Don’t Pay for What You Don’t Need

This is extremely important. You’ll encounter various rates when looking at similar coverages, and this happens for a reason. It’s important to work with independent insurance agencies, among the top three: LeapLife, Quotacy, and Policygenius. These agents will contact various carriers and provide you with the best quote for your specific needs. This is particularly important if you are considered “high-risk”. For example, a major carrier might classify you as a standard smoker if you were honest about smoking marijuana once a month, whereas having an independent agent who represents multiple carriers they are likely to find you preferred non-smoker rates, a difference of up to 300% in your premium.

A “captive” insurance agent is typically one who only works for one insurer and is paid by that company in commission, salary, or both. The limitations of quotes provided by captive agents is obvious: only policies from the one company they represent will be offered. This is commonly a far more expensive approach to procuring a life insurance policy, even when bundling different policies together.

Another example where you will see very high life insurance policy quotes is for illnesses such as Diabetes. While Type 1 diabetes is still considered the riskiest, Type 2 is viewed as a treatable illness, along with Gestational Diabetes, and the research that independent agencies conduct will identify carriers best suited, least expensive, and most accommodating to your needs. Ultimately, how well your body responds to treatment, the length of time you’ve had diabetes, your family history, and other factors will determine your qualification and rates.

Again, independent agents will cut the fat from the standardized policies customers might expect from major providers or captive agents. It always makes sense to do your research and independent agents do that research for you, saving you both time and money.

Use Only Reputable Companies

This may sound obvious to many but there are more than a few less than reputable life insurance companies on the market. You might actually be surprised, however, to see some well-known and well-established companies considered to be among some of the worst in the country.

Again, research is imperative here and independent agents, like those mentioned previously, do that research for you and only pair with the most highly rated providers.

For example, LeapLife pulls information from various providers, compares, then creates various, personalized quotes based on customer needs pooling only from top-tier insurance providers:

It is advised that you should avoid most (if not all) life insurance companies with a rating of B or lower. If you want your life insurance company to be capable of paying your claim in the immediate future or many years down the road (we hope!), the financial strength and integrity of your provider is tantamount to their ability to do so. An insurance company’s financial strength is gauged by various rating companies such as Standard & Poor’s, Fitch, and A.M. Best. These companies rate the quality of underwriting (examining the collective higher and lower risk customers and determining whether a company is aligned with industry standard), expected future liabilities, the liquidity of the company (what the company has on cash reserve), and the reliability of payments on premiums which equals reliable cash flows.

 

Customer satisfaction goes hand in hand with reputability. Much can be said for a company’s online social profile from Facebook to Twitter, and the company’s response to negative feedback. J.D. Power, an independent rating and customer satisfaction firm, also reviews dozens of top providers each year and publishes those scores for review as well.  

Again, these are what independent agencies research when identifying the best carriers for your needs.  

Only Buy When Ready

There is no ‘for whom the bell tolls’ moment when we suddenly decide to buy life insurance. The best we can do is buy when we’re ready and relatively healthy, which will limit the more expensive premiums that we most assuredly will pay if we wait too long in life. Place your trust in well-respected independent agencies and know that proper research has been conducted for your specific needs and wants. A cheap, tailored policy does not mean you won’t get the coverage you need. A tailored policy can provide you with the most comprehensive, personalized coverage at the best price.

If you are looking for affordable life insurance, a well-researched quote derived from only the best providers in the industry can be provided to you within minutes.