the age of the person to be insured. The second most important factor is the health of the person to be insured. - Don't use tobacco. If you are a smoker, you should consider quitting. Most insurance companies have several tiers of rates, including a
lower tier for nonsmokers and a higher tier for smokers.
Many companies will offer a lower-tier rate to former smokers who are tobacco free for 12, 24, 36 months or more. If you purchased life insurance while you were a smoker and are now smoke-free, contact your life insurance company or shop around to see if you are now eligible for lower rates. - Take care of yourself. Eat healthy foods, limit alcohol consumption, exercise, and watch your weight. Not only will you feel better, you
may lower your life insurance rates.
- Be prepared for a medical exam. Depending on your age and the amount of insurance you are applying for, some insurance applications may require you to give a blood sample. Be sure to fast for 12 hours before this test to get accurate results.
- Comparison shop. Prices for the same life insurance coverage can vary greatly. Compare several insurance plans from different insurance
companies and agents before making a selection.
Wells Fargo, in cooperation with Insurance Central, offers an online Term Life insurance shopping service that compares rates from some of the nation's
highly rated insurance providers.
- Take advantage of Group Insurance plans at work. Many employers offer Group Life insurance coverage as an optional employee benefit.
Group insurance plans generally provide term insurance coverage at very low rates.
Employees are often eligible for group life insurance coverage regardless of health. Family riders providing coverage for your spouse and children can often be added to a Group Life plan at a very low cost. - Update your coverage according to life changes. Create a financial plan and make sure the life insurance you have meets your current needs and financial obligations. Be sure to review and make the appropriate adjustments to your plan, as you get married, purchase a home, or have children. If you marry or divorce, review and change the beneficiary on all of your life insurance policies, if necessary.
When you elect to schedule a call, you will leave wellsfargofinancial.com and go to the Wells Fargo Insurance web pages at wellsfargo.com. Wells Fargo Insurance offers a wide range of products from companies with high standards and excellent customer service.
Insurance products are available through Wells Fargo Insurance, Inc. (Minneapolis, Minnesota). Wells Fargo Insurance, Inc. is a licensed agency representing and compensated by the insurer based on the amount of insurance sold. Wells Fargo Insurance, Inc. is an affiliate of Wells Fargo Financial.
- Insurance is:
- Not a deposit of or guaranteed by the bank
- Not insured by the FDIC or any federal government agency